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Related papers: Quantum Computation for Pricing Caps using the LIB…

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When interest rate dynamics are described by the Libor Market Model as in BGM97, we show how some essential risk-management results can be obtained from the dual of the calibration program. In particular, if the objetive is to maximize…

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 Alexandre d'Aspremont

This study explores quantum and classical hybrid architectures for financial time-series fore casting, focusing on Quantum Long Short-Term Memory (QLSTM) networks and Quantum Reservoir Computing (QRC), using univariate and multivariate lag…

Quantum Physics · Physics 2026-05-05 Danyal Maheshwari , Gerhard Hellstern , Martin Zaefferer , Martin Braun , Tanja Döhler

Quantum computer is extensively used in solving financial problems. Quantum amplitude estimation, an algorithm that aims to estimate the amplitude of a given quantum state, can be utilized to determine the expectation value of bonds as the…

Quantum Physics · Physics 2024-04-09 Jaewoong Heo , Moonjoo Lee

The randomized linear combination of unitaries (LCU) method with many applications to early fault-tolerant quantum computing algorithms has been proposed. This quantum algorithm computes the same expectation values as the original, fully…

Quantum Physics · Physics 2026-02-16 Kaito Wada , Hiroyuki Harada , Yasunari Suzuki , Yuuki Tokunaga , Naoki Yamamoto , Suguru Endo

Quantum computers have the potential to provide an advantage for financial pricing problems by the use of quantum estimation. In a broader context, it is reasonable to ask about situations where the market and the assets traded on the…

Quantum Physics · Physics 2023-04-06 Jinge Bao , Patrick Rebentrost

Options have provided a field of much study because of the complexity involved in pricing them. The Black-Scholes equations were developed to price options but they are only valid for European styled options. There is added complexity when…

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 Michael Maio Pires , Tshilidzi Marwala

Latent class model (LCM), which is a finite mixture of different categorical distributions, is one of the most widely used models in statistics and machine learning fields. Because of its non-continuous nature and the flexibility in shape,…

Machine Learning · Statistics 2021-03-23 Hao Chen , Lanshan Han , Alvin Lim

In the following paper we provide a review and development of sequential Monte Carlo (SMC) methods for option pricing. SMC are a class of Monte Carlo-based algorithms, that are designed to approximate expectations w.r.t a sequence of…

Computation · Statistics 2010-05-27 Ajay Jasra , Pierre Del Moral

We develop several deep learning algorithms for approximating families of parametric PDE solutions. The proposed algorithms approximate solutions together with their gradients, which in the context of mathematical finance means that the…

Computational Finance · Quantitative Finance 2022-01-19 Marc Sabate Vidales , David Siska , Lukasz Szpruch

We develop quantum algorithms for pricing Asian and barrier options under the Heston model, a popular stochastic volatility model, and estimate their costs, in terms of T-count, T-depth and number of logical qubits, on instances under…

Quantum Physics · Physics 2024-10-23 Guoming Wang , Angus Kan

In this work, we present the methods necessary to price an important set of derivatives on a quantum device while offering an advantage over existing classical methods. The methods developed here, in conjunction with ~\cite{GumaroS2026},…

Quantum Physics · Physics 2026-05-29 Gumaro Rendon , Stepan Smid , Sarvagya Upadhyay

The recent crash demonstrated (once again) that the description of the financial market by present financial mathematics cannot be considered as totally satisfactory. We remind that nowadays financial mathematics is heavily based on the use…

General Physics · Physics 2009-02-12 Andrei Khrennikov

Hybrid Quantum-Classical Machine Learning (ML) is an emerging field, amalgamating the strengths of both classical neural networks and quantum variational circuits on the current noisy intermediate-scale quantum devices. This paper performs…

Traditional quantitative investment research is encountering diminishing returns alongside rising labor and time costs. To overcome these challenges, we introduce the Large Investment Model (LIM), a novel research paradigm designed to…

Statistical Finance · Quantitative Finance 2024-08-23 Jian Guo , Heung-Yeung Shum

Quantum machine learning (QML) has recently made significant advancements in various topics. Despite the successes, the safety and interpretability of QML applications have not been thoroughly investigated. This work proposes using…

Quantum Physics · Physics 2024-08-13 Hsin-Yi Lin , Huan-Hsin Tseng , Samuel Yen-Chi Chen , Shinjae Yoo

Cosmology is in an era of rapid discovery especially in areas related to dark energy, dark matter and inflation. Quantum cosmology treats the cosmology quantum mechanically and is important when quantum effects need to be accounted for,…

This study proposes a novel hybrid deep learning framework that integrates a Large Language Model (LLM) with a Transformer architecture for stock price forecasting. The research addresses a critical theoretical gap in existing approaches…

Computations of quantum corrections to the CMB spectrum and to scalar field dynamics during inflation very often take advantage of the "semi-classical" approach, where the metric fluctuations are simply omitted. On the other hand, a…

High Energy Physics - Phenomenology · Physics 2015-11-04 Matti Herranen , Asgeir Osland , Anders Tranberg

Computational Fluid Dynamics simulations are crucial in industrial applications but require extensive computational resources, particularly for extreme turbulent regimes. While classical digital approaches remain the standard, quantum…

Quantum Physics · Physics 2025-04-18 Francesco Turro , Alessandra Lignarolo , Daniele Dragoni

We investigate the application of quantum cognition machine learning (QCML), a novel paradigm for both supervised and unsupervised learning tasks rooted in the mathematical formalism of quantum theory, to distance metric learning in…

Statistical Finance · Quantitative Finance 2025-02-04 Joshua Rosaler , Luca Candelori , Vahagn Kirakosyan , Kharen Musaelian , Ryan Samson , Martin T. Wells , Dhagash Mehta , Stefano Pasquali
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