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In a recent paper "Deep Learning Volatility" a fast 2-step deep calibration algorithm for rough volatility models was proposed: in the first step the time consuming mapping from the model parameter to the implied volatilities is learned by…

Computational Finance · Quantitative Finance 2020-07-08 Dirk Roeder , Georgi Dimitroff

Safe reinforcement learning (RL) aims to learn policies that satisfy certain constraints before deploying them to safety-critical applications. Previous primal-dual style approaches suffer from instability issues and lack optimality…

Machine Learning · Computer Science 2022-06-20 Zuxin Liu , Zhepeng Cen , Vladislav Isenbaev , Wei Liu , Zhiwei Steven Wu , Bo Li , Ding Zhao

We present a neural network based calibration method that performs the calibration task within a few milliseconds for the full implied volatility surface. The framework is consistently applicable throughout a range of volatility models…

Mathematical Finance · Quantitative Finance 2019-08-26 Blanka Horvath , Aitor Muguruza , Mehdi Tomas

Graph models provide efficient tools to capture the underlying structure of data defined over networks. Many real-world network topologies are subject to change over time. Learning to model the dynamic interactions between entities in such…

Machine Learning · Computer Science 2025-01-03 Amirhossein Javaheri , Jiaxi Ying , Daniel P. Palomar , Farokh Marvasti

Modern reinforcement learning (RL) algorithms have found success by using powerful probabilistic models, such as transformers, energy-based models, and diffusion/flow-based models. To this end, RL researchers often choose to pay the price…

Machine Learning · Computer Science 2025-06-05 Raj Ghugare , Benjamin Eysenbach

Model extrapolation to unseen flow is one of the biggest challenges facing data-driven turbulence modeling, especially for models with high dimensional inputs that involve many flow features. In this study we review previous efforts on…

Fluid Dynamics · Physics 2020-01-16 Shirui Luo , Jiahuan Cui , Madhu Vellakal , Jian Liu , Enyi Jiang , Seid Koric , Volodymyr Kindratenko

There has been a significant recent surge in deep neural network (DNN) techniques. Most of the existing DNN techniques have restricted model formats/assumptions. To overcome their limitations, we propose the nonparametric transformation…

Methodology · Statistics 2024-10-28 Tong Wang , Shunqin Zhang , Sanguo Zhang , Jian Huang , Shuangge Ma

This paper introduces and evaluates a novel training method for neural networks: Dual Variable Learning Rates (DVLR). Building on insights from behavioral psychology, the dual learning rates are used to emphasize correct and incorrect…

Machine Learning · Computer Science 2021-02-11 Elizabeth Liner , Risto Miikkulainen

Nonlinear vector autoregression (NVAR) and reservoir computing (RC) have shown promise in forecasting chaotic dynamical systems, such as the Lorenz-63 model and El Nino-Southern Oscillation. However, their reliance on fixed nonlinear…

Machine Learning · Computer Science 2025-12-02 Azimov Sherkhon , Susana Lopez-Moreno , Eric Dolores-Cuenca , Sieun Lee , Sangil Kim

In finance, implied volatility is an important indicator that reflects the market situation immediately. Many practitioners estimate volatility using iteration methods, such as the Newton--Raphson (NR) method. However, if numerous implied…

Computational Finance · Quantitative Finance 2022-10-31 Geon Lee , Tae-Kyoung Kim , Hyun-Gyoon Kim , Jeonggyu Huh

Random backpropagation (RBP) is a variant of the backpropagation algorithm for training neural networks, where the transpose of the forward matrices are replaced by fixed random matrices in the calculation of the weight updates. It is…

Machine Learning · Computer Science 2017-12-25 Pierre Baldi , Peter Sadowski , Zhiqin Lu

We develop an approach to training generative models based on unrolling a variational auto-encoder into a Markov chain, and shaping the chain's trajectories using a technique inspired by recent work in Approximate Bayesian computation. We…

Machine Learning · Computer Science 2017-08-03 Philip Bachman , Doina Precup

This paper tests whether graph neural networks improve realized volatility forecasts and whether those forecasts improve portfolio performance. Using weekly realized volatility for 465 S&P 500 equities from 2015-2025, Heterogeneous…

Portfolio Management · Quantitative Finance 2026-05-21 Rylan Wade

The existing publications demonstrate that the limit order book data is useful in predicting short-term volatility in stock markets. Since stocks are not independent, changes on one stock can also impact other related stocks. In this paper,…

Computational Finance · Quantitative Finance 2022-11-02 Qinkai Chen , Christian-Yann Robert

Scaling reinforcement learning (RL) to recommender systems (RS) is promising since maximizing the expected cumulative rewards for RL agents meets the objective of RS, i.e., improving customers' long-term satisfaction. A key approach to this…

Machine Learning · Computer Science 2022-09-27 Chengqian Gao , Ke Xu , Kuangqi Zhou , Lanqing Li , Xueqian Wang , Bo Yuan , Peilin Zhao

We consider the problem of online adaptation of a neural network designed to represent vehicle dynamics. The neural network model is intended to be used by an MPC control law to autonomously control the vehicle. This problem is challenging…

Robotics · Computer Science 2019-05-14 Grady Williams , Brian Goldfain , James M. Rehg , Evangelos A. Theodorou

Reliable uncertainty quantification in deep neural networks is very crucial in safety-critical applications such as automated driving for trustworthy and informed decision-making. Assessing the quality of uncertainty estimates is…

Computer Vision and Pattern Recognition · Computer Science 2022-12-12 Neslihan Kose , Ranganath Krishnan , Akash Dhamasia , Omesh Tickoo , Michael Paulitsch

A wavelet-based machine learning method is proposed for predicting the time evolution of homogeneous isotropic turbulence where vortex tubes are preserved. Three-dimensional convolutional neural networks and long short-term memory are…

Fluid Dynamics · Physics 2024-04-04 Tomoki Asaka , Katsunori Yoshimatsu , Kai Schneider

Variational Neural Machine Translation (VNMT) is an attractive framework for modeling the generation of target translations, conditioned not only on the source sentence but also on some latent random variables. The latent variable modeling…

Computation and Language · Computer Science 2020-05-29 Hendra Setiawan , Matthias Sperber , Udhay Nallasamy , Matthias Paulik

Stochastic volatility (SV) models mimic many of the stylized facts attributed to time series of asset returns, while maintaining conceptual simplicity. The commonly made assumption of conditionally normally distributed or…

Methodology · Statistics 2014-06-19 Roland Langrock , Théo Michelot , Alexander Sohn , Thomas Kneib