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The discrete time path integral Monte Carlo (PIMC) with a one-particle density matrix approximation is applied to study the quantum phase transition in the coupled double-well chain. To improve the convergence properties, the exact action…

Statistical Mechanics · Physics 2015-06-25 Dong-Hee Kim , Yu-Cheng Lin , Heiko Rieger

Exploring the potential application of quantum computers in material design and drug discovery has attracted a lot of interest in the age of quantum computing. However, the quantum resource requirement for solving practical electronic…

Quantum Physics · Physics 2022-09-01 Huan Ma , Yi Fan , Jie Liu , Honghui Shang , Zhenyu Li , Jinlong Yang

Partial Differential Equations (PDEs) are the bedrock for modern computational sciences and engineering, and inherently computationally expensive. While PDE foundation models have shown much promise for simulating such complex…

In this paper, we present a quantum implicit-explicit (IMEX) scheme for multiscale ordinary and partial differential equations whose discretization parameters are independent of the scaling parameter $\varepsilon$. A key ingredient of our…

Numerical Analysis · Mathematics 2026-05-29 Qitong Hu , Xiaoyang He , Shi Jin , Xiao-Dong Zhang

This paper covers a massive acceleration of Monte-Carlo based pricing method for financial products and financial derivatives. The method is applicable in risk management settings, where a financial product has to be priced under a number…

Computational Engineering, Finance, and Science · Computer Science 2008-09-30 Stefan Dirnstorfer , Andreas J. Grau

Applications of the quantum algorithm for Monte Carlo simulation to pricing of financial derivatives have been discussed in previous papers. However, up to now, the pricing model discussed in such papers is Black-Scholes model, which is…

Quantum Physics · Physics 2020-07-06 Kazuya Kaneko , Koichi Miyamoto , Naoyuki Takeda , Kazuyoshi Yoshino

We develop a time-dependent variational Monte Carlo (t-VMC) method for quantum dynamics of strongly correlated electrons. The t-VMC method has been recently applied to bosonic systems and quantum spin systems. Here, we propose a…

Strongly Correlated Electrons · Physics 2015-12-22 Kota Ido , Takahiro Ohgoe , Masatoshi Imada

The introduction of Neural Quantum States (NQS) has recently given a new twist to variational Monte Carlo (VMC). The ability to systematically reduce the bias of the wave function ansatz renders the approach widely applicable. However,…

Computational Physics · Physics 2023-02-08 Markus Schmitt , Moritz Reh

We introduce an efficient variational hybrid quantum-classical algorithm designed for solving Caputo time-fractional partial differential equations. Our method employs an iterable cost function incorporating a linear combination of overlap…

We introduce two quantum algorithms to compute the Value at Risk (VaR) and Conditional Value at Risk (CVaR) of financial derivatives using quantum computers: the first by applying existing ideas from quantum risk analysis to derivative…

Quantum Physics · Physics 2024-04-17 Nikitas Stamatopoulos , B. David Clader , Stefan Woerner , William J. Zeng

We propose a new least-squares Monte Carlo algorithm for the approximation of conditional expectations in the presence of stochastic derivative weights. The algorithm can serve as a building block for solving dynamic programming equations,…

Statistics Theory · Mathematics 2020-10-02 Christian Bender , Nikolaus Schweizer

We propose a new `hedged' Monte-Carlo (HMC) method to price financial derivatives, which allows to determine simultaneously the optimal hedge. The inclusion of the optimal hedging strategy allows one to reduce the financial risk associated…

Condensed Matter · Physics 2007-05-23 Marc Potters , Jean-Philippe Bouchaud , Dragan Sestovic

In this paper we propose an efficient method to compute the price of multi-asset American options, based on Machine Learning, Monte Carlo simulations and variance reduction technique. Specifically, the options we consider are written on a…

Computational Finance · Quantitative Finance 2019-12-04 Ludovic Goudenège , Andrea Molent , Antonino Zanette

This topical review describes the methodology of continuum variational and diffusion quantum Monte Carlo calculations. These stochastic methods are based on many-body wave functions and are capable of achieving very high accuracy. The…

Materials Science · Physics 2010-02-11 R. J. Needs , M. D. Towler , N. D. Drummond , P. Lopez Rios

In this paper we consider sequential joint state and static parameter estimation given discrete time observations associated to a partially observed stochastic partial differential equation (SPDE). It is assumed that one can only estimate…

Numerical Analysis · Mathematics 2020-09-11 Yaxian Xu , Ajay Jasra , Kody J. H. Law

The rough Bergomi (rBergomi) model, introduced recently in [5], is a promising rough volatility model in quantitative finance. It is a parsimonious model depending on only three parameters, and yet remarkably fits with empirical implied…

Computational Finance · Quantitative Finance 2020-07-13 Christian Bayer , Chiheb Ben Hammouda , Raul Tempone

This paper presents a multinomial method for option pricing when the underlying asset follows an exponential Variance Gamma process. The continuous time Variance Gamma process is approximated by a discrete time Markov chain with the same…

Pricing of Securities · Quantitative Finance 2021-06-18 Nicola Cantarutti , João Guerra

Since the introduction of the Black-Scholes model stochastic processes have played an increasingly important role in mathematical finance. In many cases prices, volatility and other quantities can be modeled using stochastic ordinary…

Data Analysis, Statistics and Probability · Physics 2007-05-23 Yin Mei Wong , Joshua Wilkie

Quantum computers are not yet up to the task of providing computational advantages for practical stochastic diffusion models commonly used by financial analysts. In this paper we introduce a class of stochastic processes that are both…

Quantum Physics · Physics 2023-11-03 Eric Ghysels , Jack Morgan , Hamed Mohammadbagherpoor

This paper explores the feasibility of quantum simulation for partial differential equations (PDEs) with physical boundary or interface conditions. Semi-discretisation of such problems does not necessarily yield Hamiltonian dynamics and…

Quantum Physics · Physics 2023-05-05 Shi Jin , Xiantao Li , Nana Liu , Yue Yu