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We introduce a multivariate Hawkes process that accounts for the dynamics of market prices through the impact of market order arrivals at microstructural level. Our model is a point process mainly characterized by 4 kernels associated with…

交易与市场微观结构 · 定量金融 2013-01-08 E. Bacry , J. F Muzy

A Hawkes process model with a time-varying background rate is developed for analyzing the high-frequency financial data. In our model, the logarithm of the background rate is modeled by a linear model with a relatively large number of…

统计金融 · 定量金融 2017-07-24 Takahiro Omi , Yoshito Hirata , Kazuyuki Aihara

A simple Hawkes model have been developed for the price tick structure dynamics incorporating market microstructure noise and trade clustering. In this paper, the model is extended with random mark to deal with more realistic price tick…

统计金融 · 定量金融 2019-07-30 Kyungsub Lee , Byoung Ki Seo

Targeting a better understanding of credit market dynamics, the authors have studied a stochastic model named the Hawkes process. Describing trades arrival times, this kind of model allows for the capture of self-excitement and mutual…

应用统计 · 统计学 2019-02-12 Achraf Bahamou , Maud Doumergue , Philippe Donnat

This work focuses on a self-exciting point process defined by a Hawkes-like intensity and a switching mechanism based on a hidden Markov chain. Previous works in such a setting assume constant intensities between consecutive events. We…

统计方法学 · 统计学 2025-02-07 Timothée Fabre , Ioane Muni Toke

Hawkes Processes are a type of point process which models self-excitement among time events. It has been used in a myriad of applications, ranging from finance and earthquakes to crime rates and social network activity analysis.Recently, a…

机器学习 · 计算机科学 2021-01-05 Rafael Lima

Dynamic jumps in the price and volatility of an asset are modelled using a joint Hawkes process in conjunction with a bivariate jump diffusion. A state space representation is used to link observed returns, plus nonparametric measures of…

应用统计 · 统计学 2016-03-10 Worapree Maneesoonthorn , Catherine S. Forbes , Gael M. Martin

Recent years have seen an unprecedented rise of the role that technology plays in all aspects of human activities. Unavoidably, technology has heavily entered the Capital Markets trading space, to the extent that all major exchanges are now…

统计金融 · 定量金融 2015-05-05 Lucio Maria Calcagnile , Giacomo Bormetti , Michele Treccani , Stefano Marmi , Fabrizio Lillo

The Hawkes model is suitable for describing self and mutually exciting random events. In addition, the exponential decay in the Hawkes process allows us to calculate the moment properties in the model. However, due to the complexity of the…

统计金融 · 定量金融 2024-09-24 Kyungsub Lee

This study proposes a versatile model for the dynamics of the best bid and ask prices using an extended Hawkes process. The model incorporates the zero intensities of the spread-narrowing processes at the minimum bid-ask spread,…

交易与市场微观结构 · 定量金融 2022-01-26 Kyungsub Lee , Byoung Ki Seo

The paper investigates the effect of the label green in bond markets from the lens of the trading activity. The idea is that jumps in the dynamics of returns have a specific memory nature that can be well represented through a self-exciting…

交易与市场微观结构 · 定量金融 2023-08-24 Lorenzo Mercuri , Andrea Perchiazzo , Edit Rroji

Hawkes processes are a particularly interesting class of stochastic process that have been applied in diverse areas, from earthquake modelling to financial analysis. They are point processes whose defining characteristic is that they…

概率论 · 数学 2015-07-13 Patrick J. Laub , Thomas Taimre , Philip K. Pollett

High-frequency market making is a liquidity-providing trading strategy that simultaneously generates many bids and asks for a security at ultra-low latency while maintaining a relatively neutral position. The strategy makes a profit from…

计算工程、金融与科学 · 计算机科学 2021-10-01 Pankaj Kumar

A point process for event arrivals in high frequency trading is presented. The intensity is the product of a Hawkes process and high dimensional functions of covariates derived from the order book. Conditions for stationarity of the process…

交易与市场微观结构 · 定量金融 2026-05-12 Luca Mucciante , Alessio Sancetta

Trade executions for major stocks come in bursts of activity, which can be partly attributed to the presence of self- and mutual excitations endogenous to the system. In this paper, we study transaction reports for five FTSE 100 stocks. We…

计算工程、金融与科学 · 计算机科学 2022-07-29 Isobel Seabrook , Paolo Barucca , Fabio Caccioli

This study examines the use of a recurrent neural network for estimating the parameters of a Hawkes model based on high-frequency financial data, and subsequently, for computing volatility. Neural networks have shown promising results in…

统计金融 · 定量金融 2023-04-25 Kyungsub Lee

We introduce a Hawkes-like process and study its scaling limit as the system becomes increasingly endogenous. We derive functional limit theorems for intensity and fluctuations. Then, we introduce a high-frequency model for a price of a…

概率论 · 数学 2018-07-12 Łukasz Treszczotko

In this paper we seek to demonstrate the predictability of stock market returns and explain the nature of this return predictability. To this end, we introduce investors with different investment horizons into the news-driven, analytic,…

综合金融 · 定量金融 2016-03-30 Dimitri Kroujiline , Maxim Gusev , Dmitry Ushanov , Sergey V. Sharov , Boris Govorkov

We analyze the dynamical response of the world's financial community to various types of unexpected events, including the 9/11 terrorist attacks as they unfolded on a minute-by-minute basis. We find that there are various 'species' of news,…

物理与社会 · 物理学 2011-09-06 Mark McDonald , Omer Suleman , Stacy Williams , Sam Howison , Neil F. Johnson

This paper introduces a non-parametric framework to statistically examine how news events, such as company or macroeconomic announcements, contribute to the pre- and post-event jump dynamics of stock prices under the intraday seasonality of…

综合金融 · 定量金融 2019-01-10 Juho Kanniainen , Ye Yue
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