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L\'{e}vy flight models whose jumps have infinite moments are mathematically used to describe the superdiffusion in complex systems. Exponentially tempering the Levy measure of L\'{e}vy flights leads to the tempered stable L\'{e}vy processes…

Computational Physics · Physics 2016-05-19 Can Li , Weihua Deng

First, we present some results about the H\"older continuity of the sample paths of so called dilatively stable processes which are certain infinitely divisible processes having a more general scaling property than self-similarity. As a…

Probability · Mathematics 2014-03-25 Endre Igloi , Matyas Barczy

We give an explicit representation for the transition law of a tempered stable Ornstein-Uhlenbeck process and use it to develop a rejection sampling algorithm for exact simulation of increments from this process. Our results apply to…

Probability · Mathematics 2020-05-19 Michael Grabchak

We study sums of independent and identically distributed random velocities in special relativity. We show that the resulting one-dimensional velocity distributions are not only stable under relativistic velocity addition but define a…

Statistical Mechanics · Physics 2025-12-03 Lucas G. B. de Souza , M. G. E. da Luz , E. P. Raposo , Evaldo M. F. Curado , G. M. Viswanathan

The class of $\alpha$-stable distributions is widely used in various applications, especially for modelling heavy-tailed data. Although the $\alpha$-stable distributions have been used in practice for many years, new methods for…

Methodology · Statistics 2022-12-29 Kewin Pączek , Damian Jelito , Marcin Pitera , Agnieszka Wyłomańska

In this paper continuous time random walk models approximating fractional space-time diffusion processes are studied. Stochastic processes associated with the considered equations represent time-changed processes, where the time-change…

Probability · Mathematics 2014-09-16 Sabir Umarov

Stable distributions is an interesting and important class of probability distributions. They were discovered explicitly by Paul L\'{e}vy in 1925 \cite{lk}. They possess many interesting properties, most importantly they are by definiton…

Probability · Mathematics 2007-05-23 Jussi I. Tyhtila

Constructing \Levy-driven Ornstein-Uhlenbeck processes is a task closely related to the notion of self-decomposability. In particular, their transition laws are linked to the properties of what will be hereafter called the \emph{a-reminder}…

Probability · Mathematics 2020-11-19 Nicola Cufaro Petroni , Piergiacomo Sabino

Using marked Dirichlet processes we characterise the law of the convex minorant of the meander for a certain class of L\'evy processes, which includes subordinated stable and symmetric L\'evy processes. We apply this characterisaiton to…

Integral representations for expectations of functions of a stable L\'evy process $X$ and its supremum $\bar X$ are derived. As examples, cumulative probability distribution functions (cpdf) of $X_T, \barX_T$, the joint cpdf of $X_T$ and…

Probability · Mathematics 2022-09-27 Svetlana Boyarchenko , Sergei Levendorskiĭ

Since the turn of the century, there has been increased interest in the application of heavy-tailed distributions, particularly stable distributions, to problems in physics and finance. Although, the tails of stable distributions provide a…

Probability · Mathematics 2016-08-08 Lev B. Klebanov , Lenka Slámová

In this paper the running average of a subordinator with a tempered stable distribution is considered. We investigate a family of previously unexplored infinite-activity subordinators induced by the probability distribution of the running…

Probability · Mathematics 2020-09-08 Weixuan Xia

In this paper, we consider a long-time behavior of stable-like processes. A stable-like process is a Feller process given by the symbol $p(x,\xi)=-i\beta(x)\xi+\gamma(x)|\xi|^{\alpha(x)},$ where $\alpha(x)\in(0,2)$, $\beta(x)\in\R$ and…

Probability · Mathematics 2012-12-12 Nikola Sandrić

Self-similar processes are useful in modeling diverse phenomena that exhibit scaling properties. Operator scaling allows a different scale factor in each coordinate. This paper develops practical methods for modeling and simulating…

Probability · Mathematics 2009-12-25 Serge Cohen , Mark M. Meerschaert , Jan Rosinski

We provide series expansions for the tempered stable densities and for the price of European-style contracts in the exponential L\'evy model driven by the tempered stable process. These formulas recover several popular option pricing…

Computational Finance · Quantitative Finance 2025-10-03 Gaetano Agazzotti , Jean-Philippe Aguilar

We investigate exponential stock models driven by tempered stable processes, which constitute a rich family of purely discontinuous L\'{e}vy processes. With a view of option pricing, we provide a systematic analysis of the existence of…

Mathematical Finance · Quantitative Finance 2025-11-21 Uwe Küchler , Stefan Tappe

The family of stable distributions received extensive applications in many fields of studies since it incorporates both the skewness and heavy tails. In this paper, we introduce a package written in the R language called alphastable. The…

Computation · Statistics 2018-09-26 Mahdi Teimouri , Mahdi Torshizi , Adel Mohammadpour , Saralees Nadarajah

Stable distributions are an important class of infinitely-divisible probability distributions, of which two special cases are the Cauchy distribution and the normal distribution. Aside from a few special cases, the density function for…

Numerical Analysis · Mathematics 2021-08-31 Sebastian Ament , Michael O'Neil

In this paper we introduce a new class of L\'evy processes which we call hypergeometric-stable L\'evy processes, because they are obtained from symmetric stable processes through several transformations and where the Gauss hypergeometric…

Probability · Mathematics 2009-11-05 M. E. Caballero , J. C. Pardo , J. L. Perez

Discrete stability extends the classical notion of stability to random elements in discrete spaces by defining a scaling operation in a randomised way: an integer is transformed into the corresponding binomial distribution. Similarly…

Probability · Mathematics 2011-08-10 Youri Davydov , Ilya Molchanov , Sergei Zuyev