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Stochastic gradient Markov chain Monte Carlo (SG-MCMC) methods are Bayesian analogs to popular stochastic optimization methods; however, this connection is not well studied. We explore this relationship by applying simulated annealing to an…

Machine Learning · Statistics 2016-08-08 Changyou Chen , David Carlson , Zhe Gan , Chunyuan Li , Lawrence Carin

The multilevel Monte Carlo method is applied to an academic example in the field of electromagnetism. The method exhibits a reduced variance by assigning the samples to multiple models with a varying spatial resolution. For the given…

Computational Engineering, Finance, and Science · Computer Science 2017-09-26 Armin Galetzka , Zeger Bontinck , Ulrich Römer , Sebastian Schöps

The performance of standard stochastic approximation implementations can vary significantly based on the choice of the steplength sequence, and in general, little guidance is provided about good choices. Motivated by this gap, in the first…

Optimization and Control · Mathematics 2015-03-19 Farzad Yousefian , Angelia Nedić , Uday V. Shanbhag

Multilevel estimators aim at reducing the variance of Monte Carlo statistical estimators, by combining samples generated with simulators of different costs and accuracies. In particular, the recent work of Schaden and Ullmann (2020) on the…

Methodology · Statistics 2024-09-13 Mayeul Destouches , Paul Mycek , Selime Gürol

We study the feasibility and noise sensitivity of portfolio optimization under some downside risk measures (Value-at-Risk, Expected Shortfall, and semivariance) when they are estimated by fitting a parametric distribution on a finite sample…

Risk Management · Quantitative Finance 2008-12-10 Istvan Varga-Haszonits , Imre Kondor

Tau-leaping is a popular discretization method for generating approximate paths of continuous time, discrete space, Markov chains, notably for biochemical reaction systems. To compute expected values in this context, an appropriate…

Numerical Analysis · Mathematics 2014-08-04 David F. Anderson , Desmond J. Higham , Yu Sun

In solving simulation-based stochastic root-finding or optimization problems that involve rare events, such as in extreme quantile estimation, running crude Monte Carlo can be prohibitively inefficient. To address this issue, importance…

Methodology · Statistics 2021-02-23 Shengyi He , Guangxin Jiang , Henry Lam , Michael C. Fu

Some classical uncertainty quantification problems require the estimation of multiple expectations. Estimating all of them accurately is crucial and can have a major impact on the analysis to perform, and standard existing Monte Carlo…

Methodology · Statistics 2022-12-02 Julien Demange-Chryst , François Bachoc , Jérôme Morio

This study presents contemporaneous modeling of asset return and price range within the framework of stochastic volatility with leverage. A new representation of the probability density function for the price range is provided, and its…

Computation · Statistics 2021-10-28 Yuta Kurose

Likelihood-free methods, such as approximate Bayesian computation, are powerful tools for practical inference problems with intractable likelihood functions. Markov chain Monte Carlo and sequential Monte Carlo variants of approximate…

Computation · Statistics 2019-02-26 David J. Warne , Ruth E. Baker , Matthew J. Simpson

We introduce a gradient-based learning method to automatically adapt Markov chain Monte Carlo (MCMC) proposal distributions to intractable targets. We define a maximum entropy regularised objective function, referred to as generalised speed…

Machine Learning · Statistics 2020-01-07 Michalis K. Titsias , Petros Dellaportas

In this paper, we propose and analyze a novel combination of multilevel Richardson-Romberg (ML2R) and importance sampling algorithm, with the aim of reducing the overall computational time, while achieving desired root-mean-squared error…

Computational Finance · Quantitative Finance 2022-09-05 Devang Sinha , Siddhartha P. Chakrabarty

The efficient approximation of quantity of interest derived from PDEs with lognormal diffusivity is a central challenge in uncertainty quantification. In this study, we propose a multilevel quasi-Monte Carlo framework to approximate…

Numerical Analysis · Mathematics 2025-08-06 Joakim Beck , Yang Liu , Erik von Schwerin , Raúl Tempone

In high-stakes machine learning applications, it is crucial to not only perform well on average, but also when restricted to difficult examples. To address this, we consider the problem of training models in a risk-averse manner. We propose…

Machine Learning · Computer Science 2020-11-09 Sebastian Curi , Kfir. Y. Levy , Stefanie Jegelka , Andreas Krause

The celebrated Monte Carlo method estimates an expensive-to-compute quantity by random sampling. Bandit-based Monte Carlo optimization is a general technique for computing the minimum of many such expensive-to-compute quantities by adaptive…

Machine Learning · Computer Science 2021-04-30 Vivek Bagaria , Tavor Z. Baharav , Govinda M. Kamath , David N. Tse

We introduce a Monte Carlo Virtual Element estimator based on Virtual Element discretizations for stochastic elliptic partial differential equations with random diffusion coefficients. We prove estimates for the statistical approximation…

Numerical Analysis · Mathematics 2026-04-16 Paola F. Antonietti , Francesca Bonizzoni , Ilaria Perugia , Marco Verani

In this work, we consider the problem of estimating the probability distribution, the quantile or the conditional expectation above the quantile, the so called conditional-value-at-risk, of output quantities of complex random differential…

Computation · Statistics 2023-05-23 Quentin Ayoul-Guilmard , Sundar Ganesh , Sebastian Krumscheid , Fabio Nobile

This work investigates the computational burden of pricing binary options in rare event regimes and introduces an adaptation of the adaptive multilevel splitting (AMS) method for financial derivatives. Standard Monte Carlo becomes…

Computational Finance · Quantitative Finance 2026-01-09 Riccardo Gozzo

Multilevel Monte Carlo (MLMC) and unbiased estimators recently proposed by McLeish (Monte Carlo Methods Appl., 2011) and Rhee and Glynn (Oper. Res., 2015) are closely related. This connection is elaborated by presenting a new general class…

Computation · Statistics 2017-05-12 Matti Vihola

The estimation of repeatedly nested expectations is a challenging task that arises in many real-world systems. However, existing methods generally suffer from high computational costs when the number of nestings becomes large. Fix any…

Computation · Statistics 2023-06-02 Yasa Syed , Guanyang Wang
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