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This paper considers consumption and portfolio optimization problems with recursive preferences in both infinite and finite time regions. Specially, the financial market consists of a risk-free asset and a risky asset that follows a general…

最优化与控制 · 数学 2024-12-30 Jian-hao Kang , Zhun Gou , Nan-jing Huang

We consider a pathwise stochastic optimal control problem and study the associated (not necessarily adapted) Hamilton-Jacobi-Bellman stochastic partial differential equation. We show that the value process is the unique solution of this…

概率论 · 数学 2023-11-02 Neeraj Bhauryal , Ana Bela Cruzeiro , Carlos Oliveira

In this work we investigate the optimal proportional reinsurance-investment strategy of an insurance company which wishes to maximize the expected exponential utility of its terminal wealth in a finite time horizon. Our goal is to extend…

风险管理 · 定量金融 2019-04-04 Matteo Brachetta , Claudia Ceci

In this manuscript we consider optimal control problems of stochastic differential equations with delays in the state and in the control. First, we prove an equivalent Markovian reformulation on Hilbert spaces of the state equation. Then,…

最优化与控制 · 数学 2024-05-20 Filippo de Feo

When randomness in demand affects the sales of a product, retailers use dynamic pricing strategies to maximize their profits. In this article, we formulate the pricing problem as a continuous-time stochastic optimal control problem and find…

最优化与控制 · 数学 2019-03-13 Asbjørn Nilsen Riseth

In this paper, we aim to develop the theory of optimal stochastic control for branching diffusion processes where both the movement and the reproduction of the particles depend on the control. More precisely, we study the problem of…

概率论 · 数学 2016-09-19 Julien Claisse

We consider an optimal stochastic impulse control problem over an infinite time horizon motivated by a model of irreversible investment choices with fixed adjustment costs. By employing techniques of viscosity solutions and relying on…

最优化与控制 · 数学 2019-02-05 Salvatore Federico , Mauro Rosestolato , Elisa Tacconi

We formulate a path-dependent stochastic optimal control problem under general conditions, for which weprove rigorously the dynamic programming principle and that the value function is the unique Crandall-Lions viscosity solution of the…

概率论 · 数学 2023-08-04 Andrea Cosso , Fausto Gozzi , Mauro Rosestolato , Francesco Russo

In this paper we investigate a kind of optimal control problem of coupled forward-backward stochastic system with jumps whose cost functional is defined through a coupled forward-backward stochastic differential equation with Brownian…

概率论 · 数学 2020-09-15 Qian Lin

In this paper, we study a stochastic optimal control problem with stochastic volatility. We prove the sufficient and necessary maximum principle for the proposed problem. Then we apply the results to solve an investment, consumption and…

投资组合管理 · 定量金融 2018-08-15 Rodwell Kufakunesu , Calisto Guambe

In this paper we consider a variation of the Merton's problem with added stochastic volatility and finite time horizon. It is known that the corresponding optimal control problem may be reduced to a linear parabolic boundary problem under…

数理金融 · 定量金融 2015-05-28 Elena Boguslavskaya , Dmitry Muravey

We introduce a stochastic version of the optimal transport problem. We provide an analysis by means of the study of the associated Hamilton-Jacobi-Bellman equation, which is set on the set of probability measures. We introduce a new…

偏微分方程分析 · 数学 2024-05-22 Charles Bertucci

This study investigates a stochastic production planning problem with a running cost composed of quadratic production costs and inventory-dependent costs. The objective is to minimize the expected cost until production stops when inventory…

最优化与控制 · 数学 2025-05-20 Dragos-Patru Covei

We discuss a class of debt management problems in a stochastic environment model. We propose a model for the debt-to-GDP (Gross Domestic Product) ratio where the government interventions via fiscal policies affect the public debt and the…

综合经济学 · 经济学 2021-07-23 Matteo Brachetta , Claudia Ceci

We develop a continuous-time control approach to optimal trading in a Proof-of-Stake (PoS) blockchain, formulated as a consumption-investment problem that aims to strike the optimal balance between a participant's (or agent's) utility from…

综合经济学 · 经济学 2023-06-13 Wenpin Tang , David D. Yao

We consider a problem of stochastic optimal control with separable drift uncertainty in strong formulation on a finite horizon. The drift coefficient of the state $Y^{u}$ is multiplicatively influenced by an unknown random variable…

最优化与控制 · 数学 2023-11-13 Samuel N. Cohen , Christoph Knochenhauer , Alexander Merkel

We present a neural network approach for approximating the value function of high-dimensional stochastic control problems. Our training process simultaneously updates our value function estimate and identifies the part of the state space…

最优化与控制 · 数学 2024-05-08 Xingjian Li , Deepanshu Verma , Lars Ruthotto

We consider a stochastic control problem with the assumption that the system is controlled until the state process breaks the fixed barrier. Assuming some general conditions, it is proved that the resulting Hamilton Jacobi Bellman equations…

最优化与控制 · 数学 2025-03-24 Dariusz Zawisza

We study an optimal investment/consumption problem in a model capturing market and credit risk dependencies. Stochastic factors drive both the default intensity and the volatility of the stocks in the portfolio. We use the martingale…

数理金融 · 定量金融 2018-06-20 Lijun Bo , Agostino Capponi

In this paper, we study the existence and uniqueness of viscosity solutions to a kind of Hamilton-Jacobi-Bellman (HJB) equations combined with algebra equations. This HJB equation is related to a stochastic optimal control problem for which…

最优化与控制 · 数学 2019-06-19 Mingshang Hu , Shaolin Ji , Xiaole Xue