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A cylindrical Levy process does not enjoy a cylindrical version of the semi-martingale decomposition which results in the need to develop a completely novel approach to stochastic integration. In this work, we introduce a stochastic…

Probability · Mathematics 2016-08-25 Adam Jakubowski , Markus Riedle

In this paper, based on the white noise analysis of square integrable pure-jump Levy process given by [1], we define the formal derivative of fractional Levy process defined by the square integrable pure-jump Levy process as the fractional…

Probability · Mathematics 2013-07-17 Xuebin Lu , Wanyang Dai

Chen, Fitzsimmons, Kuwae and Zhang (Ann. Probab. 36 (2008) 931-970) have established an Ito formula consisting in the development of F(u(X)) for a symmetric Markov process X, a function u in the Dirichlet space of X and any…

Statistics Theory · Mathematics 2012-11-26 Alexander Walsh

The aim of this paper is to study the laws of the exponential functionals of the processes $X$ with independent increments, namely $$I_t= \int _0^t\exp(-X_s)ds, \,\, t\geq 0,$$ and also $$I_{\infty}= \int _0^{\infty}\exp(-X_s)ds.$$ Under…

Probability · Mathematics 2018-04-20 L. Vostrikova

We use Young integration (resp, bounded $p,q$-variation theory introduced in \cite{Feng-Zhao}) to establish integration of determinate functions with respect to local time of symmetric $\alpha$-stable L\'evy process, for $\alpha \in ]1,2]$,…

Probability · Mathematics 2010-12-07 Rachid Belfadli , Youssef Ouknine

We consider a method for the approximation of iterated stochastic integrals of arbitrary multiplicity $k$ $(k\in \mathbb{N})$ with respect to the infinite-dimensional $Q$-Wiener process using the mean-square approximation method of iterated…

General Mathematics · Mathematics 2022-03-15 Dmitriy F. Kuznetsov

We study few properties of square-free integers in certain equations. Using this property, we derive some infinite products in powers of square free numbers. Also, we present a method, to convert power series and trigonometric series to…

General Mathematics · Mathematics 2009-01-14 Ramesh Kumar Muthumalai

The article is devoted to the construction of effective procedures of the mean-square approximation of iterated Ito stochastic integrals of multiplicities 1 to 5 from the Taylor-Ito expansion based on multiple Fourier-Legendre series. The…

Probability · Mathematics 2022-08-31 Dmitriy F. Kuznetsov

We construct a pathwise calculus for functionals of integer-valued measures and use it to derive an martingale representation formula with respect to a large class of integer-valued random measures. Using these results, we extend the…

Probability · Mathematics 2020-02-28 Pierre M. Blacque-Florentin , Rama Cont

The article is devoted to the mean-square approximation of iterated Ito and Stratonovich stochastic integrals in the context of the numerical integration of Ito stochastic differential equations. The expansion of iterated Ito stochastic…

Probability · Mathematics 2026-02-12 Dmitriy F. Kuznetsov

The paper is devoted to the existence of integral functionals $\int_0^\infty f(X(t))\,{\mathrm{d}t}$ for several classes of processes in $\mathbb{R}$ with $d\ge 3$. Some examples such as Brownian motion, fractional Brownian motion, compound…

Probability · Mathematics 2021-04-02 Yuri Kondratiev , Yuliya Mishura , José L. da Silva

We construct the basis of a stochastic calculus for so-called Volterra processes, i.e., processes which are defined as the stochastic integral of a time-dependent kernel with respect to a standard Brownian motion. For these processes which…

Probability · Mathematics 2007-05-23 L. Decreusefond

We consider multifractional process given by double Ito--Wiener integrals, which generalize the multifractional Rosenblatt process. We prove that this process is continuous and has a square integrable local time.

Probability · Mathematics 2013-08-23 Georgiy Shevchenko

We present new stochastic differential equations, that are more general and simpler than the existing Ito-based stochastic differential equations. As an example, we apply our approach to the investment (portfolio) model.

Portfolio Management · Quantitative Finance 2012-11-27 Moawia Alghalith

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

We consider Neumann problem for linear elliptic equations involving integro-differential operators of Levy-type. We show that suitably defined viscosity solutions have probabilistic representations given in terms of the reflected stochastic…

Analysis of PDEs · Mathematics 2025-07-11 Andrzej Rozkosz , Leszek Slominski

The paper introduces a novel Ito's formula for time dependent tempered generalized functions. As an application, we study the heat equation when initial conditions are allowed to be a generalized tempered function. A new proof of the…

Functional Analysis · Mathematics 2011-11-09 P. Catuogno , C. Olivera

An explicit martingale representation for random variables described as a functional of a Levy process will be given. The Clark-Ocone theorem shows that integrands appeared in a martingale representation are given by conditional…

Mathematical Finance · Quantitative Finance 2019-06-18 Takuji Arai , Ryoichi Suzuki

We construct an efficient integrator for stochastic differential systems driven by Levy processes. An efficient integrator is a strong approximation that is more accurate than the corresponding stochastic Taylor approximation, to all orders…

Probability · Mathematics 2019-04-24 Charles Curry , Kurusch Ebrahimi-Fard , Simon J. A. Malham , Anke Wiese

We introduce an integrable stochastic process associated with the $D_2$ quantum group, which can be decomposed into two symmetric simple exclusion processes. We establish the integrability of the model under three types of boundary…

Mathematical Physics · Physics 2026-02-04 Guang-Liang Li , Xin Zhang , Junpeng Cao , Wen-Li Yang , Yupeng Wang