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The two main approaches in credit risk are the structural approach pioneered in Merton (1974) and the reduced-form framework proposed in Jarrow & Turnbull (1995) and in Artzner & Delbaen (1995). The goal of this article is to provide a…

Mathematical Finance · Quantitative Finance 2015-07-14 Frank Gehmlich , Thorsten Schmidt

Modern biomedical survival studies with high-dimensional genomic and clinical predictors are challenged by missing covariates. Existing methods conduct inference through penalization and debiasing when the number of covariates diverges with…

Methodology · Statistics 2026-05-22 Zhilin Zhang , Yi Li

Over the last decade, nonparametric methods have gained increasing attention for modeling complex data structures due to their flexibility and minimal structural assumptions. In this paper, we study a general multivariate nonparametric…

Methodology · Statistics 2026-03-18 Kunal Rai , Archi Roy , Itai Dattner , Soudeep Deb

The use of deep neural networks to make high risk decisions creates a need for global and local explanations so that users and experts have confidence in the modeling algorithms. We introduce a novel technique to find global and local…

Machine Learning · Computer Science 2019-08-15 Xochitl Watts , Freddy Lecue

This paper introduces TimeDepFrail, an R package designed to implement time-varying shared frailty models by extending the traditional shared frailty Cox model to allow the frailty term to evolve across time intervals. These models are…

Computation · Statistics 2025-01-23 Alessandra Ragni , Giulia Romani , Chiara Masci

In survival analysis, Cox model is widely used for most clinical trial data. Alternatives include the additive hazard model, the accelerated failure time (AFT) model and a more general transformation model. All these models assume that the…

Methodology · Statistics 2016-03-24 Cheng Zheng , Ying Qing Chen

For the challenging task of modeling multivariate time series, we propose a new class of models that use dependent Mat\'ern processes to capture the underlying structure of data, explain their interdependencies, and predict their unknown…

Machine Learning · Statistics 2015-02-13 Alexander Vandenberg-Rodes , Babak Shahbaba

We consider the problem of modeling the dependence among many time series. We build high dimensional time-varying copula models by combining pair-copula constructions (PCC) with stochastic autoregressive copula (SCAR) models to capture…

Methodology · Statistics 2012-02-10 Carlos Almeida , Claudia Czado , Hans Manner

A class of multivariate mixed survival models for continuous and discrete time with a complex covariance structure is introduced in a context of quantitative genetic applications. The methods introduced can be used in many applications in…

Applications · Statistics 2014-05-06 Rafael Pimentel Maia , Per Madsen , Rodrigo Labouriau

Accelerated failure time (AFT) models are used widely in medical research, though to a much lesser extent than proportional hazards models. In an AFT model, the effect of covariates act to accelerate or decelerate the time to event of…

Methodology · Statistics 2020-06-15 Michael J. Crowther , Patrick Royston , Mark Clements

We consider the intensity-based approach for the modeling of default times of one or more companies. In this approach the default times are defined as the jump times of a Cox process, which is a Poisson process conditional on the…

Computational Finance · Quantitative Finance 2008-12-02 Vincent Leijdekker , Peter Spreij

Regression models describing the joint distribution of multivariate response variables conditional on covariate information have become an important aspect of contemporary regression analysis. However, a limitation of such models is that…

Methodology · Statistics 2023-06-27 Nadja Klein , Torsten Hothorn , Luisa Barbanti , Thomas Kneib

Prognostic models in survival analysis are aimed at understanding the relationship between patients' covariates and the distribution of survival time. Traditionally, semi-parametric models, such as the Cox model, have been assumed. These…

Machine Learning · Statistics 2020-11-06 Denise Rava , Jelena Bradic

In this short paper, we study the simulation of a large system of stochastic processes subject to a common driving noise and fast mean-reverting stochastic volatilities. This model may be used to describe the firm values of a large pool of…

Numerical Analysis · Mathematics 2021-10-13 Andrei Cozma , Christoph Reisinger

Non-stationary extremal dependence, whereby the relationship between the extremes of multiple variables evolves over time, is commonly observed in many environmental and financial data sets. However, most multivariate extreme value models…

Methodology · Statistics 2025-09-29 C. J. R. Murphy-Barltrop , J. L. Wadsworth , M. de Carvalho , B. D. Youngman

Conventional joint modeling approaches generally characterize the relationship between longitudinal biomarkers and discrete event occurrences within terminal, recurring or competing risk settings, thereby offering a limited representation…

Methodology · Statistics 2026-05-26 Félix Laplante , Christophe Ambroise

We discuss the pricing of defaultable assets in an incomplete information model where the default time is given by a first hitting time of an unobservable process. We show that in a fairly general Markov setting, the indicator function of…

Probability · Mathematics 2012-05-08 Umut Çetin

The Constant Elasticity of Variance (CEV) model is mathematically presented and then used in a Credit-Equity hybrid framework. Next, we propose extensions to the CEV model with default: firstly by adding a stochastic volatility diffusion…

Probability · Mathematics 2007-05-23 Marc Atlan , Boris Leblanc

Parametric copula families have been known to flexibly capture various dependence patterns, e.g., either positive or negative dependence in either the lower or upper tails of bivariate distributions. In this paper, our objective is to…

Methodology · Statistics 2025-02-11 Ruyi Pan , Luis E. Nieto-Barajas , Radu Craiu

In this paper, we consider the problem of simultaneous testing of multivariate normal means under arbitrary covariance dependence. Specifically, let $\boldsymbol{X}\sim N_n(\boldsymbol{\theta},\boldsymbol{\Sigma})$, where…

Statistics Theory · Mathematics 2026-05-29 Prasenjit Ghosh , Arijit Chakrabarti