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A new method for stochastic control based on neural networks and using randomisation of discrete random variables is proposed and applied to optimal stopping time problems. The method models directly the policy and does not need the…

计算金融 · 定量金融 2021-01-11 Thomas Deschatre , Joseph Mikael

In this paper, we consider the stochastic optimal control problems under G-expectation. Based on the theory of backward stochastic differential equations driven by G-Brownian motion, which was introduced in [10.11], we can investigate the…

概率论 · 数学 2013-08-19 Zhonghao Zheng , Xiuchun Bi , Shuguang Zhang

Stochastic integration w.r.t. fractional Brownian motion (fBm) has raised strong interest in recent years, motivated in particular by applications in finance and Internet traffic modelling. Since fBm is not a semi-martingale, stochastic…

概率论 · 数学 2013-05-03 Joachim Lebovits

This paper presents a method to approximately solve stochastic optimal control problems in which the cost function and the system dynamics are polynomial. For stochastic systems with polynomial dynamics, the moments of the state can be…

最优化与控制 · 数学 2017-02-24 Andrew Lamperski , Khem Raj Ghusinga , Abhyudai Singh

In this paper, we study a linear-quadratic optimal control problem for mean-field stochastic differential equations driven by a Poisson random martingale measure and a multidimensional Brownian motion. Firstly, the existence and uniqueness…

最优化与控制 · 数学 2016-10-12 Maoning Tang , Qingxin Meng

The minimization of energy-like cost functionals is addressed in the context of optimal control problems. For a general class of dynamical systems, with possibly unstable and nonlinear free dynamics, it is shown that a sequence of solutions…

最优化与控制 · 数学 2022-12-06 Sérgio S. Rodrigues

We investigated the quality of forecasting of fractional Brownian motion, and new method for estimating of Hurst exponent is validated. Stochastic model of the time series in the form of converted fractional Brownian motion is proposed. The…

概率论 · 数学 2017-04-05 Valeria Bondarenko , Victor Bondarenko , Kiryl Truskovsky , Ina Taralova

We study a classical Bayesian statistics problem of sequentially testing the sign of the drift of an arithmetic Brownian motion with the $0$-$1$ loss function and a constant cost of observation per unit of time for general prior…

概率论 · 数学 2015-09-03 Erik Ekström , Juozas Vaicenavicius

We study the problem of parametric estimation for continuously observed stochastic processes driven by additive small fractional Brownian motion with Hurst index 0<H<1/2 and 1/2<H<1. Under some assumptions on the drift coefficient, we…

统计理论 · 数学 2022-01-04 Shohei Nakajima , Yasutaka Shimizu

We consider a continuous-review inventory system in which the setup cost of each order is a general function of the order quantity and the demand process is modeled as a Brownian motion with a positive drift. Assuming the holding and…

最优化与控制 · 数学 2020-09-03 Shuangchi He , Dacheng Yao , Hanqin Zhang

The paper studies a class of quadratic optimal control problems for partially observable linear dynamical systems. In contrast to the full information case, the control is required to be adapted to the filtration generated by the…

最优化与控制 · 数学 2022-03-01 Jingrui Sun , Jie Xiong

We study the optimal control of discrete time mean filed dynamical systems under partial observations. We express the global law of the filtered process as a controlled system with its own dynamics. Following a dynamic programming approach,…

最优化与控制 · 数学 2023-03-13 Jeremy Chichportich , Idris Kharroubi

In this article we show a robustness theorem for controlled stochastic differential equations driven by approximations of Brownian motion. Often, Brownian motion is used as an idealized model of a diffusion where approximations such as…

最优化与控制 · 数学 2023-12-07 Somnath Pradhan , Zachary Selk , Serdar Yüksel

We address the path-wise control of systems described by a set of nonlinear stochastic differential equations. For this class of systems, we introduce a notion of stochastic relative degree and a change of coordinates which transforms the…

系统与控制 · 电气工程与系统科学 2022-12-14 Alberto Mellone , Giordano Scarciotti

In this work we provide a computationally tractable procedure for designing affine control policies, applied to constrained, discrete-time, partially observable, linear systems subject to set bounded disturbances, stochastic noise and…

最优化与控制 · 数学 2018-11-27 Georgios Kotsalis , Guanghui Lan

We present a dynamic programming-based solution to a stochastic optimal control problem up to a hitting time for a discrete-time Markov control process. Firstly, we determine an optimal control policy to steer the process toward a compact…

最优化与控制 · 数学 2009-09-28 Debasish Chatterjee , Eugenio Cinquemani , Giorgos Chaloulos , John Lygeros

Dual control explicitly addresses the problem of trading off active exploration and exploitation in the optimal control of partially unknown systems. While the problem can be cast in the framework of stochastic dynamic programming, exact…

系统与控制 · 电气工程与系统科学 2019-11-12 Elena Arcari , Lukas Hewing , Melanie N. Zeilinger

This paper develops a model for the bid and ask prices of a European type asset by formulating a stochastic control problem. The state process is governed by a modified geometric Brownian motion whose drift and diffusion coefficients depend…

数理金融 · 定量金融 2021-12-07 Engel John C. Dela Vega , Robert J. Elliott

The main purpose of this paper is to discuss detailed the stochastic LQ control problem with random coefficients where the linear system is a multidimensional stochastic differential equation driven by a multidimensional Brownian motion and…

最优化与控制 · 数学 2011-02-18 Meng Qingxin

The optimal control of problems that are constrained by partial differential equations with uncertainties and with uncertain controls is addressed. The Lagrangian that defines the problem is postulated in terms of stochastic functions, with…

最优化与控制 · 数学 2012-11-19 Eveline Rosseel , Garth N. Wells