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We propose three different data-driven approaches for pricing European-style call options using supervised machine-learning algorithms. These approaches yield models that give a range of fair prices instead of a single price point. The…

Statistical Finance · Quantitative Finance 2020-12-08 Anindya Goswami , Sharan Rajani , Atharva Tanksale

We propose an offline-online procedure for Fourier transform based option pricing. The method supports the acceleration of such essential tasks of mathematical finance as model calibration, real-time pricing, and, more generally, risk…

Computational Finance · Quantitative Finance 2016-11-07 Maximilian Gaß , Kathrin Glau , Maximilian Mair

When agents trade in a Duality-based Cost Function prediction market, they collectively implement the learning algorithm Follow-The-Regularized-Leader. We ask whether other learning algorithms could be used to inspire the design of…

Machine Learning · Computer Science 2025-05-08 Enrique Nueve , Bo Waggoner

We present a framework for synthesising formulas in first-order logic (FOL) from examples, which unifies and advances state-of-the-art approaches for inference of transition system invariants. To do so, we study and categorise the existing…

Programming Languages · Computer Science 2026-01-08 Ziyi Yang , George Pîrlea , Ilya Sergey

This paper examines the problem of pricing spread options under some models with jumps driven by Compound Poisson Processes and stochastic volatilities in the form of Cox-Ingersoll-Ross(CIR) processes. We derive the characteristic function…

Pricing of Securities · Quantitative Finance 2014-09-04 Pablo Olivares , Matthew Cane

Bayesian Optimization is a popular tool for tuning algorithms in automatic machine learning (AutoML) systems. Current state-of-the-art methods leverage Random Forests or Gaussian processes to build a surrogate model that predicts algorithm…

Machine Learning · Computer Science 2021-01-08 Jeroen van Hoof , Joaquin Vanschoren

High-order parametric models that include terms for feature interactions are applied to various data mining tasks, where ground truth depends on interactions of features. However, with sparse data, the high- dimensional parameters for…

Machine Learning · Computer Science 2018-01-09 Ruocheng Guo , Hamidreza Alvari , Paulo Shakarian

The online advertising market, with its thousands of auctions run per second, presents a daunting challenge for advertisers who wish to optimize their spend under a budget constraint. Thus, advertising platforms typically provide automated…

Machine Learning · Computer Science 2023-10-17 Dmytro Korenkevych , Frank Cheng , Artsiom Balakir , Alex Nikulkov , Lingnan Gao , Zhihao Cen , Zuobing Xu , Zheqing Zhu

We propose a convolution-FFT method for pricing European options under the Heston model that leverages a continuously differentiable representation of the joint characteristic function. Unlike existing Fourier-based methods that rely on…

Computational Finance · Quantitative Finance 2025-12-08 Xiang Gao , Cody Hyndman

This paper develops three polynomial-time pricing techniques for European Asian options with provably small errors, where the stock prices follow binomial trees or trees of higher-degree. The first technique is the first known Monte Carlo…

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 Karhan Akcoglu , Ming-Yang Kao , Shuba Raghavan

Recent advances in artificial intelligence (AI) and natural language processing (NLP) have enabled tools to support systematic literature reviews (SLRs), yet existing frameworks often produce outputs that are efficient but contextually…

General Finance · Quantitative Finance 2026-03-19 Wei Wei , Jin Zheng , Zining Wang

Expensive optimization problems (EOPs) have attracted increasing research attention over the decades due to their ubiquity in a variety of practical applications. Despite many sophisticated surrogate-assisted evolutionary algorithms (SAEAs)…

Neural and Evolutionary Computing · Computer Science 2024-08-21 Xiaoming Xue , Yao Hu , Liang Feng , Kai Zhang , Linqi Song , Kay Chen Tan

Tuning control policies manually to meet high-level objectives is often time-consuming. Bayesian optimization provides a data-efficient framework for automating this process using numerical evaluations of an objective function. However,…

Machine Learning · Computer Science 2026-03-26 Lukas Theiner , Maik Pfefferkorn , Yongpeng Zhao , Sebastian Hirt , Rolf Findeisen

In this paper, we study optimization methods consisting of iteratively minimizing surrogates of an objective function. By proposing several algorithmic variants and simple convergence analyses, we make two main contributions. First, we…

Machine Learning · Statistics 2013-05-15 Julien Mairal

Fourier Neural Operator (FNO) is a popular operator learning framework. It not only achieves the state-of-the-art performance in many tasks, but also is efficient in training and prediction. However, collecting training data for the FNO can…

Machine Learning · Computer Science 2024-04-01 Shibo Li , Xin Yu , Wei Xing , Mike Kirby , Akil Narayan , Shandian Zhe

As Artificial Intelligence (AI) is used in more applications, the need to consider and mitigate biases from the learned models has followed. Most works in developing fair learning algorithms focus on the offline setting. However, in many…

Machine Learning · Computer Science 2021-08-24 Wenbin Zhang , Albert Bifet , Xiangliang Zhang , Jeremy C. Weiss , Wolfgang Nejdl

Precise day-ahead forecasts for electricity prices are crucial to ensure efficient portfolio management, support strategic decision-making for power plant operations, enable efficient battery storage optimization, and facilitate demand…

Machine Learning · Computer Science 2026-03-31 Btissame El Mahtout , Florian Ziel

Fourier Neural Operators (FNOs) have proven to be an efficient and effective method for resolution-independent operator learning in a broad variety of application areas across scientific machine learning. A key reason for their success is…

Topology Optimization (TO), which maximizes structural robustness under material weight constraints, is becoming an essential step for the automatic design of mechanical parts. However, existing TO algorithms use the Finite Element Analysis…

Robotics · Computer Science 2022-04-14 Zherong Pan , Xifeng Gao , Kui Wu

We introduce a generalized \textit{Probabilistic Approximate Optimization Algorithm (PAOA)}, a classical variational Monte Carlo framework that extends and formalizes prior work by Weitz \textit{et al.}~\cite{Combes_2023}, enabling…

Disordered Systems and Neural Networks · Physics 2025-12-09 Abdelrahman S. Abdelrahman , Shuvro Chowdhury , Flaviano Morone , Kerem Y. Camsari
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