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We develop further the spot volatility estimator introduced in Hoffmann, Munk and Schmidt-Hieber (2012) from a practical point of view and make it useful for the analysis of high-frequency financial data. In a first part, we adjust the…

Applications · Statistics 2013-09-25 Till Sabel , Johannes Schmidt-Hieber , Axel Munk

The study of long-horizon returns has received a great deal of attention in recent years (see, for example, Boudoukh, Richardson, and Whitelaw (2008), Neuberger (2012) and Lee (2013), Fama and French (2018)). While most of the discussions…

Risk Management · Quantitative Finance 2022-01-20 Hwai-Chung Ho

In this paper, we present a method of estimating the volatility of a signal that displays stochastic noise (such as a risky asset traded on an open market) utilizing Linear Predictive Coding. The main purpose is to associate volatility with…

Information Theory · Computer Science 2007-07-13 Louis Mello

The scope of this manuscript is to review some recent developments in statistics for discretely observed semimartingales which are motivated by applications for financial markets. Our journey through this area stops to take closer looks at…

Statistical Finance · Quantitative Finance 2025-04-23 Markus Bibinger

We investigate the frequentist guarantees of the variational sparse Gaussian process regression model. In the theoretical analysis, we focus on the variational approach with spectral features as inducing variables. We derive guarantees and…

Statistics Theory · Mathematics 2023-09-29 Dennis Nieman , Botond Szabo , Harry van Zanten

We reconcile rough volatility models and jump models using a class of reversionary Heston models with fast mean reversions and large vol-of-vols. Starting from hyper-rough Heston models with a Hurst index $H \in (-1/2,1/2)$, we derive a…

Mathematical Finance · Quantitative Finance 2024-09-13 Eduardo Abi Jaber , Nathan De Carvalho

In this article we consider the volatility inference in the presence of both market microstructure noise and endogenous time. Estimators of the integrated volatility in such a setting are proposed, and their asymptotic properties are…

Statistical Finance · Quantitative Finance 2013-03-26 Yingying Li , Zhiyuan Zhang , Xinghua Zheng

It is proposed a class of statistical estimators $\hat H =(\hat H_1, \ldots, \hat H_d)$ for the Hurst parameters $H=(H_1, \ldots, H_d)$ of fractional Brownian field via multi-dimensional wavelet analysis and least squares, which are…

Information Theory · Computer Science 2015-02-04 Liang Wu , Yiming Ding

This Ph.D. thesis explores approximations and regularity for the Heston stochastic volatility model through three interconnected works. The first work focuses on developing high-order weak approximations for the Cox-Ingersoll-Ross (CIR)…

Numerical Analysis · Mathematics 2025-05-01 Edoardo Lombardo

Heart rate variability (HRV) series reflects the dynamical variation of heartbeat-to-heartbeat intervals in time and is one of the outputs of the cardiovascular system. Over the years, this system has been recognized for generating…

Signal Processing · Electrical Eng. & Systems 2024-04-18 M. Bianco , A. Scarciglia , C. Bonanno , G. Valenza

We study simple approximations to fractional Gaussian noise and fractional Brownian motion. The approximations are based on spectral properties of the noise. They allow one to consider the noise as the result of fractional…

Statistical Mechanics · Physics 2007-05-23 A. V. Chechkin , V. Yu. Gonchar

We investigated the quality of forecasting of fractional Brownian motion, and new method for estimating of Hurst exponent is validated. Stochastic model of the time series in the form of converted fractional Brownian motion is proposed. The…

Probability · Mathematics 2017-04-05 Valeria Bondarenko , Victor Bondarenko , Kiryl Truskovsky , Ina Taralova

In this paper, we present a realized range-based multipower variation theory, which can be used to estimate return variation and draw jump-robust inference about the diffusive volatility component, when a high-frequency record of asset…

Econometrics · Economics 2026-02-24 Kim Christensen , Mark Podolskij

Fractional Brownian motion (fBm) has been used as a theoretical framework to study real time series appearing in diverse scientific fields. Because its intrinsic non-stationarity and long range dependence, its characterization via the Hurst…

Data Analysis, Statistics and Probability · Physics 2015-05-13 Lucas Lacasa , Bartolo Luque , Jordi Luque , Juan Carlos Nuno

In this paper, we introduce two new matrix stochastic processes: fractional Wishart processes and $\varepsilon$-fractional Wishart processes with integer indices which are based on the fractional Brownian motions and then extend…

Optimization and Control · Mathematics 2017-05-16 Jia Yue , Nan-jing Huang

Several studies have focused on the Realized Range Volatility, an estimator of the quadratic variation of financial prices, taking into account the impact of microstructure noise and jumps. However, none has considered direct modeling and…

Applications · Statistics 2014-10-28 Giovanni Bonaccolto , Massimiliano Caporin

Fuzzy rough set theory is effective for processing datasets with complex attributes, supported by a solid mathematical foundation and closely linked to kernel methods in machine learning. Attribute reduction algorithms and classifiers based…

Artificial Intelligence · Computer Science 2025-01-31 Shuyin Xia , Xiaoyu Lian , Binbin Sang , Guoyin Wang , Xinbo Gao

Drawing on an analogy to critical phenomena, it was shown that the Nikuradse turbulent friction factor ($f_t$) measurements in pipes of radius $R$ and wall roughness $r$ can be collapsed onto a one-dimensional curve expressed as a…

Fluid Dynamics · Physics 2022-09-13 Shuolin Li , Gabriel Katul

In this article, we consider the problem of estimating fractional processes based on noisy high-frequency data. Generalizing the idea of pre-averaging to a fractional setting, we exhibit a sequence of consistent estimators for the unknown…

Statistics Theory · Mathematics 2026-01-14 David Chen , Yu Cheng , Carsten Chong , Pierre Gentine , Wangdong Jia , Bryce Monier , Shiyang Shen

Scaling and multiscaling financial time series have been widely studied in the literature. The research on this topic is vast and still flourishing. One way to analyze the scaling properties of time series is through the estimation of their…

Risk Management · Quantitative Finance 2021-03-18 Giuseppe Brandi , T. Di Matteo