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This letter presents a technique to calculate the variance of algebraic variables of power system models represented as a set of stochastic differential-algebraic equations. The technique utilizes the solution of a Lyapunov equation and…

Systems and Control · Electrical Eng. & Systems 2022-12-05 Muhammad Adeen , Federico Bizzarri , Davide del Giudice , Samuele Grillo , Daniele Linaro , Angelo Brambilla , Federico Milano

Latent space models (LSMs) are often used to analyze dynamic (time-varying) networks that evolve in continuous time. Existing approaches to Bayesian inference for these models rely on Markov chain Monte Carlo algorithms, which cannot handle…

Methodology · Statistics 2024-01-19 Joshua Daniel Loyal

Bayesian methods have proved powerful in many applications for the inference of model parameters from data. These methods are based on Bayes' theorem, which itself is deceptively simple. However, in practice the computations required are…

Methodology · Statistics 2020-07-10 Michael A. Chappell , Mark W. Woolrich

In this paper, a new way to integrate volatility information for estimating value at risk (VaR) and conditional value at risk (CVaR) of a portfolio is suggested. The new method is developed from the perspective of Bayesian statistics and it…

Risk Management · Quantitative Finance 2022-05-04 Taras Bodnar , Vilhelm Niklasson , Erik Thorsén

We consider a continuous-time stochastic volatility model. The model contains a stationary volatility process, the multivariate density of the finite dimensional distributions of which we aim to estimate. We assume that we observe the…

Statistics Theory · Mathematics 2014-07-08 Bert van Es , Peter Spreij

Factors models are routinely used to analyze high-dimensional data in both single-study and multi-study settings. Bayesian inference for such models relies on Markov Chain Monte Carlo (MCMC) methods which scale poorly as the number of…

Methodology · Statistics 2025-04-29 Blake Hansen , Alejandra Avalos-Pacheco , Massimiliano Russo , Roberta De Vito

We address the problem of estimating steady-state quantities associated to systems of stochastic chemical kinetics. In most cases of interest these systems are analytically intractable, and one has to resort to computational methods to…

Quantitative Methods · Quantitative Biology 2014-01-21 Andreas Milias-Argeitis , John Lygeros , Mustafa Khammash

Although multivariate stochastic volatility models usually produce more accurate forecasts compared to the MGARCH models, their estimation techniques such as Bayesian MCMC typically suffer from the curse of dimensionality. We propose a fast…

Econometrics · Economics 2022-05-18 Benjamin Poignard , Manabu Asai

We consider the problem of learning a Gaussian variational approximation to the posterior distribution for a high-dimensional parameter, where we impose sparsity in the precision matrix to reflect appropriate conditional independence…

Computation · Statistics 2019-04-23 Linda S. L. Tan , David J. Nott

Timely characterizations of risks in economic and financial systems play an essential role in both economic policy and private sector decisions. However, the informational content of low-frequency variables and the results from conditional…

Econometrics · Economics 2022-09-07 Matteo Iacopini , Aubrey Poon , Luca Rossini , Dan Zhu

This paper provides a semiparametric model of estimating states of the volatility defined as the squared diffusion coefficient of a stochastic differential equation. Without assuming any functional form of the volatility function, we…

Statistics Theory · Mathematics 2007-07-18 I. Shoji

Few Bayesian methods for analyzing high-dimensional sparse survival data provide scalable variable selection, effect estimation and uncertainty quantification. Such methods often either sacrifice uncertainty quantification by computing…

Methodology · Statistics 2022-07-06 Michael Komodromos , Eric Aboagye , Marina Evangelou , Sarah Filippi , Kolyan Ray

Monitoring downside risk and upside risk to the key macroeconomic indicators is critical for effective policymaking aimed at maintaining economic stability. In this paper I propose a parametric framework for modelling and forecasting…

Econometrics · Economics 2023-11-21 Andrea Renzetti

We introduce a variational scheme inspired by classical shadow tomography to compute ground state correlations of quantum spin Hamiltonians. Shadow tomography allows for efficient reconstruction of expectation values of arbitrary…

Quantum Physics · Physics 2025-08-04 Pierre-Gabriel Rozon , Kartiek Agarwal

We empirically evaluate a stochastic annealing strategy for Bayesian posterior optimization with variational inference. Variational inference is a deterministic approach to approximate posterior inference in Bayesian models in which a…

Machine Learning · Statistics 2015-05-26 San Gultekin , Aonan Zhang , John Paisley

Modern statistical applications involving large data sets have focused attention on statistical methodologies which are both efficient computationally and able to deal with the screening of large numbers of different candidate models. Here…

Methodology · Statistics 2014-02-26 David J. Nott , Minh-Ngoc Tran , Chenlei Leng

The sampling efficiency of MCMC methods in Bayesian inference for stochastic volatility (SV) models is known to highly depend on the actual parameter values, and the effectiveness of samplers based on different parameterizations varies…

Computation · Statistics 2019-12-02 Darjus Hosszejni , Gregor Kastner

We forecast S&P 500 excess returns using a flexible Bayesian econometric state space model with non-Gaussian features at several levels. More precisely, we control for overparameterization via novel global-local shrinkage priors on the…

Econometrics · Economics 2025-02-07 Florian Huber , Gregor Kastner , Michael Pfarrhofer

Filtering and smoothing algorithms for linear discrete-time state-space models with skew-t distributed measurement noise are presented. The proposed algorithms improve upon our earlier proposed filter and smoother using the mean field…

Systems and Control · Computer Science 2016-03-22 Henri Nurminen , Tohid Ardeshiri , Robert Piche , Fredrik Gustafsson

A framework is presented for fitting inverse problem models via variational Bayes approximations. This methodology guarantees flexibility to statistical model specification for a broad range of applications, good accuracy and reduced model…

Methodology · Statistics 2024-09-05 Luca Maestrini , Robert G. Aykroyd , Matt P. Wand