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The problem of portfolio allocation in the context of stocks evolving in random environments, that is with volatility and returns depending on random factors, has attracted a lot of attention. The problem of maximizing a power utility at a…

Mathematical Finance · Quantitative Finance 2022-11-29 Maxim Bichuch , Jean-Pierre Fouque

In certain real-world optimization scenarios, practitioners are not interested in solving multiple problems but rather in finding the best solution to a single, specific problem. When the computational budget is large relative to the cost…

Machine Learning · Computer Science 2026-02-10 Judith Echevarrieta , Etor Arza , Aritz Pérez , Josu Ceberio

In the power and energy systems area, a progressive increase of literature contributions containing applications of metaheuristic algorithms is occurring. In many cases, these applications are merely aimed at proposing the testing of an…

Artificial Intelligence · Computer Science 2020-08-19 Gianfranco Chicco , Andrea Mazza

We present an end-to-end pipeline for large-scale portfolio selection with cardinality constraints and experimentally demonstrate it on trapped-ion quantum processors using hardware-aware decomposition. Building on RMT-based…

Finding the best configuration of algorithms' hyperparameters for a given optimization problem is an important task in evolutionary computation. We compare in this work the results of four different hyperparameter tuning approaches for a…

Neural and Evolutionary Computing · Computer Science 2022-03-18 Furong Ye , Carola Doerr , Hao Wang , Thomas Bäck

This paper investigates a continuous-time portfolio optimization problem with the following features: (i) a no-short selling constraint; (ii) a leverage constraint, that is, an upper limit for the sum of portfolio weights; and (iii) a…

Portfolio Management · Quantitative Finance 2022-03-08 Masashi Ieda

A lot of problems, from fields like sparse signal processing, statistics, portfolio selection, and machine learning, can be formulated as a cardinality constraint optimization problem. The cardinality constraint gives the problem a discrete…

Optimization and Control · Mathematics 2025-04-08 Vikram Singh , Min Sun

Radiation Therapy (RT) plays a pivotal role in the treatment of cancer, offering the potential to effectively target and eliminate tumour cells while minimizing harm to surrounding healthy tissues. However, the success of RT heavily depends…

Medical Physics · Physics 2024-02-16 Keshav Kumar K. , NVSL Narasimham , A. Ramakrishna Prasad

Given a set of assets and an investment capital, the classical portfolio selection problem consists in determining the amount of capital to be invested in each asset in order to build the most profitable portfolio. The portfolio…

Portfolio Management · Quantitative Finance 2019-07-17 Justo Puerto , Moises Rodríguez-Madrena , Andrea Scozzari

We consider the problem of selecting a portfolio of assets that provides the investor a suitable balance of expected return and risk. With respect to the seminal mean-variance model of Markowitz, we consider additional constraints on the…

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 Andrea Schaerf

This thesis investigates Merton's portfolio problem under two different rough Heston models, which have a non-Markovian structure. The motivation behind this choice of problem is due to the recent discovery and success of rough volatility…

Mathematical Finance · Quantitative Finance 2019-09-09 Benjamin James Duthie

A quadratic assignment problem (QAP) is a combinatorial optimization problem that belongs to the class of NP-hard ones. So, it is difficult to solve in the polynomial time even for small instances. Research on the QAP has thus focused on…

Neural and Evolutionary Computing · Computer Science 2020-07-30 Zohreh Raziei , Reza Tavakkoli-Moghaddam , Siavash Tabrizian

Graph matching is one of the most important problems in graph theory and combinatorial optimization, with many applications in various domains. Although meta-heuristic algorithms have had good performance on many NP-Hard and NP-Complete…

Neural and Evolutionary Computing · Computer Science 2019-04-01 Hashem Ezzati , Mahmood Amintoosi , Hashem Tabasi

In this paper we consider multiple constrained resource allocation problems, where the constraints can be specified by formulating activity dependency restrictions or by using game-theoretic models. All the problems are focused on generic…

Data Structures and Algorithms · Computer Science 2009-06-19 Mugurel Ionut Andreica , Madalina Ecaterina Andreica , Costel Visan

We develop the first quantum algorithm for the constrained portfolio optimization problem. The algorithm has running time $\widetilde{O} \left( n\sqrt{r} \frac{\zeta \kappa}{\delta^2} \log \left(1/\epsilon\right) \right)$, where $r$ is the…

Optimization and Control · Mathematics 2019-08-23 Iordanis Kerenidis , Anupam Prakash , Dániel Szilágyi

We study the feasibility and noise sensitivity of portfolio optimization under some downside risk measures (Value-at-Risk, Expected Shortfall, and semivariance) when they are estimated by fitting a parametric distribution on a finite sample…

Risk Management · Quantitative Finance 2008-12-10 Istvan Varga-Haszonits , Imre Kondor

The Greedy algorithm is the simplest heuristic in sequential decision problem that carelessly takes the locally optimal choice at each round, disregarding any advantages of exploring and/or information gathering. Theoretically, it is known…

Machine Learning · Computer Science 2021-01-05 Matthieu Jedor , Jonathan Louëdec , Vianney Perchet

Portfolio optimization is one of the most studied problems for demonstrating the near-term applications of quantum computing. However, large-scale problems cannot be solved on today's quantum hardware. In this work, we extend upon a study…

Quantum Physics · Physics 2023-05-03 Naman Jain , M Girish Chandra

Metaheuristic algorithms are becoming an important part of modern optimization. A wide range of metaheuristic algorithms have emerged over the last two decades, and many metaheuristics such as particle swarm optimization are becoming…

Optimization and Control · Mathematics 2012-12-04 Xin-She Yang

A drawdown constraint forces the current wealth to remain above a given function of its maximum to date. We consider the portfolio optimisation problem of maximising the long-term growth rate of the expected utility of wealth subject to a…

Portfolio Management · Quantitative Finance 2013-04-23 Vladimir Cherny , Jan Obloj