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This article demonstrates how variation of parameters can be successfully implemented in combination with other classical techniques, such as the method of characteristics, to derive novel classes of solutions to nonlinear partial…

Analysis of PDEs · Mathematics 2025-05-13 Noureddine Mhadhbi , Sameh Gana , Mazen Fawaz Alsaeedi

Variational quantum Monte Carlo (VMC) combined with neural-network quantum states offers a novel angle of attack on the curse-of-dimensionality encountered in a particular class of partial differential equations (PDEs); namely, the real-…

Numerical Analysis · Mathematics 2022-07-26 Tianchen Zhao , Chuhao Sun , Asaf Cohen , James Stokes , Shravan Veerapaneni

Many systems of partial differential equations have been proposed as simplified representations of complex collective behaviours in large networks of neurons. In this survey, we briefly discuss their derivations and then review the…

Analysis of PDEs · Mathematics 2025-01-13 José A Carrillo , Pierre Roux

Multi-asset option pricing under local- and stochastic-volatility models leads naturally to high-dimensional parabolic PDEs. We develop an end-to-end quantum PDE framework for European option pricing under local-volatility Black--Scholes…

Quantum Physics · Physics 2026-05-27 Nikita Guseynov , Nana Liu , Chi Seng Pun , Tushar Vaidya

In this paper, we propose a novel Physics-Informed Neural Network (PINN) framework based on the Cord\`{e}s condition for solving both linear and fully nonlinear partial differential equations (PDEs) in non-divergence form, together with…

Numerical Analysis · Mathematics 2026-04-29 Bingcheng Hu , Lixiang Jin , Zhaoxiang Li

We present high-order compact schemes for a linear second-order parabolic partial differential equation (PDE) with mixed second-order derivative terms in two spatial dimensions. The schemes are applied to option pricing PDE for a family of…

Computational Finance · Quantitative Finance 2016-11-02 Bertram Düring , Christof Heuer

We study the general model of self-financing trading strategies in illiquid markets introduced by Schoenbucher and Wilmott, 2000. A hedging strategy in the framework of this model satisfies a nonlinear partial differential equation (PDE)…

Pricing of Securities · Quantitative Finance 2020-09-28 Ljudmila A. Bordag , Anna Mikaelyan

This paper is concerned with the adaptation of alternating direction implicit (ADI) time discretization schemes for the numerical solution of partial integro-differential equations (PIDEs) with application to the Bates model in finance.…

Numerical Analysis · Mathematics 2017-12-20 Karel in 't Hout , Jari Toivanen

The usual approach to model reduction for parametric partial differential equations (PDEs) is to construct a linear space $V_n$ which approximates well the solution manifold $\mathcal{M}$ consisting of all solutions $u(y)$ with $y$ the…

Numerical Analysis · Mathematics 2020-05-07 Andrea Bonito , Albert Cohen , Ronald DeVore , Diane Guignard , Peter Jantsch , Guergana Petrova

Physics informed neural networks (PINNs) have emerged as a powerful tool to provide robust and accurate approximations of solutions to partial differential equations (PDEs). However, PINNs face serious difficulties and challenges when…

Machine Learning · Computer Science 2023-07-11 Rajat Arora

Our title challenges the reader to venture beyond linear algebra in designing models and in thinking about numerical algorithms for identifying solutions. This article accompanies the author's lecture at the International Congress of…

Algebraic Geometry · Mathematics 2021-08-24 Bernd Sturmfels

We adopt the integral definition of the fractional Laplace operator and analyze an optimal control problem for a fractional semilinear elliptic partial differential equation (PDE); control constraints are also considered. We establish the…

Numerical Analysis · Mathematics 2021-09-07 Enrique Otarola

A non-uniform implicit-explicit L1 mixed finite element method (IMEX-L1-MFEM) is investigated for a class of time-fractional partial integro-differential equations (PIDEs) with space-time dependent coefficients and non-self-adjoint elliptic…

Numerical Analysis · Mathematics 2024-11-05 Lok Pati Tripathi , Aditi Tomar , Amiya K. Pani

We propose a generic calibration framework to both vanilla and no-touch options for a large class of continuous semi-martingale models. The method builds upon the forward partial integro-differential equation (PIDE) derived in Hambly et al.…

Mathematical Finance · Quantitative Finance 2025-11-19 Alan Bain , Matthieu Mariapragassam , Christoph Reisinger

Identifying integrable coupled nonlinear ordinary differential equations (ODEs) of dissipative type and deducing their general solutions are some of the challenging tasks in nonlinear dynamics. In this paper we undertake these problems and…

Exactly Solvable and Integrable Systems · Physics 2010-10-28 R. Gladwin Pradeep , V. K. Chandrasekar , M. Senthilvelan , M. Lakshmanan

This paper discusses the connection between mathematical finance and statistical modelling which turns out to be more than a formal mathematical correspondence. We like to figure out how common results and notions in statistics and their…

Statistics Theory · Mathematics 2012-04-23 Arnold Janssen , Martin Tietje

We consider a two-asset non-linear model of option pricing in an environment where the correlation is not known precisely, but varies between two known values. First we discuss the non-negativity of the solution of the equation. Next, we…

Numerical Analysis · Mathematics 2015-09-11 Miglena N. Koleva , Lubin G. Vulkov

This work is focused on the solvability of initial-boundary value problems for degenerate parabolic partial differential equations that arise in the pricing of Asian options, and on the investigation of differential and certain qualitative…

Computational Finance · Quantitative Finance 2009-02-11 Rasoul Behboudi , You-Lan Zhu

The goal of this thesis is to provide efficient and provably convergent numerical methods for solving partial differential equations (PDEs) coming from impulse control problems motivated by finance. Impulses, which are controlled jumps in a…

Numerical Analysis · Mathematics 2018-02-05 Parsiad Azimzadeh

Symmetry, which describes invariance, is an eternal concern in mathematics and physics, especially in the investigation of solutions to the partial differential equation (PDE). A PDE's nonlocally related PDE systems provide excellent…

Mathematical Physics · Physics 2025-10-07 Huanjin Wang , Qiulan Zhao , Xinyue Li