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Christoffersen, Jacobs, Ornthanalai, and Wang (2008) (CJOW) proposed an improved Generalized Autoregressive Conditional Heteroskedasticity (GARCH) model for valuing European options, where the return volatility is comprised of two distinct…

Econometrics · Economics 2024-10-21 Luca Vincenzo Ballestra , Enzo D'Innocenzo , Christian Tezza

Modeling responses on the nodes of a large-scale network is an important task that arises commonly in practice. This paper proposes a community network vector autoregressive (CNAR) model, which utilizes the network structure to characterize…

Methodology · Statistics 2020-07-13 Elynn Y. Chen , Jianqing Fan , Xuening Zhu

This study constructs an integrated early warning system (EWS) that identifies and predicts stock market turbulence. Based on switching ARCH (SWARCH) filtering probabilities of the high volatility regime, the proposed EWS first classifies…

Econometrics · Economics 2019-12-02 Peiwan Wang , Lu Zong , Ye Ma

We describe a novel method for modeling non-stationary multivariate time series, with time-varying conditional dependencies represented through dynamic networks. Our proposed approach combines traditional multi-scale modeling and network…

Methodology · Statistics 2017-12-25 Xinyu Kang , Apratim Ganguly , Eric D. Kolaczyk

Various statistical analysis methods are studied for years to extract accurate trends of network traffic and predict the future load mainly to allocate required resources. Besides, many stochastic modeling techniques are offered to…

Networking and Internet Architecture · Computer Science 2019-12-30 Doğanalp Ergenç , Ertan Onur

This paper examines volatility in REITs using a multivariate GARCH based model. The Multivariate VAR-GARCH technique documents the return and volatility linkages between REIT sub-sectors and also examines the influence of other US equity…

Statistical Finance · Quantitative Finance 2011-03-30 John Cotter , Simon Stevenson

Time-varying systems are a challenge in many scientific and engineering areas. Usually, estimation of time-varying parameters or signals must be performed online, which calls for the development of responsive online algorithms. In this…

Optimization and Control · Mathematics 2018-09-10 Sophie M. Fosson

Adaptive-network models are typically studied using deterministic differential equations which approximately describe their dynamics. In simulations, however, the discrete nature of the network gives rise to intrinsic noise which can…

Statistical Mechanics · Physics 2012-09-04 Tim Rogers , William Clifford-Brown , Catherine Mills , Tobias Galla

Contemporary time series data often feature objects connected by a social network that naturally induces temporal dependence involving connected neighbours. The network vector autoregressive model is useful for describing the influence of…

Methodology · Statistics 2023-09-18 Weichi Wu , Chenlei Leng

While time series momentum is a well-studied phenomenon in finance, common strategies require the explicit definition of both a trend estimator and a position sizing rule. In this paper, we introduce Deep Momentum Networks -- a hybrid…

Machine Learning · Statistics 2020-09-29 Bryan Lim , Stefan Zohren , Stephen Roberts

The stochastic volatility model is one of volatility models which infer latent volatility of asset returns. The Bayesian inference of the stochastic volatility (SV) model is performed by the hybrid Monte Carlo (HMC) algorithm which is…

Computational Finance · Quantitative Finance 2014-08-06 Tetsuya Takaishi

In complex financial systems, the sector structure and volatility clustering are respectively important features of the spatial and temporal correlations. However, the microscopic generation mechanism of the sector structure is not yet…

General Finance · Quantitative Finance 2015-04-09 Jun-Jie Chen , Lei Tan , Bo Zheng

We consider a mean-reverting stochastic volatility model which satisfies some relevant stylized facts of financial markets. We introduce an algorithm for the detection of peaks in the volatility profile, that we apply to the time series of…

Statistical Finance · Quantitative Finance 2016-12-05 Mario Bonino , Matteo Camelia , Paolo Pigato

This paper proposes a dynamic regression (DR) framework that enhances existing deep spatiotemporal models by incorporating structured learning for the error process in traffic forecasting. The framework relaxes the assumption of time…

Machine Learning · Computer Science 2025-04-09 Vincent Zhihao Zheng , Seongjin Choi , Lijun Sun

Stock selection attempts to rank a list of stocks for optimizing investment decision making, aiming at minimizing investment risks while maximizing profit returns. Recently, researchers have developed various (recurrent) neural…

Statistical Finance · Quantitative Finance 2022-10-31 Qiang Gao , Xinzhu Zhou , Kunpeng Zhang , Li Huang , Siyuan Liu , Fan Zhou

This paper introduces a novel Ito diffusion process to model high-frequency financial data, which can accommodate low-frequency volatility dynamics by embedding the discrete-time non-linear exponential GARCH structure with log-integrated…

Econometrics · Economics 2021-11-09 Donggyu Kim

As is widely known, the stock market is a complex system in which a multitude of factors influence the performance of individual stocks and the market as a whole. One method for comprehending -- and potentially predicting -- stock market…

Statistical Finance · Quantitative Finance 2023-12-19 Aarush Pratik Sheth , Jonah Riley Weinbaum , Kevin Javier Zvonarek

Time series prediction is an important problem in machine learning. Previous methods for time series prediction did not involve additional information. With a lot of dynamic knowledge graphs available, we can use this additional information…

Machine Learning · Computer Science 2020-07-14 Sankalp Garg , Navodita Sharma , Woojeong Jin , Xiang Ren

HYGARCH model is basically used to model long-range dependence in volatility. We propose Markov switch smooth-transition HYGARCH model, where the volatility in each state is a time-dependent convex combination of GARCH and FIGARCH. This…

Statistics Theory · Mathematics 2018-03-05 Ferdous Mohammadi Basatini , Saeid Rezakhah

An important feature of all real-world networks is that the network structure changes over time. Due to this dynamic nature, it becomes difficult to propose suitable growth models that can explain the various important characteristic…

Social and Information Networks · Computer Science 2016-02-17 Sandipan Sikdar , Niloy Ganguly , Animesh Mukherjee
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