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Many empirical networks display an inherent tendency to cluster, i.e. to form circles of connected nodes. This feature is typically measured by the clustering coefficient (CC). The CC, originally introduced for binary, undirected graphs,…

Physics and Society · Physics 2009-11-13 Giorgio Fagiolo

We demonstrate the existence of an empirical linkage between the nominal financial networks and the underlying economic fundamentals across countries. We construct the nominal return correlation networks from daily data to encapsulate…

General Finance · Quantitative Finance 2017-01-03 Kiran Sharma , Balagopal Gopalakrishnan , Anindya S. Chakrabarti , Anirban Chakraborti

Clustering is one of the most universal approaches for understanding complex data. A pivotal aspect of clustering analysis is quantitatively comparing clusterings; clustering comparison is the basis for many tasks such as clustering…

Machine Learning · Statistics 2019-06-13 Alexander J. Gates , Ian B. Wood , William P. Hetrick , Yong-Yeol Ahn

In Stochastic blockmodels, which are among the most prominent statistical models for cluster analysis of complex networks, clusters are defined as groups of nodes with statistically similar link probabilities within and between groups. A…

Machine Learning · Statistics 2014-10-08 Tue Herlau , Mikkel N. Schmidt , Morten Mørup

Higher-order connectivity patterns such as small induced sub-graphs called graphlets (network motifs) are vital to understand the important components (modules/functional units) governing the configuration and behavior of complex networks.…

Social and Information Networks · Computer Science 2020-09-15 Aldo G. Carranza , Ryan A. Rossi , Anup Rao , Eunyee Koh

We develop the hierarchical cluster coherence (HCC) method for brain signals, a procedure for characterizing connectivity in a network by clustering nodes or groups of channels that display high level of coordination as measured by…

Applications · Statistics 2017-11-21 Carolina Euan , Ying Sun , Hernando Ombao

Metric clustering is fundamental in areas ranging from Combinatorial Optimization and Data Mining, to Machine Learning and Operations Research. However, in a variety of situations we may have additional requirements or knowledge, distinct…

Machine Learning · Computer Science 2021-03-04 Brian Brubach , Darshan Chakrabarti , John P. Dickerson , Aravind Srinivasan , Leonidas Tsepenekas

Relationship between agents can be conveniently represented by graphs. When these relationships have different modalities, they are better modelled by multilayer graphs where each layer is associated with one modality. Such graphs arise…

Machine Learning · Statistics 2021-03-05 Guillaume Braun , Hemant Tyagi , Christophe Biernacki

The global financial system is highly complex, with cross-border interconnections and interdependencies. In this highly interconnected environment, local financial shocks and events can be easily amplified and turned into global events.…

Statistical Finance · Quantitative Finance 2021-04-22 Matthias Raddant , Dror Y. Kenett

We apply RMT, Network and MF-DFA methods to investigate correlation, network and multifractal properties of 20 global financial indices. We compare results before and during the financial crisis of 2008 respectively. We find that the…

Statistical Finance · Quantitative Finance 2015-06-04 Sunil Kumar , Nivedita Deo

In multivariate time series analysis, spectral coherence measures the linear dependency between two time series at different frequencies. However, real data applications often exhibit nonlinear dependency in the frequency domain.…

Methodology · Statistics 2024-03-01 Cristian F. Jiménez-Varón , Ying Sun , Ta-Hsin Li

Most research concerning the influence of network structure on phenomena taking place on the network focus on relationships between global statistics of the network structure and characteristic properties of those phenomena, even though…

Social and Information Networks · Computer Science 2012-03-07 Tomoyuki Yuasa , Susumu Shirayama

Statistical significance of network clustering has been an unresolved problem since it was observed that community detection algorithms produce false positives even in random graphs. After a phase transition between undetectable and…

Social and Information Networks · Computer Science 2016-05-03 Jeremi K. Ochab

Based on an expert systems approach, the issue of community detection can be conceptualized as a clustering model for networks. Building upon this further, community structure can be measured through a clustering coefficient, which is…

Social and Information Networks · Computer Science 2019-04-12 Roy Cerqueti , Giovanna Ferraro , Antonio Iovanella

Complex networks structures have been extensively used for describing complex natural and technological systems, like the Internet or social networks. More recently complex network theory has been applied to quantum systems, where complex…

Quantum Physics · Physics 2020-01-22 Francesca Sansavini , Valentina Parigi

Community detection is a central task in network analysis, with applications in social, biological, and technological systems. Traditional algorithms rely primarily on network topology, which can fail when community signals are partly…

Methodology · Statistics 2025-11-24 Zeyu Hu , Wenrui Li , Jun Yan , Panpan Zhang

The measured correlations of financial time series in subsequent epochs change considerably as a function of time. When studying the whole correlation matrices, quasi-stationary patterns, referred to as market states, are seen by applying…

Statistical Finance · Quantitative Finance 2020-11-03 Anton J. Heckens , Sebastian M. Krause , Thomas Guhr

In the context of cluster analysis and graph partitioning, many external evaluation measures have been proposed in the literature to compare two partitions of the same set. This makes the task of selecting the most appropriate measure for a…

Machine Learning · Computer Science 2021-02-09 Nejat Arinik , Vincent Labatut , Rosa Figueiredo

Financial data has been extensively studied for correlations using Pearson's cross-correlation coefficient {\rho} as the point of departure. We employ an estimator based on recurrence plots --- the Correlation of Probability of Recurrence…

Statistical Finance · Quantitative Finance 2013-06-05 B. Goswami , G. Ambika , N. Marwan , J. Kurths

Financial markets are of much interest to researchers due to their dynamic and stochastic nature. With their relations to world populations, global economies and asset valuations, understanding, identifying and forecasting trends and…

Statistical Finance · Quantitative Finance 2021-08-13 Peter Akioyamen , Yi Zhou Tang , Hussien Hussien