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Binary optimisation tasks are ubiquitous in areas ranging from logistics to cryptography. The exponential complexity of such problems means that the performance of traditional computational methods decreases rapidly with increasing problem…

Efficiently pricing multi-asset options is a challenging problem in quantitative finance. When the characteristic function is available, Fourier-based methods are competitive compared to alternative techniques because the integrand in the…

Computational Finance · Quantitative Finance 2024-01-17 Michael Samet , Christian Bayer , Chiheb Ben Hammouda , Antonis Papapantoleon , Raúl Tempone

Linear optical elements are pivotal instruments in the manipulation of classical and quantum states of light. The vast progress in integrated quantum photonic technology enables the implementation of large numbers of such elements on chip…

Quantum Physics · Physics 2016-10-10 Max Tillmann , Christian Schmidt , Philip Walther

This paper concerns the design of a Fourier based pseudospectral numerical method for the model of European Option Pricing with transaction costs under Exponential Utility derived by Davis, Panas and Zariphopoulou. Computing the option…

Numerical Analysis · Mathematics 2021-04-19 Javier de Frutos , Victor Gaton

We propose an efficient approach for deterministically generating scalable cluster states with photons. This approach involves unitary transformations performed on atoms coupled to optical cavities. Its operation cost scales linearly with…

Quantum Physics · Physics 2010-05-28 Hefeng Wang , Chui-Ping Yang , Franco Nori

Efficient machine learning inference is essential for the rapid adoption of artificial intelligence across various domains.On-chip optical computing has emerged as a transformative solution for accelerating machine learning tasks, owing to…

Photonic quantum computing is one of the leading approaches to universal quantum computation. However, large-scale implementation of photonic quantum computing has been hindered by its intrinsic difficulties, such as probabilistic…

Quantum Physics · Physics 2019-06-17 Shuntaro Takeda , Akira Furusawa

In recent decades, the demand for computational power has surged, particularly with the rapid expansion of artificial intelligence (AI). As we navigate the post-Moore's law era, the limitations of traditional electrical digital computing,…

We present a continuous-variable photonic quantum algorithm for the Monte Carlo evaluation of multi-dimensional integrals. Our algorithm encodes n-dimensional integration into n+3 modes and can provide a quadratic speedup in runtime…

Quantum Physics · Physics 2018-09-10 Patrick Rebentrost , Brajesh Gupt , Thomas R. Bromley

Risk assessment and in particular derivatives pricing is one of the core areas in computational finance and accounts for a sizeable fraction of the global computing resources of the financial industry. We outline a quantum-inspired…

Quantum Physics · Physics 2022-03-08 Michael Kastoryano , Nicola Pancotti

This work introduces an end-to-end framework for multi-asset option pricing that combines market-consistent risk-neutral density recovery with quantum-accelerated numerical integration. We first calibrate arbitrage-free marginal…

Computational Finance · Quantitative Finance 2026-01-08 Julien Hok , Álvaro Leitao

We present a comprehensive quantum algorithm tailored for pricing autocallable options, offering a full implementation and experimental validation. Our experiments include simulations conducted on high-performance computing (HPC) hardware,…

We identify a broad class of physical processes in an optical quantum circuit that can be efficiently simulated on a classical computer: this class includes unitary transformations, amplification, noise, and measurements. This…

Quantum Physics · Physics 2007-05-23 Stephen D. Bartlett , Barry C. Sanders

We derive a new high-order compact finite difference scheme for option pricing in stochastic volatility jump models, e.g. in Bates model. In such models the option price is determined as the solution of a partial integro-differential…

Computational Finance · Quantitative Finance 2019-02-25 Bertram Düring , Alexander Pitkin

A central task in the field of quantum computing is to find applications where quantum computer could provide exponential speedup over any classical computer. Machine learning represents an important field with broad applications where…

Quantum Physics · Physics 2017-11-07 Xun Gao , Zhengyu Zhang , Luming Duan

Reinforcement learning has demonstrated great potential for performing financial tasks. However, it faces two major challenges: policy instability and sampling bottlenecks. In this paper, we revisit ensemble methods with massively parallel…

Computational Engineering, Finance, and Science · Computer Science 2025-01-22 Nikolaus Holzer , Keyi Wang , Kairong Xiao , Xiao-Yang Liu Yanglet

Photonic computing chips have made significant progress in accelerating linear computations, but nonlinear computations are usually implemented in the digital domain, which introduces additional system latency and power consumption, and…

The rapid growth of artificial intelligence, coupled with the slowing of Moore's law, is straining computing infrastructure, as CMOS electronics face inherent limits in bandwidth, energy efficiency, and parallelism. Integrated photonic…

We propose a hybrid quantum-classical approximate optimization algorithm for photonic quantum computing, specifically tailored for addressing continuous-variable optimization problems. Inspired by counterdiabatic protocols, our algorithm…

Quantum Physics · Physics 2024-10-03 Pranav Chandarana , Koushik Paul , Mikel Garcia-de-Andoin , Yue Ban , Mikel Sanz , Xi Chen

We present a classical algorithm to find approximate solutions to instances of quadratic unconstrained binary optimisation. The algorithm can be seen as an analogue of quantum annealing under the restriction of a product state space, where…

Quantum Physics · Physics 2023-02-14 Joseph Bowles , Alexandre Dauphin , Patrick Huembeli , José Martinez , Antonio Acín