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In this paper, we propose a predictor-corrector type Consensus Based Optimization (CBO) algorithm on a convex feasible set. Our proposed algorithm generalizes the CBO algorithm in [11] to tackle a constrained optimization problem for the…

Optimization and Control · Mathematics 2021-10-14 Hyeong-Ohk Bae , Seung-Yeal Ha , Myeongju Kang , Hyuncheul Lim , Chanho Min , Jane Yoo

In this paper, it is shown that Bermudan option pricing based on either the r\'eduite (in a one-dimensional setting: piecewise harmonic interpolation) or cubature -- is sensible from an economic vantage point: Any sequence of thus-computed…

Probability · Mathematics 2007-05-23 Frederik S. Herzberg

In recent years, the success of deep learning has inspired many researchers to study the optimization of general smooth non-convex functions. However, recent works have established pessimistic worst-case complexities for this class…

Optimization and Control · Mathematics 2020-10-28 Jikai Jin

We consider the problem of choosing prices of a set of products so as to maximize profit, taking into account self-elasticity and cross-elasticity, subject to constraints on the prices. We show that this problem can be formulated as…

Optimization and Control · Mathematics 2026-04-30 Maximilian Schaller , Stephen Boyd

We introduce a novel approach to options trading strategies using a highly scalable and data-driven machine learning algorithm. In contrast to traditional approaches that often require specifications of underlying market dynamics or…

Portfolio Management · Quantitative Finance 2024-11-22 Wee Ling Tan , Stephen Roberts , Stefan Zohren

We consider a non-stochastic online learning approach to price financial options by modeling the market dynamic as a repeated game between the nature (adversary) and the investor. We demonstrate that such framework yields analogous…

Data Structures and Algorithms · Computer Science 2014-06-25 Henry Lam , Zhenming Liu

Using neural networks, we compute bounds on the prices of multi-asset derivatives given information on prices of related payoffs. As a main example, we focus on European basket options and include information on the prices of other similar…

Computational Finance · Quantitative Finance 2020-11-03 Luca De Gennaro Aquino , Carole Bernard

The recent success of neural networks in pattern recognition and classification problems suggests that neural networks possess qualities distinct from other more classical classifiers such as SVMs or boosting classifiers. This paper studies…

Machine Learning · Statistics 2023-09-27 Hyunouk Ko , Namjoon Suh , Xiaoming Huo

This paper addresses the analysis and design of quadratic neural networks, which have been recently introduced in the literature, and their applications to regression, classification, system identification and control of dynamical systems.…

Machine Learning · Computer Science 2022-07-28 Luis Rodrigues , Sidney Givigi

In many applications, such as economics, operations research and reinforcement learning, one often needs to estimate a multivariate regression function f subject to a convexity constraint. For example, in sequential decision processes the…

Methodology · Statistics 2011-09-05 Lauren A. Hannah , David B. Dunson

In classification models fairness can be ensured by solving a constrained optimization problem. We focus on fairness constraints like Disparate Impact, Demographic Parity, and Equalized Odds, which are non-decomposable and non-convex.…

Machine Learning · Computer Science 2020-05-08 Padala Manisha , Sujit Gujar

We propose a distributed, cubic-regularized Newton method for large-scale convex optimization over networks. The proposed method requires only local computations and communications and is suitable for federated learning applications over…

Optimization and Control · Mathematics 2020-07-08 César A. Uribe , Ali Jadbabaie

Neural networks have been used prominently in several machine learning and statistics applications. In general, the underlying optimization of neural networks is non-convex which makes their performance analysis challenging. In this paper,…

Machine Learning · Statistics 2017-10-09 Soheil Feizi , Hamid Javadi , Jesse Zhang , David Tse

Recent works have introduced input-convex neural networks (ICNNs) as learning models with advantageous training, inference, and generalization properties linked to their convex structure. In this paper, we propose a novel feature-convex…

Machine Learning · Computer Science 2023-10-11 Samuel Pfrommer , Brendon G. Anderson , Julien Piet , Somayeh Sojoudi

We introduce convex function intervals (CFIs): families of convex functions satisfying given level and slope constraints. CFIs naturally arise as constraint sets in economic design, including problems with type-dependent participation…

Theoretical Economics · Economics 2025-10-27 Victor Augias , Lina Uhe

Graphical models trained using maximum likelihood are a common tool for probabilistic inference of marginal distributions. However, this approach suffers difficulties when either the inference process or the model is approximate. In this…

Machine Learning · Computer Science 2012-06-18 Justin Domke

In this work we propose the use of adaptive stochastic search as a building block for general, non-convex optimization operations within deep neural network architectures. Specifically, for an objective function located at some layer in the…

Machine Learning · Computer Science 2021-04-05 Ioannis Exarchos , Marcus A. Pereira , Ziyi Wang , Evangelos A. Theodorou

Invariance (defined in a general sense) has been one of the most effective priors for representation learning. Direct factorization of parametric models is feasible only for a small range of invariances, while regularization approaches,…

Machine Learning · Computer Science 2020-07-28 Yingyi Ma , Vignesh Ganapathiraman , Yaoliang Yu , Xinhua Zhang

We consider the supervised learning problem of learning the price of an option or the implied volatility given appropriate input data (model parameters) and corresponding output data (option prices or implied volatilities). The majority of…

Computational Finance · Quantitative Finance 2026-01-30 Serena Della Corte , Laurens Van Mieghem , Antonis Papapantoleon , Jonas Papazoglou-Hennig

Complex Deep Neural Networks such as Capsule Networks (CapsNets) exhibit high learning capabilities at the cost of compute-intensive operations. To enable their deployment on edge devices, we propose to leverage approximate computing for…

Machine Learning · Computer Science 2022-06-22 Alberto Marchisio , Beatrice Bussolino , Edoardo Salvati , Maurizio Martina , Guido Masera , Muhammad Shafique