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In this work we propose a new algorithm for solving high-dimensional backward stochastic differential equations (BSDEs). Based on the general theta-discretization for the time-integrands, we show how to efficiently use eXtreme Gradient…

Numerical Analysis · Mathematics 2021-07-15 Long Teng

Solving high-dimensional partial differential equations is a recurrent challenge in economics, science and engineering. In recent years, a great number of computational approaches have been developed, most of them relying on a combination…

Numerical Analysis · Mathematics 2023-01-31 Nikolas Nüsken , Lorenz Richter

Probabilistic ordinary differential equation (ODE) solvers have been introduced over the past decade as uncertainty-aware numerical integrators. They typically proceed by assuming a functional prior to the ODE solution, which is then…

Numerical Analysis · Mathematics 2025-03-25 Yvann Le Fay , Simo Särkkä , Adrien Corenflos

It is well-known that decision-making problems from stochastic control can be formulated by means of a forward-backward stochastic differential equation (FBSDE). Recently, the authors of Ji et al. 2022 proposed an efficient deep learning…

Optimization and Control · Mathematics 2024-08-01 Zhipeng Huang , Balint Negyesi , Cornelis W. Oosterlee

We present a new algorithms to discretize a decoupled forward backward stochastic differential equations driven by pure jump L\'evy process (FBSDEL in short). The method is built in two steps. Firstly, we approximate the FBSDEL by a forward…

Probability · Mathematics 2011-10-25 Soufiane Aazizi

In this paper we propose a new kind of high order numerical scheme for backward stochastic differential equations(BSDEs). Unlike the traditional $\theta$-scheme, we reduce truncation errors by taking $\theta$ carefully for every subinterval…

Numerical Analysis · Mathematics 2018-08-08 Chol-Kyu Pak , Mun-Chol Kim , Chang-Ho Rim

Finite difference schemes, using Backward Differentiation Formula (BDF), are studied for the approximation of one-dimensional diffusion equations with an obstacle term, of the form $$\min(v_t - a(t,x) v_{xx} + b(t,x) v_x + r(t,x) v, v-…

Numerical Analysis · Mathematics 2021-05-14 Olivier Bokanowski , Kristian Debrabant

We present a class of diffusion-based algorithms to draw samples from high-dimensional probability distributions given their unnormalized densities. Ideally, our methods can transport samples from a Gaussian distribution to a specified…

Machine Learning · Computer Science 2025-02-04 Anand Jerry George , Nicolas Macris

Recently, it has been shown in [Jentzen, A., M\"uller-Gronbach, T., and Yaroslavtseva, L., Commun. Math. Sci., 14, 2016] that there exists a system of autonomous stochastic differential equations (SDE) on the time interval $[0,T]$ with…

Probability · Mathematics 2017-07-28 Thomas Müller-Gronbach , Larisa Yaroslavtseva

We propose a probabilistic numerical algorithm to solve Backward Stochastic Differential Equations (BSDEs) with nonnegative jumps, a class of BSDEs introduced in [9] for representing fully nonlinear HJB equations. In particular, this allows…

Probability · Mathematics 2019-07-11 Idris Kharroubi , Nicolas Langrené , Huyên Pham

The full history recursive multilevel Picard approximation method for semilinear parabolic partial differential equations (PDEs) is the only method which provably overcomes the curse of dimensionality for general time horizons if the…

Numerical Analysis · Mathematics 2022-04-29 Martin Hutzenthaler , Tuan Anh Nguyen

We provide a stochastic representation for a general class of viscous Hamilton-Jacobi (HJ) equations, which has convexity and superlinear nonlinearity in its gradient term, via a type of backward stochastic differential equation (BSDE) with…

Probability · Mathematics 2017-03-09 Andrea Cosso , Huyên Pham , Hao Xing

Developing algorithms for solving high-dimensional partial differential equations (PDEs) has been an exceedingly difficult task for a long time, due to the notoriously difficult problem known as the "curse of dimensionality". This paper…

Numerical Analysis · Mathematics 2020-07-17 Jiequn Han , Arnulf Jentzen , Weinan E

In this paper we propose a generalized numerical scheme for backward stochastic differential equations(BSDEs). The scheme is based on approximation of derivatives via Lagrange interpolation. By changing the distribution of sample points…

Numerical Analysis · Mathematics 2018-08-09 Chol-Kyu Pak , Mun-Chol Kim , O Hun

In this work we study the numerical approximation of a class of ergodic Backward Stochastic Differential Equations. These equations are formulated in an infinite horizon framework and provide a probabilistic representation for elliptic…

Numerical Analysis · Mathematics 2024-09-11 Emmanuel Gobet , Adrien Richou , Lukasz Szpruch

We propose a new deep learning algorithm for solving high-dimensional parabolic integro-differential equations (PIDEs) and forward-backward stochastic differential equations with jumps (FBSDEJs). This novel algorithm can be viewed as an…

Numerical Analysis · Mathematics 2025-10-28 Wansheng Wang , Jiangtao Pan , Jie Wang , Zaijun Ye

In this paper, we study the backward stochastic differential equation (BSDE) with two nonlinear mean reflections, which means that the constraints are imposed on the distribution of the solution but not on its paths. Based on the backward…

Probability · Mathematics 2023-07-13 Hanwu Li

In this work, we extend deep learning-based numerical methods to fully coupled forward-backward stochastic differential equations (FBSDEs) within a non-Markovian framework. Error estimates and convergence are provided. In contrast to the…

Mathematical Finance · Quantitative Finance 2025-11-25 Hasib Uddin Molla , Matthew Backhouse , Ankit Banarjee , Jinniao Qiu

We consider a class of backward stochastic differential equations (BSDEs) driven by Brownian motion and Poisson random measure, and subject to constraints on the jump component. We prove the existence and uniqueness of the minimal solution…

Probability · Mathematics 2016-08-14 Idris Kharroubi , Jin Ma , Huyên Pham , Jianfeng Zhang

Novel multi-step predictor-corrector numerical schemes have been derived for approximating decoupled forward-backward stochastic differential equations (FBSDEs). The stability and high order rate of convergence of the schemes are rigorously…

Numerical Analysis · Mathematics 2021-02-12 Qiang Han , Shaolin Ji
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