English
Related papers

Related papers: Coarse graining correlation matrices according to …

200 papers

We study historical dynamics of joint equilibrium distribution of stock returns in the U.S. stock market using the Boltzmann distribution model being parametrized by external fields and pairwise couplings. Within Boltzmann learning…

Statistical Finance · Quantitative Finance 2015-12-11 Stanislav S. Borysov , Yasser Roudi , Alexander V. Balatsky

A spin model is used for simulations of financial markets. To determine return volatility in the spin financial market we use the GARCH model often used for volatility estimation in empirical finance. We apply the Bayesian inference…

Computational Finance · Quantitative Finance 2016-11-28 Tetsuya Takaishi

We develop a systematic coarse graining procedure for systems of $N$ qubits. We exploit the underlying geometrical structures of the associated discrete phase space to produce a coarse-grained version with reduced effective size. Our…

Quantum Physics · Physics 2017-03-08 Olivia Di Matteo , Luis L. Sanchez-Soto , Gerd Leuchs , Markus Grassl

We propose a new approach for analyzing price fluctuations in their strongly correlated regime ranging from minutes to months. This is done by employing a self-similarity assumption for the magnitude of coarse-grained price fluctuation or…

Statistical Mechanics · Physics 2009-11-07 Yoshi Fujiwara , Hirokazu Fujisaka

We describe a systematic approach to construct coarse-grained Markov state models from molecular dynamics data of systems driven into a non-equilibrium steady state. We apply this method to study the globule-stretch transition of a single…

Soft Condensed Matter · Physics 2017-02-28 Fabian Knoch , Thomas Speck

We present a data-driven machine-learning approach for modeling space-time socioeconomic dynamics. Through coarse-graining fine-scale observations, our modeling framework simplifies these complex systems to a set of tractable mechanistic…

Machine Learning · Computer Science 2024-07-26 James Koch , Pranab Roy Chowdhury , Heng Wan , Parin Bhaduri , Jim Yoon , Vivek Srikrishnan , W. Brent Daniel

An expression for the stress tensor near an external boundary of a discrete mechanical system is derived explicitly in terms of the constituents' degrees of freedom and interaction forces. Starting point is the exact and general coarse…

Soft Condensed Matter · Physics 2011-08-26 Thomas Weinhart , Anthony R. Thornton , Stefan Luding , Onno Bokhove

We explain a method, inspired by control theory model reduction and interpolation theory, that rigorously establishes the types of coarse graining that are appropriate for systems with quadratic, generalized Hamiltonians. For such systems,…

Statistical Mechanics · Physics 2007-05-23 David E. Reynolds

We assess Coarse Graining by studying different partitions of the phase space of the Baker transformation and the periodic torus automorphisms. It turns out that the shape of autocorrelation functions for the Baker transformation is more or…

Classical Physics · Physics 2007-05-23 P. Akritas , I. Antoniou , E. Yarevsky

We study the dependence structure of market states by estimating empirical pairwise copulas of daily stock returns. We consider both original returns, which exhibit time-varying trends and volatilities, as well as locally normalized ones,…

Statistical Finance · Quantitative Finance 2015-09-30 Desislava Chetalova , Marcel Wollschläger , Rudi Schäfer

I briefly review some concepts related to coarse-graining methods for the dynamics of soft matter systems and argue that such schemes will almost always need to telescope down the physical hierarchy of time-scales to a more compressed, but…

Soft Condensed Matter · Physics 2010-01-11 Ard A. Louis

We review the state of the art of clustering financial time series and the study of their correlations alongside other interaction networks. The aim of this review is to gather in one place the relevant material from different fields, e.g.…

Statistical Finance · Quantitative Finance 2021-04-14 Gautier Marti , Frank Nielsen , Mikołaj Bińkowski , Philippe Donnat

In this article, we propose a new method for calculating the mixed correlation coefficient (Pearson, polyserial and polychoric) matrix and its covariance matrix based on the GMM framework. We build moment equations for each coefficient and…

Computation · Statistics 2024-04-11 Ben Liu , Peng Zhang , Yi Feng , Xiaowei Lou

We propose a novel and systematic method for coarse-graining oscillator networks described by phase equations. Our coarse-graining method enables us to obtain the closed coarse-grained equations for a few effective eigenmodes, which is…

Adaptation and Self-Organizing Systems · Physics 2013-11-06 Yuki Izumida , Hiroshi Kori

We analyze the daily stock data of the Nasdaq Composite index in the 22-year period 1992-2013 and identify market states as clusters of correlation matrices with similar correlation structures. We investigate the stability of the…

Statistical Finance · Quantitative Finance 2015-06-22 Desislava Chetalova , Rudi Schäfer , Thomas Guhr

Much of our understanding of complex structures is based on simplification: for example, metal-organic frameworks are often discussed in the context of "nodes" and "linkers", allowing for a qualitative comparison with simpler inorganic…

Materials Science · Physics 2020-05-21 Thomas C. Nicholas , Andrew L. Goodwin , Volker L. Deringer

Graph signal processing (GSP) provides a powerful framework for analyzing signals arising in a variety of domains. In many applications of GSP, multiple network structures are available, each of which captures different aspects of the same…

Machine Learning · Statistics 2021-11-03 Michael Weylandt , George Michailidis , T. Mitchell Roddenberry

Financial correlation matrices measure the unsystematic correlations between stocks. Such information is important for risk management. The correlation matrices are known to be ``noise dressed''. We develop a new and alternative method to…

Statistical Mechanics · Physics 2009-11-07 Thomas Guhr , Bernd Kaelber

In this paper we focus on the development of new methods suitable for efficient and reliable coarse-graining of {\it non-equilibrium} molecular systems. In this context, we propose error estimation and controlled-fidelity model reduction…

Computational Physics · Physics 2015-06-15 Markos A. Katsoulakis , Petr Plechac

We find a novel correlation structure in the residual noise of stock market returns that is remarkably linked to the composition and stability of the top few significant factors driving the returns, and moreover indicates that the noise…

Risk Management · Quantitative Finance 2009-12-15 Ivailo I. Dimov , Petter N. Kolm , Lee Maclin , Dan Y. C. Shiber