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We start with the idea that open quantum systems can be used to represent financial markets by modelling events from the external environment and their impact on the market price. We show how to characterize distinct orbits of the time…

Mathematical Finance · Quantitative Finance 2025-05-05 Will Hicks

Quantization has emerged as an essential technique for deploying deep neural networks (DNNs) on devices with limited resources. However, quantized models exhibit vulnerabilities when exposed to various noises in real-world applications.…

Machine Learning · Computer Science 2023-08-07 Yisong Xiao , Aishan Liu , Tianyuan Zhang , Haotong Qin , Jinyang Guo , Xianglong Liu

The "Money Exchange Model" is a type of agent-based simulation model used to study how wealth distribution and inequality evolve through monetary exchanges between individuals. The primary focus of this model is to identify the limiting…

Probability · Mathematics 2025-01-07 Hironobu Sakagawa

Price-mediated contagion occurs when a positive feedback loop develops following a drop in asset prices which forces banks and other financial institutions to sell their holdings. Prior studies of such events fix the level of market…

Risk Management · Quantitative Finance 2024-09-05 Zhiyu Cao , Zachary Feinstein

Layer-wise PTQ is a promising technique for compressing large language models (LLMs), due to its simplicity and effectiveness without requiring retraining. However, recent progress in this area is saturating, underscoring the need to…

Machine Learning · Computer Science 2026-01-14 Yamato Arai , Yuma Ichikawa

We address the security of continuous-variable quantum key distribution with squeezed states upon realistic conditions of noisy and lossy environment and limited reconciliation efficiency. Considering the generalized preparation scheme and…

Quantum Physics · Physics 2011-11-10 Vladyslav C. Usenko , Radim Filip

We consider microstructure as an arbitrary contamination of the underlying latent securities price, through a Markov kernel $Q$. Special cases include additive error, rounding and combinations thereof. Our main result is that, subject to…

Statistical Finance · Quantitative Finance 2008-12-02 Yingying Li , Per A. Mykland

Quantization reduces the numerical precision of Transformer computations and is widely used to accelerate inference, yet its effect on expressivity remains poorly characterized. We demonstrate a fine-grained theoretical tradeoff between…

Machine Learning · Computer Science 2026-02-04 Sayak Chakrabarti , Toniann Pitassi , Josh Alman

We show that, if the accessible information is used as a security quantifier, quantum channels with a certain symmetry can convey private messages at a tremendously high rate, as high as less than one bit below the rate of non-private…

Quantum Physics · Physics 2015-04-01 Cosmo Lupo , Seth Lloyd

Financial markets are systems with the complex behavior, that can be hardly analyzed by means of linear methods. Recurrence Quantification Analysis (RQA) is a nonlinear methodology, which is able to work with the nonstationary and short…

Chaotic Dynamics · Physics 2011-07-28 Oleksandr Piskun , Sergii Piskun

When training neural networks with simulated quantization, we observe that quantized weights can, rather unexpectedly, oscillate between two grid-points. The importance of this effect and its impact on quantization-aware training (QAT) are…

Machine Learning · Computer Science 2022-06-30 Markus Nagel , Marios Fournarakis , Yelysei Bondarenko , Tijmen Blankevoort

Quantum key distribution allows remote parties to generate information-theoretic secure keys. The bottleneck throttling its real-life applications lies in the limited communication distance and key generation speed, due to the fact that the…

Quantum Physics · Physics 2019-04-24 Xiongfeng Ma , Pei Zeng , Hongyi Zhou

In this invited book chapter, we draw the reader to a brief review of the different Kinetic Exchange Models (KEMs) that have gradually developed for markets and how they can be employed to quantitatively study inequalities (the Gini Index…

Physics and Society · Physics 2023-10-31 Sanjukta Paul , Bikas K. Chakrabarti

Quantum machine learning has the potential for a transformative impact across industry sectors and in particular in finance. In our work we look at the problem of hedging where deep reinforcement learning offers a powerful framework for…

Kinetic exchange models have been successful in explaining the shape of the income/wealth distribution in the economies. However, such models usually make some ad-hoc assumptions when it comes to determining the savings factor. Here, we…

Trading and Market Microstructure · Quantitative Finance 2010-06-28 Anindya S. Chakrabarti

It is a common belief that quantum key distribution systems are the one and only information-theoretically secure physical layer security protocol that enables secure data transmission without a need for the legitimate parties to have any…

Quantum Physics · Physics 2024-11-18 Florian Seitz , Matteo Rosati , Ángeles Vázquez-Castro , Janis Nötzel

This paper introduces a novel multi-moment connectedness network approach for analyzing the interconnectedness of green financial market. Focusing on the impact of monetary policy shocks, our study reveals that connectedness within the…

General Economics · Economics 2024-10-23 Tingguo Zheng , Hongyin Zhang , Shiqi Ye

Spontaneous collapse models, which are phenomenological mechanisms introduced and designed to account for dynamical wavepacket reduction, are attracting a growing interest from the community interested in the characterisation of the…

Quantum Physics · Physics 2025-05-15 Giorgio Zicari , Matteo Carlesso , Andrea Trombettoni , Mauro Paternostro

Quantum computer is extensively used in solving financial problems. Quantum amplitude estimation, an algorithm that aims to estimate the amplitude of a given quantum state, can be utilized to determine the expectation value of bonds as the…

Quantum Physics · Physics 2024-04-09 Jaewoong Heo , Moonjoo Lee

The recent crash demonstrated (once again) that the description of the financial market by present financial mathematics cannot be considered as totally satisfactory. We remind that nowadays financial mathematics is heavily based on the use…

General Physics · Physics 2009-02-12 Andrei Khrennikov
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