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We introduce a variational theory for processes adapted to the multi-dimensional Brownian motion filtration that provides a differential structure allowing to describe infinitesimal evolution of Wiener functionals at very small scales. The…

Probability · Mathematics 2017-12-01 Dorival Leão , Alberto Ohashi , Alexandre B. Simas

We refine stochastic calculus for symmetric Markov processes without using time reverse operators. Under some conditions on the jump functions of locally square integrable martingale additive functionals, we extend Nakao's divergence-like…

Probability · Mathematics 2012-11-09 Kazuhiro Kuwae

In a recent paper, the author introduced a rich class $NC^k(\mathbb{R})$ of "noncommutative $C^k$" functions $\mathbb{R} \to \mathbb{C}$ whose operator functional calculus is $k$-times differentiable and has derivatives expressible in terms…

Operator Algebras · Mathematics 2023-12-27 Evangelos A. Nikitopoulos

In this paper we study dynamic backward problems, with the computation of conditional expectations as a main objective, in a framework where the (forward) state process satisfies a Volterra type SDE, with fractional Brownian motion as a…

Probability · Mathematics 2018-10-09 Frederi Viens , Jianfeng Zhang

We consider a Markov process $X$ associated to a nonnecessarily symmetric Dirichlet form $\mathcal{E}$. We define a stochastic integral with respect to a class of additive functionals of zero quadratic variation and then we obtain an…

Probability · Mathematics 2013-12-18 Alexander Walsh

The present paper continues the study of infinite dimensional calculus via regularization, started by C. Di Girolami and the second named author, introducing the notion of "weak Dirichlet process" in this context. Such a process $\X$,…

Probability · Mathematics 2016-06-14 Giorgio Fabbri , Francesco Russo

Let $(\mathcal{E},D(\mathcal{E}))$ be a quasi-regular semi-Dirichlet form and $(X_t)_{t\geq0}$ be the associated Markov process. For $u\in D(\mathcal{E})_{loc}$, denote $A_t^{[u]}:=\tilde{u}(X_{t})-\tilde{u}(X_{0})$ and…

Probability · Mathematics 2014-06-11 Chuan-Zhong Chen , Li Ma , Wei Sun

The Dirichlet forms methods, in order to represent errors and their propagation, are particularly powerful in infinite dimensional problems such as models involving stochastic analysis encountered in finance or physics, cf. [5]. Now, coming…

Probability · Mathematics 2016-11-04 Nicolas Bouleau

We provide a suitable framework for the concept of finite quadratic variation for processes with values in a separable Banach space $B$ using the language of stochastic calculus via regularizations, introduced in the case $B= \R$ by the…

Probability · Mathematics 2010-10-27 Cristina Di Girolami , Francesco Russo

In this paper we study the relationship between functional forward-backward stochastic systems and path-dependent PDEs. In the framework of functional It\^o calculus, we introduce a path-dependent PDE and prove that its solution is uniquely…

Probability · Mathematics 2012-04-18 Shaolin Ji , Shuzhen Yang

Field-theoretic construction of functional representations of solutions of stochastic differential equations and master equations is reviewed. A generic expression for the generating function of Green functions of stochastic systems is put…

Mathematical Physics · Physics 2012-10-16 Juha Honkonen

Two generalizations of It\^o formula to infinite-dimensional spaces are given. The first one, in Hilbert spaces, extends the classical one by taking advantage of cancellations, when they occur in examples and it is applied to the case of a…

Probability · Mathematics 2016-11-15 Franco Flandoli , Francesco Russo , Giovanni Zanco

We consider systems with memory represented by stochastic functional differential equations. Substantially, these are stochastic differential equations with coefficients depending on the past history of the process itself. Such coefficients…

Probability · Mathematics 2017-01-24 David R. Baños , Giulia Di Nunno , Hannes Haferkorn , Frank Proske

In this note we define and study a Hilbert space-valued stochastic integral of operator-valued functions with respect to Hilbert space-valued measures. We show that this integral generalizes the classical Ito stochastic integral of adapted…

Functional Analysis · Mathematics 2016-06-14 Volodymyr Tesko

In this short note we use ideas from systems theory to define a functional calculus for infinitesimal generators of strongly continuous semigroups on a Hilbert space. Among others, we show how this leads to new proofs of (known) results in…

Functional Analysis · Mathematics 2016-09-29 Felix Schwenninger , Hans Zwart

Stochastic integrals are defined with respect to a collection $P = (P_i; \, i \in I)$ of continuous semimartingales, imposing no assumptions on the index set $I$ and the subspace of $\mathbb{R}^I$ where $P$ takes values. The integrals are…

Probability · Mathematics 2019-08-20 Constantinos Kardaras

We use pathwise It\^o calculus to prove two strictly pathwise versions of the master formula in Fernholz' stochastic portfolio theory. Our first version is set within the framework of F\"ollmer's pathwise It\^o calculus and works for…

Portfolio Management · Quantitative Finance 2018-05-25 Alexander Schied , Leo Speiser , Iryna Voloshchenko

We present a new approach to noncommutative stochastic calculus that is, like the classical theory, based primarily on the martingale property. Using this approach, we introduce a general theory of stochastic integration and quadratic…

Operator Algebras · Mathematics 2025-10-28 David A. Jekel , Todd A. Kemp , Evangelos A. Nikitopoulos

We here first study the state space realization of a tensor-product of a pair of rational functions. At the expense of "inflating" the dimensions, we recover the classical expressions for realization of a regular product of rational…

Optimization and Control · Mathematics 2018-12-05 Daniel Alpay , Izchak Lewkowicz

A causal input-output system may be described by a function space for inputs, a function space for outputs, and a causal operator mapping the input space into the output space. A particular representation of the state of such a system at…

Dynamical Systems · Mathematics 2010-09-28 Demetrios Serakos