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The fractional Brownian motion (fBm) extends the standard Brownian motion by introducing some dependence between non-overlapping increments. Consequently, if one considers for example that log-prices follow an fBm, one can exploit the…

数理金融 · 定量金融 2021-09-02 Matthieu Garcin

In this paper, we investigate two-sided bounds for the small ball probability of a mixed fractional Brownian motion with a general deterministic trend function, in terms of respective small ball probability of a mixed fractional Brownian…

概率论 · 数学 2018-06-14 Anne MacKay , Alexander Melnikov , Yuliya Mishura

Herein we develop a dynamical foundation for fractional Brownian Motion. A clear relation is established between the asymptotic behaviour of the correlation function and diffusion in a dynamical system. Then, assuming that scaling is…

chao-dyn · 物理学 2008-02-03 R Mannella , P Grigolini , BJ West

Fractional Brownian motion is a non-Markovian Gaussian process $X_t$, indexed by the Hurst exponent $H$. It generalises standard Brownian motion (corresponding to $H=1/2$). We study the probability distribution of the maximum $m$ of the…

统计力学 · 物理学 2015-11-25 Mathieu Delorme , Kay Joerg Wiese

We study the two-dimensional fractional Brownian motion with Hurst parameter $H>{1/2}$. In particular, we show, using stochastic calculus, that this process admits a skew-product decomposition and deduce from this representation some…

概率论 · 数学 2007-05-23 Fabrice Baudoin , David Nualart

Rough volatility models are becoming increasingly popular in quantitative finance. In this framework, one considers that the behavior of the log-volatility process of a financial asset is close to that of a fractional Brownian motion with…

概率论 · 数学 2018-05-17 Eyal Neuman , Mathieu Rosenbaum

In this paper we introduce a definition of a multi-dimensional fractional Brownian motion of Hurst index $H \in (0, 1)$ under volatility uncertainty (in short G-fBm). We study the properties of such a process and provide first results about…

概率论 · 数学 2024-12-03 Francesca Biagini , Andrea Mazzon , Katharina Oberpriller

We begin by exploring the intuition of Brownian motion by explaining its birth through the observations of Robert Brown and later through Bachelier's work on its applications to the financial market and finally its rigorous and concretized…

统计金融 · 定量金融 2021-10-26 Yorgos Protonotarios , Pantelis Tassopoulos

Many studies assume stock prices follow a random process known as geometric Brownian motion. Although approximately correct, this model fails to explain the frequent occurrence of extreme price movements, such as stock market crashes. Using…

统计金融 · 定量金融 2015-05-14 Miguel A. Fuentes , Austin Gerig , Javier Vicente

We obtain bounds for probabilities of deviations of the truncated variation functional of fractional Brownian motions (fBm) of any Hurst index $H \in (0,1)$ from their expected values. Obtained bounds are optimal for large values of…

概率论 · 数学 2025-12-17 Witold M. Bednorz , Rafał M. Łochowski

We consider fractional Brownian motion with the Hurst parameters from (1/2,1). We found that the increment of a fractional Brownian motion can be represented as the sum of a two independent Gaussian processes one of which is smooth in the…

概率论 · 数学 2015-10-14 Nikolai Dokuchaev

The present article is devoted to a fine study of the convergence of renormalized weighted quadratic and cubic variations of a fractional Brownian motion $B$ with Hurst index $H$. In the quadratic (resp. cubic) case, when $H<1/4$ (resp.…

概率论 · 数学 2009-01-19 Ivan Nourdin

Define the incremental fractional Brownian field $B_{H}(s+\tau)-B_{H}(s), H\in (0,1)$, where $B_{H}(s)$ is a standard fractional Brownian motion with Hurst index $H\in(0,1)$. In this paper we derive the exact asymptotic behaviour of the…

概率论 · 数学 2013-09-03 Enkelejd Hashorva , Zhongquan Tan

The goal of this paper is to establish a relation between characteristic polynomials of $N\times N$ GUE random matrices $\mathcal{H}$ as $N\to\infty$, and Gaussian processes with logarithmic correlations. We introduce a regularized version…

数学物理 · 物理学 2016-09-05 Y. V. Fyodorov , B. A. Khoruzhenko , N. J. Simm

We consider a stochastic control model driven by a fractional Brownian motion. This model is a formal approximation to a queueing network with an on-off input process. We study stochastic control problems associated with the long-run…

概率论 · 数学 2008-08-12 Arka P. Ghosh , Alexander Roitershtein , Ananda Weerasinghe

This paper provides yet another look at the mixed fractional Brownian motion (fBm), this time, from the spectral perspective. We derive an approximation for the eigenvalues of its covariance operator, asymptotically accurate up to the…

概率论 · 数学 2019-12-25 P. Chigansky , M. Kleptsyna , D. Marushkevych

In this paper, we will first give the numerical simulation of the sub-fractional Brownian motion through the relation of fractional Brownian motion instead of its representation of random walk. In order to verify the rationality of this…

概率论 · 数学 2021-01-11 Chunhao Cai , Qinghua Wang , Weilin Xiao

We derive an asymptotic expansion for the quadratic variation of a stochastic process satisfying a stochastic differential equation driven by a fractional Brownian motion, based on the theory of asymptotic expansion of Skorohod integrals…

概率论 · 数学 2022-06-02 Hayate Yamagishi , Nakahiro Yoshida

We consider stochastic differential equation involving pathwise integral with respect to fractional Brownian motion. The estimates for the Hurst parameter are constructed according to first- and second-order quadratic variations of observed…

概率论 · 数学 2012-06-28 K. Kubilius , Y. Mishura

Fractional Brownian motion is a self-affine, non-Markovian and translationally invariant generalization of Brownian motion, depending on the Hurst exponent $H$. Here we investigate fractional Brownian motion where both the starting and the…

统计力学 · 物理学 2016-11-09 Mathieu Delorme , Kay Jörg Wiese
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