English
Related papers

Related papers: Long-Run Average Reward Maximization of A Regulate…

200 papers

We introduce a dynamic optimization framework to analyze optimal portfolio allocations within an information driven contagious distress model. The investor allocates his wealth across several stocks whose growth rates and distress…

Portfolio Management · Quantitative Finance 2016-12-20 Lijun Bo , Agostino Capponi

In this paper, we consider a risk-based optimal investment problem of an insurer in a regime-switching jump diffusion model with noisy memory. Using the model uncertainty modeling, we formulate the investment problem as a zero-sum,…

Portfolio Management · Quantitative Finance 2019-03-25 Rodwell Kufakunesu , Calisto Guambe , Lesedi Mabitsela

In this paper, we study two optimisation settings for an insurance company, under the constraint that the terminal surplus at a deterministic and finite time $T$ follows a normal distribution with a given mean and a given variance. In both…

Mathematical Finance · Quantitative Finance 2022-06-13 Katia Colaneri , Julia Eisenberg , Benedetta Salterini

We consider a time-consistent mean-variance portfolio selection problem of an insurer and allow for the incorporation of basis (mortality) risk. The optimal solution is identified with a Nash subgame perfect equilibrium. We characterize an…

Portfolio Management · Quantitative Finance 2019-08-16 Frank Bosserhoff , Mitja Stadje

We study data-driven learning of robust stochastic control for infinite-horizon systems with potentially continuous state and action spaces. In many managerial settings--supply chains, finance, manufacturing, services, and dynamic…

Machine Learning · Statistics 2025-11-18 Shengbo Wang , Jason Meng , Nian Si , Jose Blanchet , Zhengyuan Zhou

We study a multi-armed bandit problem where the rewards exhibit regime switching. Specifically, the distributions of the random rewards generated from all arms are modulated by a common underlying state modeled as a finite-state Markov…

Machine Learning · Computer Science 2021-02-02 Xiang Zhou , Yi Xiong , Ningyuan Chen , Xuefeng Gao

We consider a discrete-time version of the popular optimal dividend pay-out problem in risk theory. The novel aspect of our approach is that we allow for a risk averse insurer, i.e., instead of maximising the expected discounted dividends…

Probability · Mathematics 2015-12-02 Nicole Bäuerle , Anna Jaśkiewicz

We study the stochastic control problem of maximizing expected utility from terminal wealth under a non-bankruptcy constraint. The wealth process is subject to shocks produced by a general marked point process. The problem of the agent is…

Optimization and Control · Mathematics 2010-08-31 Mohamed Mnif

In this paper, we study closed-loop equilibrium strategies for mean-variance portfolio selection problem in a hidden Markov model with dynamic attention behavior. In addition to the investment strategy, the investor's attention to news is…

Optimization and Control · Mathematics 2022-05-19 Y. Zhang , Z. Jin , J. Wei , G. Yin

This paper studies the dividend and capital injection problem under a diffusion risk model with general discount functions. A proportional cost is imposed when injecting capitals. For exponential discounting as time-consistent benchmark, we…

Mathematical Finance · Quantitative Finance 2025-05-30 Sang Hu , Zihan Zhou

The aim of this paper is to introduce an insurance model allowing reinsurance and dividend payment. Our model deals with several homogeneous contracts and takes into account the legislation regarding the provisions to be justified by the…

Pricing of Securities · Quantitative Finance 2008-12-10 D. Goreac

This paper is concerned with an optimal reinsurance and investment problem for an insurance firm under the criterion of mean-variance. The driving Brownian motion and the rate in return of the risky asset price dynamic equation cannot be…

Optimization and Control · Mathematics 2020-06-04 Shihao Zhu , Jingtao Shi

Motivated by the current global high inflation scenario, we aim to discover a dynamic multi-period allocation strategy to optimally outperform a passive benchmark while adhering to a bounded leverage limit. To this end, we formulate an…

Portfolio Management · Quantitative Finance 2023-05-26 Chendi Ni , Yuying Li , Peter A. Forsyth

This work develops an approximation procedure for a class of non-zero-sum stochastic differential investment and reinsurance games between two insurance companies. Both proportional reinsurance and excess-of loss reinsurance policies are…

Optimization and Control · Mathematics 2018-09-17 Trang Bui , Xiang Cheng , Zhuo Jin , George Yin

Diffusion-based planning, learning, and control methods present a promising branch of powerful and expressive decision-making solutions. Given the growing interest, such methods have undergone numerous refinements over the past years.…

Machine Learning · Computer Science 2025-02-19 Dom Huh , Prasant Mohapatra

Consider the optimal dividend problem for an insurance company whose uncontrolled surplus precess evolves as a spectrally negative Levy process. We assume that dividends are paid to the shareholders according to admissible strategies whose…

Pricing of Securities · Quantitative Finance 2014-02-26 Ying Shen , Chuancun Yin , Kam Chuen Yuen

The paper is a full version of the short presentation in \cite{amv17}. Ergodic control for one-dimensional controlled diffusion is tackled; both drift and diffusion coefficients may depend on a strategy which is assumed markovian. Ergodic…

Probability · Mathematics 2020-09-01 Svetlana Anulova , Hilmar Mai , Alexander Veretennikov

This paper is concerned with a discounted stochastic optimal control problem for regime switching diffusion in an infinite horizon. First, as a preliminary with particular interests in its own right, the global well-posedness of infinite…

Optimization and Control · Mathematics 2026-02-06 Kai Ding , Xun Li , Siyu Lv , Xin Zhang

We propose a model in which dividend payments occur at regular, deterministic intervals in an otherwise continuous model. This contrasts traditional models where either the payment of continuous dividends is controlled or the dynamics are…

Optimization and Control · Mathematics 2019-07-24 Jussi Keppo , Max Reppen , H. Mete Soner

A solution to the optimal problem for determining vector fields which maximize (resp. minimize) the transition probabilities from one location to another for a class of reflecting diffusion processes is obtained in the present paper. The…

Probability · Mathematics 2023-04-27 Zhongmin Qian , Xingcheng Xu