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Related papers: It\^o integral for a two-sided L\'evy process

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Estimation methods for the L\'{e}vy density of a L\'{e}vy process are developed under mild qualitative assumptions. A classical model selection approach made up of two steps is studied. The first step consists in the selection of a good…

Statistics Theory · Mathematics 2016-08-16 José E. Figueroa-López , Christian Houdré

A distributional equation as a criterion for invariant measures of Markov processes associated to L\'evy-type operators is established. This is obtained via a characterization of infinitesimally invariant measures of the associated…

Probability · Mathematics 2022-08-17 Anita Behme , David Oechsler

In this paper we study set-valued Volterra-type stochastic integrals driven by L\'{e}vy processes. Upon extending the classical definitions of set-valued stochastic integral functionals to convoluted integrals with square-integrable…

Probability · Mathematics 2024-12-04 Weixuan Xia

These lectures notes aim at introducing L\'{e}vy processes in an informal and intuitive way, accessible to non-specialists in the field. In the first part, we focus on the theory of L\'{e}vy processes. We analyze a `toy' example of a…

Pricing of Securities · Quantitative Finance 2008-12-02 Antonis Papapantoleon

We study stochastic Korteweg - de Vries equation driven by L\'evy noise consisting of the compensated time homogeneous Poisson random measure and a cylindrical Wiener process. We prove the existence of a martingale solution to the equation…

Probability · Mathematics 2018-03-28 Anna Karczewska , Maciej Szczeciński

In this paper, we will prove that the local time of a L\'evy process is of finite $p$-variation in the space variable in the classical sense, a.s. for any $p>2$, $t\geq 0$, if the L\'evy measure satisfies $\int_{R\setminus…

Probability · Mathematics 2009-06-17 Chunrong Feng , Huaizhong Zhao

We present an overview of the broad class of financial models in which the prices of assets are L\'evy-Ito processes driven by an $n$-dimensional Brownian motion and an independent Poisson random measure. The Poisson random measure is…

Mathematical Finance · Quantitative Finance 2021-01-29 George Bouzianis , Lane P. Hughston , Sebastian Jaimungal , Leandro Sánchez-Betancourt

For real L\'{e}vy processes $(X\_t)\_{t \geq 0}$ having no Brownian component with Blumenthal-Getoor index $\beta$, the estimate $\E \sup\_{s \leq t} | X\_s - a\_p s |^p \leq C\_p t$ for every $t \in [0,1]$ and suitable $a\_p \in \R$ has…

Probability · Mathematics 2016-08-16 Harald Luschgy , Gilles Pagès

In this work, we establish pathwise functional It\^o formulas for non-smooth functionals of real-valued continuous semimartingales. Under finite $(p,q)$-variation regularity assumptions in the sense of two-dimensional Young integration…

Probability · Mathematics 2015-05-19 Alberto Ohashi , Evelina Shamarova , Nikolai N. Shamarov

We prove an existence and uniqueness result for generalized backward doubly stochastic differential equations driven by L\'evy processes with non-Lipschitz assumptions.

Probability · Mathematics 2009-07-17 Auguste Aman , Jean Marc Owo

The infinitesimal generator of a one-dimensional strictly $\alpha$-stable process can be represented as a weighted sum of (right and left) Riemann-Liouville fractional derivatives of order $\alpha$ and one obtains the fractional Laplacian…

Probability · Mathematics 2024-03-25 Alejandro Santoyo Cano , Gerónimo Uribe Bravo

In this paper, we construct a Malliavin derivative for functionals of square-integrable L\'evy processes and derive a Clark-Ocone formula. The Malliavin derivative is defined via chaos expansions involving stochastic integrals with respect…

Probability · Mathematics 2007-07-26 Jean-François Renaud , Bruno Rémillard

This article develops, and describes how to use, results concerning disintegrations of Poisson random measures. These results are fashioned as simple tools that can be tailor-made to address inferential questions arising in a wide range of…

Statistics Theory · Mathematics 2007-06-13 Lancelot F. James

In this paper, we study the fractional Poisson process (FPP) time-changed by an independent L\'evy subordinator and the inverse of the L\'evy subordinator, which we call TCFPP-I and TCFPP-II, respectively. Various distributional properties…

Probability · Mathematics 2017-03-13 A. Maheshwari , P. Vellaisamy

Additive isotonic regression attempts to determine the relationship between a multi-dimensional observation variable and a response, under the constraint that the estimate is the additive sum of univariate component effects that are…

Methodology · Statistics 2010-06-16 Zhou Fang , Nicolai Meinshausen

A generalized It${\hat {\rm o}}$ formula for time dependent functions of two-dimensional continuous semi-martingales is proved. The formula uses the local time of each coordinate process of the semi-martingale, left space and time first…

Probability · Mathematics 2008-11-13 Chunrong Feng , Huaizhong Zhao

The purpose of this paper is to construct the law of a L\'evy process conditioned to avoid zero, under mild technicals conditions, two of them being that the point zero is regular for itself and the L\'evy process is not a compound Poisson…

Probability · Mathematics 2016-10-17 Henry Pantí

We develop a pure Monte Carlo method to compute $E(g(X_T))$ where $g$ is a bounded and Lipschitz function and $X_t$ an Ito process. This approach extends a previously proposed method to the general multidimensional case with a SDE with…

Probability · Mathematics 2016-07-18 Mahamadou Doumbia , Nadia Oudjane , Xavier Warin

Generalised Ito formulae are proved for time dependent functions of continuous real valued semi-martingales. The conditions involve left space and time first derivatives, with the left space derivative required to have locally bounded…

Probability · Mathematics 2015-08-11 K. D. Elworthy , A. Truman , H. Z. Zhao

A step reinforced random walk is a discrete time process with memory such that at each time step, with fixed probability $p \in (0,1)$, it repeats a previously performed step chosen uniformly at random while with complementary probability…

Probability · Mathematics 2022-10-04 Alejandro Rosales-Ortiz
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