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Performative prediction aims to model scenarios where predictive outcomes subsequently influence the very systems they target. The pursuit of a performative optimum (PO) -- minimizing performative risk -- is generally reliant on modeling of…

Machine Learning · Computer Science 2025-02-11 Songkai Xue , Yuekai Sun

We provide an explicit characterization of the optimal market making strategy in a discrete-time Limit Order Book (LOB). In our model, the number of filled orders during each period depends linearly on the distance between the fundamental…

Trading and Market Microstructure · Quantitative Finance 2021-01-11 Agostino Capponi , José E. Figueroa-López , Chuyi Yu

Diffusion large language models (dLLMs) have emerged as a promising alternative for text generation, distinguished by their native support for parallel decoding. In practice, block inference is crucial for avoiding order misalignment in…

Computation and Language · Computer Science 2026-03-17 Lizhuo Luo , Shenggui Li , Yonggang Wen , Tianwei Zhang

Algorithmic trading relies on extracting meaningful signals from diverse financial data sources, including candlestick charts, order statistics on put and canceled orders, traded volume data, limit order books, and news flow. While deep…

Machine Learning · Computer Science 2025-04-22 Kasymkhan Khubiev , Mikhail Semenov

A novel high-frequency market-making approach in discrete time is proposed that admits closed-form solutions. By taking advantage of demand functions that are linear in the quoted bid and ask spreads with random coefficients, we model the…

Trading and Market Microstructure · Quantitative Finance 2024-05-21 Jonathan Chávez-Casillas , José E. Figueroa-López , Chuyi Yu , Yi Zhang

The present work addresses theoretical and practical questions in the domain of Deep Learning for High Frequency Trading. State-of-the-art models such as Random models, Logistic Regressions, LSTMs, LSTMs equipped with an Attention mask,…

Trading and Market Microstructure · Quantitative Finance 2020-10-20 Antonio Briola , Jeremy Turiel , Tomaso Aste

Demand-side management (DSM) enables distribution system operators (DSOs) to steer electricity consumption through dynamic price signals or incentive mechanisms, thereby leveraging end-users' flexibility potential for delivering grid…

Optimization and Control · Mathematics 2026-05-04 Silvia Cianchi , Reza Rahimi Baghbadorani , Anibal Sanjab , Sergio Grammatico

Due to increased penetration of renewable resources in the distribution grid, the distribution system operator (DSO) faces increased challenges to maintain security and quality of supply. Since, a large proportion of renewables are…

Systems and Control · Electrical Eng. & Systems 2021-08-10 Ankur Majumdar , Omid Alizadeh-Mousavi

Modeling non-stationary data is a challenging problem in the field of continual learning, and data distribution shifts may result in negative consequences on the performance of a machine learning model. Classic learning tools are often…

Machine Learning · Computer Science 2024-10-23 Sebastián Basterrech , Line Clemmensen , Gerardo Rubino

We propose a limit order book (LOB) model with dynamics that account for both the impact of the most recent order and the shape of the LOB. We present an empirical analysis showing that the type of the last order significantly alters the…

Trading and Market Microstructure · Quantitative Finance 2017-10-31 Federico Gonzalez , Mark Schervish

Use of machine learning to perform database operations, such as indexing, cardinality estimation, and sorting, is shown to provide substantial performance benefits. However, when datasets change and data distribution shifts, empirical…

Machine Learning · Computer Science 2024-11-12 Sepanta Zeighami , Cyrus Shahahbi

In open-set semi-supervised learning (OSSL), we consider unlabeled datasets that may contain unknown classes. Existing OSSL methods often use the softmax confidence for classifying data as in-distribution (ID) or out-of-distribution (OOD).…

Machine Learning · Computer Science 2026-01-26 Erik Wallin , Lennart Svensson , Fredrik Kahl , Lars Hammarstrand

This paper studies Distributionally Robust Optimization (DRO), a fundamental framework for enhancing the robustness and generalization of statistical learning and optimization. An effective ambiguity set for DRO must involve distributions…

Machine Learning · Computer Science 2025-10-28 Jiaqi Wen , Jianyi Yang

Reinforcement Learning has emerged as a promising framework for developing adaptive and data-driven strategies, enabling market makers to optimize decision-making policies based on interactions with the limit order book environment. This…

Trading and Market Microstructure · Quantitative Finance 2026-02-17 Rafael Zimmer , Oswaldo Luiz do Valle Costa

Enhancing the stability of machine learning algorithms under distributional shifts is at the heart of the Out-of-Distribution (OOD) Generalization problem. Derived from causal learning, recent works of invariant learning pursue strict…

Machine Learning · Computer Science 2024-02-15 Jiashuo Liu , Jiayun Wu , Jie Peng , Xiaoyu Wu , Yang Zheng , Bo Li , Peng Cui

Large-scale streaming data are common in modern machine learning applications and have led to the development of online learning algorithms. Many fields, such as supply chain management, weather and meteorology, energy markets, and finance,…

Machine Learning · Statistics 2026-04-27 Simon Hirsch , Jonathan Berrisch , Florian Ziel

We consider the problem of dynamic pricing with limited supply. A seller has $k$ identical items for sale and is facing $n$ potential buyers ("agents") that are arriving sequentially. Each agent is interested in buying one item. Each…

Computer Science and Game Theory · Computer Science 2013-11-27 Moshe Babaioff , Shaddin Dughmi , Robert Kleinberg , Aleksandrs Slivkins

We present a new adaptive algorithm for learning discrete distributions under distribution drift. In this setting, we observe a sequence of independent samples from a discrete distribution that is changing over time, and the goal is to…

Machine Learning · Computer Science 2024-03-11 Alessio Mazzetto

In real-world applications, the limited availability of labeled outcomes presents significant challenges for statistical inference due to high collection costs, technical barriers, and other constraints. In this work, we propose a method to…

Methodology · Statistics 2025-10-14 Menghan Yi , Yanlin Tang , Huixia Judy Wang

In many large-scale machine learning applications, data are accumulated with time, and thus, an appropriate model should be able to update in an online paradigm. Moreover, as the whole data volume is unknown when constructing the model, it…

Machine Learning · Computer Science 2020-07-07 Peng Zhao , Zhi-Hua Zhou
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