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In this paper we propose a cyclical coordinate descent (CCD) algorithm for solving high dimensional risk parity problems. We show that this algorithm converges and is very fast even with large covariance matrices (n > 500). Comparison with…

Portfolio Management · Quantitative Finance 2013-11-19 Théophile Griveau-Billion , Jean-Charles Richard , Thierry Roncalli

We present a novel enhanced cyclic coordinate descent (ECCD) framework for solving generalized linear models with elastic net constraints that reduces training time in comparison to existing state-of-the-art methods. We redesign the CD…

Machine Learning · Statistics 2025-10-24 Yixiao Wang , Zishan Shao , Ting Jiang , Aditya Devarakonda

Parameterized quantum circuits (PQCs) are ubiquitous in the design of hybrid quantum-classical algorithms. In this work, we propose an interpolation-based coordinate descent (ICD) method to address the parameter optimization problem in…

Quantum Physics · Physics 2026-01-14 Zhijian Lai , Jiang Hu , Taehee Ko , Jiayuan Wu , Dong An

The coordinate descent (CD) method has recently become popular for solving very large-scale problems, partly due to its simple update, low memory requirement, and fast convergence. In this paper, we explore the greedy CD on solving…

Optimization and Control · Mathematics 2020-12-14 Chenyu Wu , Yangyang Xu

Variants of the coordinate descent approach for minimizing a nonlinear function are distinguished in part by the order in which coordinates are considered for relaxation. Three common orderings are cyclic (CCD), in which we cycle through…

Optimization and Control · Mathematics 2018-06-05 Ching-Pei Lee , Stephen J. Wright

This article develops the theory of risk budgeting portfolios, when we would like to impose weight constraints. It appears that the mathematical problem is more complex than the traditional risk budgeting problem. The formulation of the…

Portfolio Management · Quantitative Finance 2019-02-18 Jean-Charles Richard , Thierry Roncalli

Market conditions change continuously. However, in portfolio's investment strategies, it is hard to account for this intrinsic non-stationarity. In this paper, we propose to address this issue by using the Inverse Covariance Clustering…

Statistical Finance · Quantitative Finance 2022-01-17 Yuanrong Wang , Tomaso Aste

Finding roots of equations is at the heart of most computational science. A well-known and widely used iterative algorithm is the Newton's method. However, its convergence depends heavily on the initial guess, with poor choices often…

Numerical Analysis · Mathematics 2020-04-09 Ankush Aggarwal , Sanjay Pant

Portfolio optimization has long been dominated by covariance-based strategies, such as the Markowitz Mean-Variance framework. However, these approaches often fail to ensure a balanced risk structure across assets, leading to concentration…

Portfolio Management · Quantitative Finance 2025-08-07 Biswarup Chakraborty

The cardinality-constrained mean-variance portfolio problem has garnered significant attention within contemporary finance due to its potential for achieving low risk while effectively managing risks and transaction costs. Instead of…

Optimization and Control · Mathematics 2024-07-15 Ahmad Mousavi , George Michailidis

Accelerated coordinate descent is a widely popular optimization algorithm due to its efficiency on large-dimensional problems. It achieves state-of-the-art complexity on an important class of empirical risk minimization problems. In this…

Optimization and Control · Mathematics 2018-10-01 Filip Hanzely , Peter Richtárik

Lambda quantiles, originally introduced as lambda value at risk, generalise the classical value at risk by allowing for a variable confidence level. This work presents efficient algorithms for computing lambda quantiles and demonstrates…

Computational Finance · Quantitative Finance 2026-05-08 Ilaria Peri , Linus Wunderlich

Block coordinate descent (BCD) methods are widely used for large-scale numerical optimization because of their cheap iteration costs, low memory requirements, amenability to parallelization, and ability to exploit problem structure. Three…

Optimization and Control · Mathematics 2022-08-02 Julie Nutini , Issam Laradji , Mark Schmidt

The iterated Crank-Nicolson (ICN) method is a successful numerical algorithm in numerical relativity for solving partial differential equations. The $\theta$-ICN method is the extension of the original ICN method where $\theta$ is the…

Numerical Analysis · Mathematics 2016-08-05 Qiqi Tran , Jinjie Liu

We propose a distributed cubic regularization of the Newton method for solving (constrained) empirical risk minimization problems over a network of agents, modeled as undirected graph. The algorithm employs an inexact, preconditioned Newton…

Optimization and Control · Mathematics 2021-06-21 Amir Daneshmand , Gesualdo Scutari , Pavel Dvurechensky , Alexander Gasnikov

The state-of-the-art methods for solving optimization problems in big dimensions are variants of randomized coordinate descent (RCD). In this paper we introduce a fundamentally new type of acceleration strategy for RCD based on the…

Optimization and Control · Mathematics 2018-02-13 Dmitry Kovalev , Eduard Gorbunov , Elnur Gasanov , Peter Richtárik

Newton method is one of the most powerful methods for finding solutions of nonlinear equations and for proving their existence. In its "pure" form it has fast convergence near the solution, but small convergence domain. On the other hand…

Optimization and Control · Mathematics 2019-08-27 Boris Polyak , Andrey Tremba

At the heart of Newton based optimization methods is a sequence of symmetric linear systems. Each consecutive system in this sequence is similar to the next, so solving them separately is a waste of computational effort. Here we describe…

Optimization and Control · Mathematics 2014-12-30 Robert Mansel Gower , Jacek Gondzio

The use of network Newton methods for the decentralized optimization of a sum cost distributed through agents of a network is considered. Network Newton methods reinterpret distributed gradient descent as a penalty method, observe that the…

Optimization and Control · Mathematics 2015-04-24 Aryan Mokhtari , Qing Ling , Alejandro Ribeiro

In this paper we present a convergence rate analysis of inexact variants of several randomized iterative methods. Among the methods studied are: stochastic gradient descent, stochastic Newton, stochastic proximal point and stochastic…

Optimization and Control · Mathematics 2019-03-20 Nicolas Loizou , Peter Richtárik
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