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Zeroth-order optimization addresses problems where gradient information is inaccessible or impractical to compute. While most existing methods rely on first-order approximations, incorporating second-order (curvature) information can, in…

Machine Learning · Computer Science 2025-07-09 Dongyoon Kim , Sungjae Lee , Wonjin Lee , Kwang In Kim

In this paper, we consider an unconstrained optimization model where the objective is a sum of a large number of possibly nonconvex functions, though overall the objective is assumed to be smooth and convex. Our bid to solving such model…

Optimization and Control · Mathematics 2022-03-15 Xi Chen , Bo Jiang , Tianyi Lin , Shuzhong Zhang

The first moment and second central moments of the portfolio return, a.k.a. mean and variance, have been widely employed to assess the expected profit and risk of the portfolio. Investors pursue higher mean and lower variance when designing…

Portfolio Management · Quantitative Finance 2020-08-04 Rui Zhou , Daniel P. Palomar

We price American options using kernel-based approximations of the Volterra Heston model. We choose these approximations because they allow simulation-based techniques for pricing. We prove the convergence of American option prices in the…

Pricing of Securities · Quantitative Finance 2022-05-05 Etienne Chevalier , Sergio Pulido , Elizabeth Zúñiga

In this work, we propose a high-order multiscale method for an elliptic model problem with rough and possibly highly oscillatory coefficients. Convergence rates of higher order are obtained using the regularity of the right-hand side only.…

Numerical Analysis · Mathematics 2023-04-18 Zhaonan Dong , Moritz Hauck , Roland Maier

We propose an Extended Hybrid High-Order scheme for the Poisson problem with solution possessing weak singularities. Some general assumptions are stated on the nature of this singularity and the remaining part of the solution. The method is…

Numerical Analysis · Mathematics 2022-05-16 Liam Yemm

High-speed turbulent flows are encountered in most space-related applications (including exploration, tourism and defense fields) and represent a subject of growing interest in the last decades. A major challenge in performing high-fidelity…

Fluid Dynamics · Physics 2021-03-31 Luca Sciacovelli , Donatella Passiatore , Paola Cinnella , Giuseppe Pascazio

We propose a first order algorithm, a modified version of FISTA, to solve an optimization problem with an objective function that is a sum of a possibly nonconvex function, with Lipschitz continuous gradient, and a convex function which can…

Optimization and Control · Mathematics 2025-08-20 Chee-Khian Sim

We propose a fast stochastic Hamilton Monte Carlo (HMC) method, for sampling from a smooth and strongly log-concave distribution. At the core of our proposed method is a variance reduction technique inspired by the recent advance in…

Machine Learning · Statistics 2020-10-20 Difan Zou , Pan Xu , Quanquan Gu

Zeroth-order methods have become important tools for solving problems where we have access only to function evaluations. However, the zeroth-order methods only using gradient approximations are $n$ times slower than classical first-order…

Optimization and Control · Mathematics 2022-02-10 Erik Berglund , Sarit Khirirat , Xiaoyu Wang

We present high-order compact schemes for a linear second-order parabolic partial differential equation (PDE) with mixed second-order derivative terms in two spatial dimensions. The schemes are applied to option pricing PDE for a family of…

Computational Finance · Quantitative Finance 2016-11-02 Bertram Düring , Christof Heuer

We provide a detailed importance sampling analysis for variance reduction in stochastic volatility models. The optimal change of measure is obtained using a variety of results from large and moderate deviations: small-time, large-time,…

Pricing of Securities · Quantitative Finance 2021-11-02 Marc Geha , Antoine Jacquier , Zan Zuric

In this work, we develop first-order (Hessian-free) and zero-order (derivative-free) implementations of the Cubically regularized Newton method for solving general non-convex optimization problems. For that, we employ finite difference…

Optimization and Control · Mathematics 2023-09-06 Nikita Doikov , Geovani Nunes Grapiglia

In this work, we investigate stochastic quasi-Newton methods for minimizing a finite sum of cost functions over a decentralized network. In Part I, we develop a general algorithmic framework that incorporates stochastic quasi-Newton…

Optimization and Control · Mathematics 2023-03-22 Jiaojiao Zhang , Huikang Liu , Anthony Man-Cho So , Qing Ling

In this paper, we price European Call three different option pricing models, where the volatility is dynamically changing i.e. non constant. In stochastic volatility (SV) models for option pricing a closed form approximation technique is…

Pricing of Securities · Quantitative Finance 2023-09-19 Natasha Latif , Shafqat Ali Shad , Muhammad Usman , Chandan Kumar , Bahman B Motii , MD Mahfuzer Rahman , Khuram Shafi , Zahra Idrees

We study an extension of the Heston stochastic volatility model that incorporates rough volatility and jump clustering phenomena. In our model, named the rough Hawkes Heston stochastic volatility model, the spot variance is a rough…

Mathematical Finance · Quantitative Finance 2022-10-25 Alessandro Bondi , Sergio Pulido , Simone Scotti

We establish or refute the optimality of inexact second-order methods for unconstrained nonconvex optimization from the point of view of worst-case evaluation complexity, improving and generalizing the results of Cartis, Gould and Toint…

Optimization and Control · Mathematics 2021-05-31 Coralia Cartis , Nick I. M. Gould , Philippe L. Toint

We consider variants of a recently-developed Newton-CG algorithm for nonconvex problems \citep{royer2018newton} in which inexact estimates of the gradient and the Hessian information are used for various steps. Under certain conditions on…

Optimization and Control · Mathematics 2022-04-12 Zhewei Yao , Peng Xu , Fred Roosta , Stephen J. Wright , Michael W. Mahoney

This article presents a formulation that extends the variational multiscale modelling for compressible large-eddy simulation to a vast family of compact nodal numerical methods represented by the high-order flux reconstruction scheme. The…

Computational Physics · Physics 2020-02-19 Farshad Navah , Marta de la Llave Plata , Vincent Couaillier

We analyze Newton's method with lazy Hessian updates for solving general possibly non-convex optimization problems. We propose to reuse a previously seen Hessian for several iterations while computing new gradients at each step of the…

Optimization and Control · Mathematics 2023-06-16 Nikita Doikov , El Mahdi Chayti , Martin Jaggi
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