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We develop a novel deep learning approach for pricing European options in diffusion models, that can efficiently handle high-dimensional problems resulting from Markovian approximations of rough volatility models. The option pricing partial…

Computational Finance · Quantitative Finance 2025-04-04 Antonis Papapantoleon , Jasper Rou

We consider a general linear parabolic problem with extended time boundary conditions (including initial value problems and periodic ones), and approximate it by the implicit Euler scheme in time and the Gradient Discretisation method in…

Numerical Analysis · Mathematics 2023-08-22 J Droniou , R Eymard , T Gallouët , C Guichard , R Herbin

In this paper, we are concerned with a modified Euler scheme for the SDE under consideration, where the drift is of super-linear growth and dissipative merely outside a closed ball. By adopting the synchronous coupling, along with the…

Probability · Mathematics 2025-08-12 Jianhai Bao , Jiaqing Hao

We present an adaptation of Stein's method of normal approximation to the study of both discrete- and continuous-time dynamical systems. We obtain new correlation-decay conditions on dynamical systems for a multivariate central limit…

Probability · Mathematics 2017-01-12 Olli Hella , Juho Leppänen , Mikko Stenlund

In this paper we present the Edgeworth expansion for the Euler approximation scheme of a continuous diffusion process driven by a Brownian motion. Our methodology is based upon a recent work \cite{Yoshida2013}, which establishes Edgeworth…

Probability · Mathematics 2018-11-20 Mark Podolskij , Bezirgen Veliyev , Nakahiro Yoshida

In this paper, we develop an efficient numerical solver for unsteady diffusion-type partial differential equations with random coefficients. A major computational challenge in such problems lies in repeatedly handling large-scale linear…

Numerical Analysis · Mathematics 2026-01-19 Yujun Zhu , Min Li , Yulan Ning , Ju Ming

We present a new adaptive algorithm for learning discrete distributions under distribution drift. In this setting, we observe a sequence of independent samples from a discrete distribution that is changing over time, and the goal is to…

Machine Learning · Computer Science 2024-03-11 Alessio Mazzetto

We prove convergence of the proximal policy gradient method for a class of constrained stochastic control problems with control in both the drift and diffusion of the state process. The problem requires either the running or terminal cost…

Optimization and Control · Mathematics 2025-05-27 Ashley Davey , Harry Zheng

Let $X$ be a linear diffusion taking values in $(\ell,r)$ and consider the standard Euler scheme to compute an approximation to $\mathbb{E}[g(X_T)\mathbf{1}_{[T<\zeta]}]$ for a given function $g$ and a deterministic $T$, where…

Numerical Analysis · Mathematics 2021-10-01 Umut Çetin , Julien Hok

We present a novel approximate inference method for diffusion processes, based on the Wasserstein gradient flow formulation of the diffusion. In this formulation, the time-dependent density of the diffusion is derived as the limit of…

Machine Learning · Statistics 2018-06-13 Charlie Frogner , Tomaso Poggio

Sampling from the posterior is a key technical problem in Bayesian statistics. Rigorous guarantees are difficult to obtain for Markov Chain Monte Carlo algorithms of common use. In this paper, we study an alternative class of algorithms…

Statistics Theory · Mathematics 2024-08-26 Andrea Montanari , Yuchen Wu

We consider controlled differential equations and give new estimates for higher order Euler schemes. Our proofs are inspired by recent work of A. M. Davie who considers first and second order schemes. In order to implement the general case…

Classical Analysis and ODEs · Mathematics 2007-05-23 Peter Friz , Nicolas Victoir

This article investigates the weak approximation towards the invariant measure of semi-linear stochastic differential equations (SDEs) under non-globally Lipschitz coefficients. For this purpose, we propose a linear-theta-projected Euler…

Numerical Analysis · Mathematics 2024-03-28 Chenxu Pang , Xiaojie Wang , Yue Wu

In this article we develop a new methodology to prove weak approximation results for general stochastic differential equations. Instead of using a partial differential equation approach as is usually done for diffusions, the approach…

Probability · Mathematics 2016-08-16 Emmanuelle Clément , Arturo Kohatsu-Higa , Damien Lamberton

In this paper, we analyze the drift-implicit (or backward) Euler numerical scheme for a class of stochastic differential equations with unbounded drift driven by an arbitrary $\lambda$-H\"older continuous process, $\lambda\in(0,1)$. We…

Probability · Mathematics 2022-04-20 Giulia Di Nunno , Yuliya Mishura , Anton Yurchenko-Tytarenko

This work is devoted to convergence analysis of an exponential integrator scheme for semi-discretization in time of nonlinear stochastic wave equation. A unified framework is first set forth, which covers important cases of additive and…

Numerical Analysis · Mathematics 2020-08-10 Xiaojie Wang

We present an adaptive approximation scheme for jump-diffusion SDEs with discontinuous drift and (possibly) degenerate diffusion. This transformation-based doubly-adaptive quasi-Milstein scheme is the first scheme that has strong…

Numerical Analysis · Mathematics 2026-03-10 Verena Schwarz

The Vlasov-Poisson-BGK (VPBGK) model is a kinetic model for describing the dynamics of collisional plasmas. Although various numerical schemes have been developed for it, a corresponding convergence theory has been absent. This paper fills…

Numerical Analysis · Mathematics 2026-05-11 Seung Yeon Cho , Sungsu Park , Seok-Bae Yun

This work proposes a hyper-reduction method for nonlinear parametric dynamical systems characterized by gradient fields such as Hamiltonian systems and gradient flows. The gradient structure is associated with conservation of invariants or…

Numerical Analysis · Mathematics 2023-07-24 Cecilia Pagliantini , Federico Vismara

We introduce a new framework to deal with rough differential equations based on flows and their approximations. Our main result is to prove that measurable flows exist under weak conditions, even solutions to the corresponding rough…

Probability · Mathematics 2019-05-17 Antoine Brault , Antoine Lejay