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We study the implicit Langevin Monte Carlo (iLMC) method, which simulates the overdamped Langevin equation via an implicit iteration rule. In many applications, iLMC is favored over other explicit schemes such as the (explicit) Langevin…

Numerical Analysis · Mathematics 2025-11-07 Lei Li , Jian-Guo Liu , Yuliang Wang

Modelling random dynamical systems in continuous time, diffusion processes are a powerful tool in many areas of science. Model parameters can be estimated from time-discretely observed processes using Markov chain Monte Carlo (MCMC) methods…

Computation · Statistics 2020-10-12 Susanne Pieschner , Christiane Fuchs

An efficient conditioning technique, the so-called Brownian Bridge simulation, has previously been applied to eliminate pricing bias that arises in applications of the standard discrete-time Monte Carlo method to evaluate options written on…

Computational Finance · Quantitative Finance 2009-04-08 P. V. Shevchenko

We combine the one-dimensional Monte Carlo simulation and the semi-analytical one-dimensional heat potential method to design an efficient technique for pricing barrier options on assets with correlated stochastic volatility. Our approach…

Computational Finance · Quantitative Finance 2022-02-17 Alexander Lipton , Artur Sepp

We present a new antithetic multilevel Monte Carlo (MLMC) method for the estimation of expectations with respect to laws of diffusion processes that can be elliptic or hypo-elliptic. In particular, we consider the case where one has to…

Numerical Analysis · Mathematics 2025-04-29 Yuga Iguchi , Ajay Jasra , Mohamed Maama , Alexandros Beskos

We consider the computational efficiency of Monte Carlo (MC) and Multilevel Monte Carlo (MLMC) methods applied to partial differential equations with random coefficients. These arise, for example, in groundwater flow modelling, where a…

Numerical Analysis · Mathematics 2024-12-12 Anastasia Istratuca , Aretha Teckentrup

A higher-order change-of-measure multilevel Monte Carlo (MLMC) method is developed for computing weak approximations of the invariant measures of SDE with drift coefficients that do not satisfy the contractivity condition. This is achieved…

Numerical Analysis · Mathematics 2024-03-12 Sankarasubramanian Ragunathan , Håkon Andreas Hoel

We develop a new Monte Carlo variance reduction method to estimate the expectation of two commonly encountered path-dependent functionals: first-passage times and occupation times of sets. The method is based on a recursive approximation of…

Probability · Mathematics 2014-10-28 Aleksandar Mijatovic , Martijn Pistorius , Johannes Stolte

In this article we consider static Bayesian parameter estimation for partially observed diffusions that are discretely observed. We work under the assumption that one must resort to discretizing the underlying diffusion process, for…

Computation · Statistics 2017-01-23 Ajay Jasra , Kengo Kamatani , Kody J. H. Law , Yan Zhou

We develop new multilevel Monte Carlo (MLMC) methods to estimate the expectation of the smallest eigenvalue of a stochastic convection-diffusion operator with random coefficients. The MLMC method is based on a sequence of finite element…

Numerical Analysis · Mathematics 2024-02-13 Tiangang Cui , Hans De Sterck , Alexander D. Gilbert , Stanislav Polishchuk , Robert Scheichl

In this paper, we evaluate the performance of the multilevel Monte Carlo method (MLMC) for deterministic and uncertain hyperbolic systems, where randomness is introduced either in the modeling parameters or in the approximation algorithms.…

Numerical Analysis · Mathematics 2023-01-04 Junpeng Hu , Shi Jin , Jinglai Li , Lei Zhang

This paper addresses optimization problems constrained by partial differential equations with uncertain coefficients. In particular, the robust control problem and the average control problem are considered for a tracking type cost…

Optimization and Control · Mathematics 2017-11-08 Andreas Van Barel , Stefan Vandewalle

In this work, we tackle the problem of minimising the Conditional-Value-at-Risk (CVaR) of output quantities of complex differential models with random input data, using gradient-based approaches in combination with the Multi-Level Monte…

Numerical Analysis · Mathematics 2023-10-16 Sundar Ganesh , Fabio Nobile

The subsurface flow is usually subject to uncertain porous media structures. In most cases, however, we only have partial knowledge about the porous media properties. A common approach is to model the uncertain parameters of porous media as…

Numerical Analysis · Mathematics 2019-10-11 Yang Liu , Jingfa Li , Shuyu Sun , Bo Yu

Multilevel Monte Carlo (MLMC) is a recently proposed variation of Monte Carlo (MC) simulation that achieves variance reduction by simulating the governing equations on a series of spatial (or temporal) grids with increasing resolution.…

Computation · Statistics 2017-04-26 Hillary Fairbanks , Alireza Doostan , Christian Ketelsen , Gianluca Iaccarino

Connecting optimal transport and variational inference, we present a principled and systematic framework for sampling and generative modelling centred around divergences on path space. Our work culminates in the development of the…

Machine Learning · Statistics 2025-05-08 Francisco Vargas , Shreyas Padhy , Denis Blessing , Nikolas Nüsken

In this paper, we introduce the $\sigma$-antithetic multilevel Monte Carlo (MLMC) estimator for a multi-dimensional diffusion which is an extended version of the original antithetic MLMC one introduced by Giles and Szpruch \cite{a}. Our aim…

Probability · Mathematics 2024-01-26 Mohamed Ben Alaya , Ahmed Kebaier , Thi Bao Tram Ngo

Distributed learning methods have gained substantial momentum in recent years, with communication overhead often emerging as a critical bottleneck. Gradient compression techniques alleviate communication costs but involve an inherent…

Machine Learning · Computer Science 2025-07-09 Ze'ev Zukerman , Bassel Hamoud , Kfir Y. Levy

This article is concerned with the multilevel Monte Carlo (MLMC) methods for approximating expectations of some functions of the solution to the Heston 3/2-model from mathematical finance, which takes values in $(0, \infty)$ and possesses…

Numerical Analysis · Mathematics 2024-03-12 Xiaojuan Wu , Siqing Gan

We extend the Bismut-Elworthy-Li formula to non-degenerate jump diffusions and "payoff" functions depending on the process at multiple future times. In the spirit of Fournie et al [13] and Davis and Johansson [9] this can improve Monte…

Probability · Mathematics 2008-12-02 T. R. Cass , P. K. Friz
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