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We consider the problem of pricing discretely monitored Asian options over $T$ monitoring points where the underlying asset is modeled by a geometric Brownian motion. We provide two quantum algorithms with complexity poly-logarithmic in $T$…

We present a comprehensive quantum algorithm tailored for pricing autocallable options, offering a full implementation and experimental validation. Our experiments include simulations conducted on high-performance computing (HPC) hardware,…

In this paper we propose an efficient method to compute the price of multi-asset American options, based on Machine Learning, Monte Carlo simulations and variance reduction technique. Specifically, the options we consider are written on a…

Computational Finance · Quantitative Finance 2019-12-04 Ludovic Goudenège , Andrea Molent , Antonino Zanette

Quantifying uncertainty is important for actionable predictions in real-world applications. A crucial part of predictive uncertainty quantification is the estimation of epistemic uncertainty, which is defined as an integral of the product…

Machine Learning · Computer Science 2023-10-25 Kajetan Schweighofer , Lukas Aichberger , Mykyta Ielanskyi , Günter Klambauer , Sepp Hochreiter

Financial market prediction and optimal trading strategy development remain challenging due to market complexity and volatility. Our research in quantum finance and reinforcement learning for decision-making demonstrates the approach of…

Quantum Physics · Physics 2025-01-24 Siddhant Dutta , Nouhaila Innan , Alberto Marchisio , Sadok Ben Yahia , Muhammad Shafique

We consider the computation of model-free bounds for multi-asset options in a setting that combines dependence uncertainty with additional information on the dependence structure. More specifically, we consider the setting where the…

Pricing of Securities · Quantitative Finance 2024-04-04 Evangelia Dragazi , Shuaiqiang Liu , Antonis Papapantoleon

In the paper, the pricing of Quanto options is studied, where the underlying foreign asset and the exchange rate are correlated with each other. Firstly, we adopt Bayesian methods to estimate unknown parameters entering the pricing formula…

Computational Finance · Quantitative Finance 2019-10-10 Lisha Lin , Yaqiong Li , Rui Gao , Jianhong Wu

This paper investigates the experimental performance of a discrete portfolio optimization problem relevant to the financial services industry on the gate-model of quantum computing. We implement and evaluate a portfolio rebalancing use case…

Quantum Physics · Physics 2019-11-14 Mark Hodson , Brendan Ruck , Hugh Ong , David Garvin , Stefan Dulman

This work introduces an end-to-end framework for multi-asset option pricing that combines market-consistent risk-neutral density recovery with quantum-accelerated numerical integration. We first calibrate arbitrage-free marginal…

Computational Finance · Quantitative Finance 2026-01-08 Julien Hok , Álvaro Leitao

Quantum multiparameter estimation focuses on the simultaneous inference of multiple parameters in quantum systems through measurement and data processing. Its complexity stems from two key factors: measurement incompatibility and parameter…

Quantum Physics · Physics 2025-09-15 Bing-Shu Hu , Xiao-Ming Lu

Existing approaches to asset-pricing under model-uncertainty adapt classical utility-maximization frameworks and seek theoretical comprehensiveness. We move toward practice by considering binary model-risks and by emphasizing 'constraints'…

Mathematical Finance · Quantitative Finance 2025-10-10 Ken Kangda Wren

We introduce a classical-quantum hybrid approach to computation, allowing for a quadratic performance improvement in the decision process of a learning agent. In particular, a quantum routine is described, which encodes on a quantum…

Quantum Physics · Physics 2023-03-22 A. Sannia , A. Giordano , N. Lo Gullo , C. Mastroianni , F. Plastina

Quantum computing has shown promise for solving complex optimization problems in databases, such as join ordering and index selection. Prior work often submits formulated problems directly to black-box quantum or quantum-inspired solvers…

Databases · Computer Science 2026-02-17 Hanwen Liu , Ibrahim Sabek

In this paper, we introduce an efficient and end-to-end quantum algorithm tailored for computing the Value-at-Risk (VaR) and conditional Value-at-Risk (CVar) for a portfolio of European options. Our focus is on leveraging quantum…

Quantum Physics · Physics 2024-06-04 Yusen Wu , Jingbo B. Wang , Yuying Li

Uncertainty quantification (UQ) has increasing importance in building robust high-performance and generalizable materials property prediction models. It can also be used in active learning to train better models by focusing on getting new…

Materials Science · Physics 2022-11-14 Daniel Varivoda , Rongzhi Dong , Sadman Sadeed Omee , Jianjun Hu

We introduce a quantum algorithm to compute the market risk of financial derivatives. Previous work has shown that quantum amplitude estimation can accelerate derivative pricing quadratically in the target error and we extend this to a…

Quantum Physics · Physics 2022-07-27 Nikitas Stamatopoulos , Guglielmo Mazzola , Stefan Woerner , William J. Zeng

Financial services is a prospect industry where unlocked near-term quantum utility could yield profitable potential, and, in particular, quantum machine learning algorithms could potentially benefit businesses by improving the quality of…

Quantum computers have the potential to provide an advantage for financial pricing problems by the use of quantum estimation. In a broader context, it is reasonable to ask about situations where the market and the assets traded on the…

Quantum Physics · Physics 2023-04-06 Jinge Bao , Patrick Rebentrost

We consider the problem of determining the weights of a quantum ensemble. That is to say, given a quantum system that is in a set of possible known states according to an unknown probability law, we give strategies to estimate the…

Quantum Physics · Physics 2010-02-01 J. I. de Vicente , J. Calsamiglia , R. Munoz-Tapia , E. Bagan

A derivative is a financial security whose value is a function of underlying traded assets and market outcomes. Pricing a financial derivative involves setting up a market model, finding a martingale (``fair game") probability measure for…

Quantum Physics · Physics 2022-09-20 Patrick Rebentrost , Alessandro Luongo , Samuel Bosch , Seth Lloyd