English
Related papers

Related papers: Quantum Speedups for Derivative Pricing Beyond Bla…

200 papers

Variational quantum Monte Carlo (VMC) combined with neural-network quantum states offers a novel angle of attack on the curse-of-dimensionality encountered in a particular class of partial differential equations (PDEs); namely, the real-…

Numerical Analysis · Mathematics 2022-07-26 Tianchen Zhao , Chuhao Sun , Asaf Cohen , James Stokes , Shravan Veerapaneni

We propose a multi-index algorithm for the Monte Carlo (MC) discretization of a linear, elliptic PDE with affine-parametric input. We prove an error vs. work analysis which allows a multi-level finite-element approximation in the physical…

Numerical Analysis · Mathematics 2019-07-18 Josef Dick , Michael Feischl , Christoph Schwab

The finite element method is used to approximately solve boundary value problems for differential equations. The method discretises the parameter space and finds an approximate solution by solving a large system of linear equations. Here we…

Quantum Physics · Physics 2016-03-23 Ashley Montanaro , Sam Pallister

Quantum computing offers an alternative paradigm for addressing combinatorial optimization problems compared to classical computing. Despite recent hardware improvements, the execution of empirical quantum optimization experiments at scales…

Optimization theory has been widely studied in academia and finds a large variety of applications in industry. The different optimization models in their discrete and/or continuous settings have catered to a rich source of research…

Quantum Physics · Physics 2026-03-16 Debbie Lim , Joao F. Doriguello , Patrick Rebentrost

We introduce two quantum algorithms to compute the Value at Risk (VaR) and Conditional Value at Risk (CVaR) of financial derivatives using quantum computers: the first by applying existing ideas from quantum risk analysis to derivative…

Quantum Physics · Physics 2024-04-17 Nikitas Stamatopoulos , B. David Clader , Stefan Woerner , William J. Zeng

Over the past few years several quantum machine learning algorithms were proposed that promise quantum speed-ups over their classical counterparts. Most of these learning algorithms either assume quantum access to data -- making it unclear…

Quantum Physics · Physics 2021-07-14 Yunchao Liu , Srinivasan Arunachalam , Kristan Temme

We present a quantum algorithm that analyzes risk more efficiently than Monte Carlo simulations traditionally used on classical computers. We employ quantum amplitude estimation to evaluate risk measures such as Value at Risk and…

Quantum Physics · Physics 2019-10-31 Stefan Woerner , Daniel J. Egger

Pricing interest-rate financial derivatives is a major problem in finance, in which it is crucial to accurately reproduce the time-evolution of interest rates. Several stochastic dynamics have been proposed in the literature to model either…

The continuous time stochastic process is a mainstream mathematical instrument modeling the random world with a wide range of applications involving finance, statistics, physics, and time series analysis, while the simulation and analysis…

Quantum Physics · Physics 2023-10-04 Xi-Ning Zhuang , Zhao-Yun Chen , Cheng Xue , Yu-Chun Wu , Guo-Ping Guo

In this article we model a financial derivative price as an observable on the market state function. We apply geometric techniques to integrating the Heisenberg Equation of Motion. We illustrate how the non-commutative nature of the model…

Mathematical Finance · Quantitative Finance 2020-01-27 Will Hicks

Computations of chemical systems' equilibrium properties and non-equilibrium dynamics have been suspected of being a "killer app" for quantum computers. This review highlights the recent advancements of quantum algorithms tackling complex…

High order perturbation theory has seen an unexpected recent revival for controlled calculations of quantum many-body systems, even at strong coupling. We adapt integration methods using low-discrepancy sequences to this problem. They…

Strongly Correlated Electrons · Physics 2020-08-27 Marjan Maček , Philipp T. Dumitrescu , Corentin Bertrand , Bill Triggs , Olivier Parcollet , Xavier Waintal

In this paper, the valuation of European and path-dependent options in foreign exchange (FX) markets is considered when the currency exchange rate evolves according to the Heston model combined with the Cox-Ingersoll-Ross dynamics for the…

Computational Finance · Quantitative Finance 2016-04-06 Andrei Cozma , Christoph Reisinger

Monte Carlo particle transport codes are well established on classical hardware and are considered as the reference tool for nuclear applications. In a growing number of domains, the design of algorithms is progressively shifting towards…

Quantum Physics · Physics 2024-10-28 Noé Olivier , Michel Nowak

In this article, we propose a Milstein finite difference scheme for a stochastic partial differential equation (SPDE) describing a large particle system. We show, by means of Fourier analysis, that the discretisation on an unbounded domain…

Numerical Analysis · Mathematics 2012-04-09 Michael B. Giles , Christoph Reisinger

In this work, we present the methods necessary to price an important set of derivatives on a quantum device while offering an advantage over existing classical methods. The methods developed here, in conjunction with ~\cite{GumaroS2026},…

Quantum Physics · Physics 2026-05-29 Gumaro Rendon , Stepan Smid , Sarvagya Upadhyay

Multi-asset option pricing under local- and stochastic-volatility models leads naturally to high-dimensional parabolic PDEs. We develop an end-to-end quantum PDE framework for European option pricing under local-volatility Black--Scholes…

Quantum Physics · Physics 2026-05-27 Nikita Guseynov , Nana Liu , Chi Seng Pun , Tushar Vaidya

While it seems possible that quantum computers may allow for algorithms offering a computational speed-up over classical algorithms for some problems, the issue is poorly understood. We explore this computational speed-up by investigating…

Quantum Physics · Physics 2010-06-09 Alastair A. Abbott , Cristian S. Calude

We formulate quantum computing solutions to a large class of dynamic nonlinear asset pricing models using algorithms, in theory exponentially more efficient than classical ones, which leverage the quantum properties of superposition and…

Pricing of Securities · Quantitative Finance 2025-08-26 Eric Ghysels , Jack Morgan
‹ Prev 1 4 5 6 7 8 10 Next ›