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Accurate intraday forecasts are essential for power system operations, complementing day-ahead forecasts that gradually lose relevance as new information becomes available. This paper introduces a Bayesian updating mechanism that converts…

Applications · Statistics 2026-03-17 Kutay Bölat , Peter Palensky , Simon Tindemans

Time-varying volatility is an inherent feature of most economic time-series, which causes standard correlation estimators to be inconsistent. The quadrant correlation estimator is consistent but very inefficient. We propose a novel…

Econometrics · Economics 2023-11-01 Peter Reinhard Hansen , Yiyao Luo

An approach is presented for making predictions about functional time series. The method is applied to data coming from periodically correlated processes and electricity demand, obtaining accurate point forecasts and narrow prediction bands…

Methodology · Statistics 2018-06-29 Antonio Elías , Raúl Jiménez

Cryptocurrencies return cross-predictability and technological similarity yield information on risk propagation and market segmentation. To investigate these effects, we build a time-varying network for cryptocurrencies, based on the…

Statistical Finance · Quantitative Finance 2021-08-27 Li Guo , Wolfgang Karl Härdle , Yubo Tao

Cryptocurrencies return cross-predictability and technological similarity yield information on risk propagation and market segmentation. To investigate these effects, we build a time-varying network for cryptocurrencies, based on the…

Methodology · Statistics 2022-11-18 Li Guo , Wolfgang Karl Härdle , Yubo Tao

Recent empirical evidence has highlighted the crucial role of jumps in both price and volatility within the cryptocurrency market. In this paper, we integrate price--volatility co-jumps and volatility short-term dependency into a coherent…

Pricing of Securities · Quantitative Finance 2025-06-17 Boyi Li , Weixuan Xia

As a forward-looking measure of future equity market volatility, the VIX index has gained immense popularity in recent years to become a key measure of risk for market analysts and academics. We consider discrete reported intraday VIX tick…

Applications · Statistics 2018-12-04 Han Lin Shang , Yang Yang , Fearghal Kearney

We study semiparametric factor models in high-dimensional panels where the factor loadings consist of a nonparametric component explained by observed covariates and an idiosyncratic component capturing unobserved heterogeneity. A key…

Methodology · Statistics 2025-12-09 Sijie Zheng

This paper studies how to forecast daily closing price series of Bitcoin, using data on prices and volumes of prior days. Bitcoin price behaviour is still largely unexplored, presenting new opportunities. We compared our results with two…

Statistical Finance · Quantitative Finance 2020-01-07 Nicola Uras , Lodovica Marchesi , Michele Marchesi , Roberto Tonelli

We study the accuracy of forecasts in the diffusion index forecast model with possibly weak loadings. The default option to construct forecasts is to estimate the factors through principal component analysis (PCA) on the available predictor…

Econometrics · Economics 2025-06-12 Tom Boot , Bart Keijsers

We propose a robust principal component analysis (RPCA) framework to recover low-rank and sparse matrices from temporal observations. We develop an online version of the batch temporal algorithm in order to process larger datasets or…

Machine Learning · Statistics 2022-08-04 Hong-Lan Botterman , Julien Roussel , Thomas Morzadec , Ali Jabbari , Nicolas Brunel

Functional data analysis offers a diverse toolkit of statistical methods tailored for analyzing samples of real-valued random functions. Recently, samples of time-varying random objects, such as time-varying networks, have been increasingly…

Methodology · Statistics 2025-03-10 Jiazhen Xu , Andrew T. A. Wood , Tao Zou

When observations are curves over some natural time interval, the field of functional data analysis comes into play. Functional linear processes account for temporal dependence in the data. The prediction problem for functional linear…

Methodology · Statistics 2023-12-12 Johannes Klepsch , Claudia Klüppelberg

I introduce Forecastable Component Analysis (ForeCA), a novel dimension reduction technique for temporally dependent signals. Based on a new forecastability measure, ForeCA finds an optimal transformation to separate a multivariate time…

Methodology · Statistics 2013-05-07 Georg M. Goerg

Many unsupervised kernel methods rely on the estimation of the kernel covariance operator (kernel CO) or kernel cross-covariance operator (kernel CCO). Both kernel CO and kernel CCO are sensitive to contaminated data, even when bounded…

Machine Learning · Statistics 2017-05-12 Md. Ashad Alam , Kenji Fukumizu , Yu-Ping Wang

This paper proposes a novel dynamic forecasting method using a new supervised Principal Component Analysis (PCA) when a large number of predictors are available. The new supervised PCA provides an effective way to bridge the gap between…

Econometrics · Economics 2024-06-14 Zhaoxing Gao , Ruey S. Tsay

A fitness assignment process transforms the features (such as the objective value) of a candidate solution to a scalar fitness, which then is the basis for selection. Under Frequency Fitness Assignment (FFA), the fitness corresponding to an…

Neural and Evolutionary Computing · Computer Science 2022-05-26 Thomas Weise , Zhize Wu , Xinlu Li , Yan Chen , Jörg Lässig

In this paper, we introduce Functional Generalized Canonical Correlation Analysis (FGCCA), a new framework for exploring associations between multiple random processes observed jointly. The framework is based on the multiblock Regularized…

Methodology · Statistics 2023-10-12 Lucas Sort , Laurent Le Brusquet , Arthur Tenenhaus

We study the problem of the intraday short-term volume forecasting in cryptocurrency exchange markets. The predictions are built by using transaction and order book data from different markets where the exchange takes place.…

Trading and Market Microstructure · Quantitative Finance 2020-12-03 Nino Antulov-Fantulin , Tian Guo , Fabrizio Lillo

We address the problem of predicting a target ordinal variable based on observable features consisting of functional profiles. This problem is crucial, especially in decision-making driven by sensor systems, when the goal is to assess an…