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This paper investigates the convergence properties of sample-average approximations (SAA) for set-valued systemic risk measures. We assume that the systemic risk measure is defined using a general aggregation function with some continuity…

Risk Management · Quantitative Finance 2024-08-19 Wissam AlAli , Çağın Ararat

We investigate statistical properties of the optimal value of the Sample Average Approximation of stochastic programs, continuing the study in Kr\"atschmer (2023). Central Limit Theorem type results are derived for the optimal value. As a…

Optimization and Control · Mathematics 2023-12-12 Volker Krätschmer

A new method called "variational sampling" is proposed to estimate integrals under probability distributions that can be evaluated up to a normalizing constant. The key idea is to fit the target distribution with an exponential family model…

Computation · Statistics 2013-10-15 Alexis Roche

In a wide variety of sequential decision making problems, it can be important to estimate the impact of rare events in order to minimize risk exposure. A popular risk measure is the conditional value-at-risk (CVaR), which is commonly…

Machine Learning · Statistics 2020-12-11 Dylan Troop , Frédéric Godin , Jia Yuan Yu

Trajectory optimization under uncertainty underpins a wide range of applications in robotics. However, existing methods are limited in terms of reasoning about sources of epistemic and aleatoric uncertainty, space and time correlations,…

Robotics · Computer Science 2023-09-28 Thomas Lew , Riccardo Bonalli , Marco Pavone

We investigate the feasibility of sample average approximation (SAA) for general stochastic optimization problems, including two-stage stochastic programming without the relatively complete recourse assumption. Instead of analyzing problems…

Optimization and Control · Mathematics 2022-02-22 Henry Lam , Fengpei Li

The popularity of Conditional Value-at-Risk (CVaR), a risk functional from finance, has been growing in the control systems community due to its intuitive interpretation and axiomatic foundation. We consider a nonstandard optimal control…

Systems and Control · Electrical Eng. & Systems 2022-06-22 Margaret P. Chapman , Michael Fauss , Kevin M. Smith

Variational inequalities (VIs) encompass many fundamental problems in diverse areas ranging from engineering to economics and machine learning. However, their considerable expressivity comes at the cost of computational intractability. In…

Computer Science and Game Theory · Computer Science 2025-03-03 Brian Hu Zhang , Ioannis Anagnostides , Emanuel Tewolde , Ratip Emin Berker , Gabriele Farina , Vincent Conitzer , Tuomas Sandholm

Variational inequality problems allow for capturing an expansive class of problems, including convex optimization problems, convex Nash games and economic equilibrium problems, amongst others. Yet in most practical settings, such problems…

Optimization and Control · Mathematics 2017-02-17 Uma V. Ravat , Uday V. Shanbhag

A new realized conditional autoregressive Value-at-Risk (VaR) framework is proposed, through incorporating a measurement equation into the original quantile regression model. The framework is further extended by employing various Expected…

Risk Management · Quantitative Finance 2021-01-18 Chao Wang , Richard Gerlach , Qian Chen

Simple stochastic games can be solved by value iteration (VI), which yields a sequence of under-approximations of the value of the game. This sequence is guaranteed to converge to the value only in the limit. Since no stopping criterion is…

Logic in Computer Science · Computer Science 2021-02-02 Edon Kelmendi , Julia Krämer , Jan Kretinsky , Maximilian Weininger

We present variational inference with sequential sample-average approximation (VISA), a method for approximate inference in computationally intensive models, such as those based on numerical simulations. VISA extends importance-weighted…

Machine Learning · Statistics 2024-03-18 Heiko Zimmermann , Christian A. Naesseth , Jan-Willem van de Meent

Value-at-Risk (VaR) and Conditional Value-at-Risk (CVaR) are two risk measures which are widely used in the practice of risk management. This paper deals with the problem of computing both VaR and CVaR using stochastic approximation (with…

Computational Finance · Quantitative Finance 2010-12-06 Olivier Aj Bardou , Noufel Frikha , G. Pagès

As a computational alternative to Markov chain Monte Carlo approaches, variational inference (VI) is becoming more and more popular for approximating intractable posterior distributions in large-scale Bayesian models due to its comparable…

Machine Learning · Statistics 2023-06-05 Anirban Bhattacharya , Debdeep Pati , Yun Yang

Conditional value-at-risk (CVaR) precisely characterizes the influence that rare, catastrophic events can exert over decisions. Such characterizations are important for both normal decision-making and for psychiatric conditions such as…

Artificial Intelligence · Computer Science 2021-11-15 Chris Gagne , Peter Dayan

Bayesian inference provides principled uncertainty quantification, but accurate posterior sampling with MCMC can be computationally prohibitive for modern applications. Variational inference (VI) offers a scalable alternative and often…

Methodology · Statistics 2026-05-14 Laura Battaglia , Stefano Cortinovis , Chris Holmes , David T. Frazier , Jack Jewson

Sampling and Variational Inference (VI) are two large families of methods for approximate inference that have complementary strengths. Sampling methods excel at approximating arbitrary probability distributions, but can be inefficient. VI…

Machine Learning · Statistics 2022-03-07 Richard D. Lange , Ari Benjamin , Ralf M. Haefner , Xaq Pitkow

We are concerned with optimization in a broad sense through the lens of solving variational inequalities (VIs) -- a class of problems that are so general that they cover as particular cases minimization of functions, saddle-point (minimax)…

Optimization and Control · Mathematics 2026-02-17 Pavel Dvurechensky , Andrea Ebner , Johannes Carl Schnebel , Shimrit Shtern , Mathias Staudigl

Adaptive sampling algorithms are modern and efficient methods that dynamically adjust the sample size throughout the optimization process. However, they may encounter difficulties in risk-averse settings, particularly due to the challenge…

Optimization and Control · Mathematics 2025-02-17 Sandra Pieraccini , Tommaso Vanzan

Chance constrained programming (CCP) refers to a type of optimization problem with uncertain constraints that are satisfied with at least a prescribed probability level. In this work, we study the sample average approximation (SAA) of…

Optimization and Control · Mathematics 2025-04-30 Peng Wang , Rujun Jiang , Qingyuan Kong , Laura Balzano