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Newton's method has been an important approach for solving variational inequalities, quasi-Newton method is a good alternative choice to save computational cost. In this paper, we propose a new method for solving monotone variational…

最优化与控制 · 数学 2025-05-20 Yuge Ye , Qingna Li , Deren Han

We assume a continuous-time price impact model similar to Almgren-Chriss but with the added assumption that the price impact parameters are stochastic processes modeled as correlated scalar Markov diffusions. In this setting, we develop…

交易与市场微观结构 · 定量金融 2018-04-13 Weston Barger , Matthew Lorig

In an incomplete model, where under an appropriate num\'eraire, the stock price process is driven by a sigma-bounded semimartingale, we investigate the behavior of the expected utility maximization problem under small perturbations of the…

概率论 · 数学 2020-02-11 Oleksii Mostovyi

This paper is concerned with a stochastic recursive optimal control problem with time delay, where the controlled system is described by a stochastic differential delayed equation (SDDE) and the cost functional is formulated as the solution…

最优化与控制 · 数学 2014-08-26 Jingtao Shi , Huanshui Zhang

We study the dual formulation of the utility maximization problem in incomplete markets when the utility function is finitely valued on the whole real line. We extend the existing results in this literature in two directions. First, we…

概率论 · 数学 2008-12-10 B. Bouchard , N. Touzi , A. Zeghal

The paper considers the problem of robust estimating a periodic function in a continuous time regression model with dependent disturbances given by a general square integrable semimartingale with unknown distribution. An example of such a…

统计理论 · 数学 2010-10-20 Victor Konev , Serguei Pergamenchtchikov

This paper deals with numerical solutions of maximizing expected utility from terminal wealth under a non-bankruptcy constraint. The wealth process is subject to shocks produced by a general marked point process. The problem of the agent is…

计算金融 · 定量金融 2010-09-06 Mohamed Mnif

Our goal is to analyze the system of Hamilton-Jacobi-Bellman equations arising in derivative securities pricing models. The European style of an option price is constructed as a difference of the certainty equivalents to the value functions…

偏微分方程分析 · 数学 2021-08-31 Pedro Polvora , Daniel Sevcovic

We consider the problem of portfolio optimization in a simple incomplete market and under a general utility function. By working with the associated Hamilton-Jacobi-Bellman partial differential equation (HJB PDE), we obtain a closed-form…

概率论 · 数学 2018-02-22 Rohini Kumar , Hussein Nasralah

In this manuscript, we study optimal control problems for stochastic delay differential equations using the dynamic programming approach in Hilbert spaces via viscosity solutions of the associated Hamilton-Jacobi-Bellman equations. We show…

最优化与控制 · 数学 2024-12-24 Filippo de Feo , Andrzej Święch

We study the optimal excess-of-loss reinsurance problem when both the intensity of the claims arrival process and the claim size distribution are influenced by an exogenous stochastic factor. We assume that the insurer's surplus is governed…

数理金融 · 定量金融 2019-04-12 Matteo Brachetta , Claudia Ceci

We investigate optimal consumption and investment problems for a Black-Scholes market under uniform restrictions on Value-at-Risk and Expected Shortfall. We formulate various utility maximization problems, which can be solved explicitly. We…

投资组合管理 · 定量金融 2010-02-15 Claudia Kluppelberg , Serguei Pergamenchtchikov

In this paper, we consider the portfolio optimization problem in a financial market where the underlying stochastic volatility model is driven by n-dimensional Brownian motions. At first, we derive a Hamilton-Jacobi-Bellman equation…

数理金融 · 定量金融 2024-12-20 Minglian Lin , Indranil SenGupta

In optimal control problems defined on stratified domains, the dynamics and the running cost may have discontinuities on a finite union of submanifolds of RN. In [8, 5], the corresponding value function is characterized as the unique…

最优化与控制 · 数学 2022-07-15 Simone Cacace , Fabio Camilli

We obtain weighted uniform estimates for the gradient of the solutions to a class of linear parabolic Cauchy problems with unbounded coefficients. Such estimates are then used to prove existence and uniqueness of the mild solution to a…

偏微分方程分析 · 数学 2014-02-04 Davide Addona

We study the problem of optimal portfolio selection under stochastic volatility within a continuous time reinforcement learning framework with portfolio constraints. Exploration is modeled through entropy-regularized relaxed controls, where…

数理金融 · 定量金融 2026-04-27 Thai Nguyen , Pertiny Nkuize

With model uncertainty characterized by a convex, possibly non-dominated set of probability measures, the agent minimizes the cost of hedging a path dependent contingent claim with given expected success ratio, in a discrete-time,…

数理金融 · 定量金融 2017-09-29 Erhan Bayraktar , Gu Wang

We study the optimal liquidation problem in a market model where the bid price follows a geometric pure jump process whose local characteristics are driven by an unobservable finite-state Markov chain and by the liquidation rate. This model…

数理金融 · 定量金融 2019-06-27 Katia Colaneri , Zehra Eksi , Rüdiger Frey , Michaela Szölgyenyi

We formulate a continuous-time competitive equilibrium model of irreversible capacity investment in which a continuum of heterogeneous producers supplies a single non-durable good subject to exogenous stochastic demand. Each producer…

概率论 · 数学 2025-12-04 Constantinos Kardaras , Alexandros Pavlis , Mihail Zervos

In this paper we explore optimal liquidation in a market populated by a number of heterogeneous market makers that have limited inventory-carrying and risk-bearing capacity. We derive a reduced form model for the dynamic of their aggregated…

交易与市场微观结构 · 定量金融 2022-09-01 Marina Di Giacinto , Claudio Tebaldi , Tai-Ho Wang