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In the present work we analyse the dynamics of indirect connections between insurance companies that result from market price channels. In our analysis we assume that the stock quotations of insurance companies reflect market sentiments…

Statistical Finance · Quantitative Finance 2020-03-11 Anna Denkowska , Stanisław Wanat

Forecast combination methods have traditionally emphasized symmetric loss functions, particularly squared error loss, with equally weighted combinations often justified as a robust approach under such criteria. However, these justifications…

Methodology · Statistics 2025-04-08 Henry D. van Eijk , Sujit K. Ghosh

In this paper we present a novel methodology to perform Bayesian model selection in linear models with heavy-tailed distributions. We consider a finite mixture of distributions to model a latent variable where each component of the mixture…

Methodology · Statistics 2017-08-21 Flávio B Gonçalves , Marcos O. Prates , Victor H. Lachos

Discrete-time hidden Markov models are a broadly useful class of latent-variable models with applications in areas such as speech recognition, bioinformatics, and climate data analysis. It is common in practice to introduce temporal…

Applications · Statistics 2017-01-16 Tracy Holsclaw , Arthur M. Greene , Andrew W. Robertson , Padhraic Smyth

To accurately quantify landslide hazard in a region of Turkey, we develop new marked point process models within a Bayesian hierarchical framework for the joint prediction of landslide counts and sizes. To accommodate for the dominant role…

Methodology · Statistics 2022-05-23 Rishikesh Yadav , Raphaël Huser , Thomas Opitz , Luigi Lombardo

This paper deals with the estimation of the unknown distribution of hidden random variables from the observation of pairwise comparisons between these variables. This problem is inspired by recent developments on Bradley-Terry models in…

Statistics Theory · Mathematics 2018-08-27 Sylvain Le Corff , Matthieu Lerasle , Elodie Vernet

We study tail estimation in Pareto-like settings for datasets with a high percentage of randomly right-censored data, and where some expert information on the tail index is available for the censored observations. This setting arises for…

Applications · Statistics 2019-11-13 Martin Bladt , Hansjoerg Albrecher , Jan Beirlant

This project works with the risk model developed by Li et al. (2015) and quests modelling, estimating and pricing insurance for risks brought in by innovative technologies, or other emerging or latent risks. The model considers two…

Statistics Theory · Mathematics 2019-05-20 Weihong Ni , Corina Constantinescu , Alfredo Egídio dos Reis , Véronique Maume-Deschamps

Fund models are statistical descriptions of markets where all asset returns are spanned by the returns of a lower-dimensional collection of funds, modulo orthogonal noise. Equivalently, they may be characterised as models where the global…

Portfolio Management · Quantitative Finance 2022-08-05 Constantinos Kardaras , Hyeng Keun Koo , Johannes Ruf

In the context of multilevel longitudinal data, where sample units are collected in clusters, an important aspect that should be accounted for is the unobserved heterogeneity between sample units and between clusters. For this aim we…

Statistics Theory · Mathematics 2012-08-10 F. Bartolucci , M. Lupparelli

In this paper, we consider statistical estimation of time-inhomogeneous aggregate Markov models. Unaggregated models, which corresponds to Markov chains, are commonly used in multi-state life insurance to model the biometric states of an…

Statistics Theory · Mathematics 2023-08-11 Jamaal Ahmad , Mogens Bladt

This paper describes how a time-varying Markov model was used to forecast housing development at a master-planned community during a transition from high to low growth. Our approach draws on detailed historical data to model the dynamics of…

Econometrics · Economics 2024-08-30 Christopher K. Allsup , Irene S. Gabashvili

Much recent research in decision theoretic planning has adopted Markov decision processes (MDPs) as the model of choice, and has attempted to make their solution more tractable by exploiting problem structure. One particular algorithm,…

Artificial Intelligence · Computer Science 2013-02-08 Craig Boutilier

This study aims to estimate the parameters of a stochastic exposed-infected epidemiological model for the transmission dynamics of notifiable infectious diseases, based on observations related to isolated cases counts only. We use the…

Applications · Statistics 2024-04-15 Ibrahim Bouzalmat , Benoîte de Saporta , Solym M. Manou-Abi

The Markov-modulated Poisson process is utilised for count modelling in a variety of areas such as queueing, reliability, network and insurance claims analysis. In this paper, we extend the Markov-modulated Poisson process framework through…

Risk Management · Quantitative Finance 2020-08-06 Benjamin Avanzi , Greg Taylor , Bernard Wong , Alan Xian

The study of animal behavioural states inferred through hidden Markov models and similar state switching models has seen a significant increase in popularity in recent years. The ability to account for varying levels of behavioural scale…

Computation · Statistics 2021-05-06 Giada Sacchi , Ben Swallow

In recent years, automotive technology has made a steady progress. In particular, Advanced Driver Assistance System (ADAS) has enabled many safety features in commercial vehicles, for instance, pedestrian detection, lane keeping assist,…

Systems and Control · Electrical Eng. & Systems 2022-12-26 Avinash Prabu , Lingxi Li , Brian King , Yaobin Chen

State space models have long played an important role in signal processing. The Gaussian case can be treated algorithmically using the famous Kalman filter. Similarly since the 1970s there has been extensive application of Hidden Markov…

Statistics Theory · Mathematics 2007-06-13 Peter Bickel , Yaacov Ritov , Tobias Rydén

In this paper we consider a reduced-form intensity-based credit risk model with a hidden Markov state process. A filtering method is proposed for extracting the underlying state given the observation processes. The method may be applied to…

Computational Finance · Quantitative Finance 2016-03-10 Feng-Hui Yu , Wai-Ki Ching , Jia-Wen Gu , Tak-Kuen Siu

Collecting multiple longitudinal measurements and time-to-event outcomes is a common practice in clinical and epidemiological studies, often focusing on exploring associations between them. Joint modeling is the standard analytical tool for…

Methodology · Statistics 2024-12-10 Taban Baghfalaki , Reza Hashemi , Catherine Helmer , Helene Jacqmin-Gadda
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