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Graphical models are commonly used to represent conditional dependence relationships between variables. There are multiple methods available for exploring them from high-dimensional data, but almost all of them rely on the assumption that…

机器学习 · 统计学 2020-04-22 Tianxi Li , Cheng Qian , Elizaveta Levina , Ji Zhu

Estimating large covariance and precision matrices are fundamental in modern multivariate analysis. The problems arise from statistical analysis of large panel economics and finance data. The covariance matrix reveals marginal correlations…

统计方法学 · 统计学 2015-04-17 Jianqing Fan , Yuan Liao , Han Liu

This paper investigates a statistical procedure for testing the equality of two independently estimated covariance matrices when the number of potentially dependent data vectors is large and proportional to the size of the vectors, that is,…

统计方法学 · 统计学 2020-07-13 Rémy Mariétan , Stephan Morgenthaler

Correlation matrices inferred from stock return time series contain information on the behaviour of the market, especially on clusters of highly correlating stocks. Here we study a subset of New York Stock Exchange (NYSE) traded stocks and…

物理与社会 · 物理学 2009-11-13 Tapio Heimo , Jari Saramaki , Jukka-Pekka Onnela , Kimmo Kaski

It is commonly believed that the correlations between stock returns increase in high volatility periods. We investigate how much of these correlations can be explained within a simple non-Gaussian one-factor description with time…

无序系统与神经网络 · 物理学 2008-12-02 Pierre Cizeau , Marc Potters , Jean-Philippe Bouchaud

The value of an asset in a financial market is given in terms of another asset known as numeraire. The dynamics of the value is non-stationary and hence, to quantify the relationships between different assets, one requires convenient…

统计金融 · 定量金融 2019-06-26 Lasko Basnarkov , Viktor Stojkoski , Zoran Utkovski , Ljupco Kocarev

In this thesis, a Bayes linear methodology for the adjustment of covariance matrices is presented and discussed. A geometric framework for quantifying uncertainties about covariance matrices is set up, and an inner-product for spaces of…

bayes-an · 物理学 2016-08-31 Darren J Wilkinson

Based on a generalized cosine measure between two symmetric matrices, we propose a general framework for one-sample and two-sample tests of covariance and correlation matrices. We also develop a set of associated permutation algorithms for…

统计方法学 · 统计学 2018-12-05 Longyang Wu , Chengguo Weng , Xu Wang , Kesheng Wang , Xuefeng Liu

Correlations among stock returns during volatile markets differ substantially compared to those from quieter markets. During times of financial crisis, it has been observed that traditional dependency in global markets breaks down. However,…

应用统计 · 统计学 2019-09-13 Malay Bhattacharyya , Siva Rajesh Kasa

Financial stock returns correlations have been studied in the prism of random matrix theory, to distinguish the signal from the "noise". Eigenvalues of the matrix that are above the rescaled Marchenko Pastur distribution can be interpreted…

统计金融 · 定量金融 2025-08-19 Ixandra Achitouv

Beta-sorted portfolios -- portfolios comprised of assets with similar covariation to selected risk factors -- are a popular tool in empirical finance to analyze models of (conditional) expected returns. Despite their widespread use, little…

计量经济学 · 经济学 2024-11-12 Matias D. Cattaneo , Richard K. Crump , Weining Wang

We consider the problem of joint estimation of structured inverse covariance matrices. We perform the estimation using groups of measurements with different covariances of the same unknown structure. Assuming the inverse covariances to span…

机器学习 · 统计学 2015-11-23 Ilya Soloveychik , Ami Wiesel

Longitudinal studies are often conducted to explore the cohort and age effects in many scientific areas. The within cluster correlation structure plays a very important role in longitudinal data analysis. This is because not only can an…

统计理论 · 数学 2008-12-18 Yan Sun , Wenyang Zhang , Howell Tong

We show that results from the theory of random matrices are potentially of great interest to understand the statistical structure of the empirical correlation matrices appearing in the study of price fluctuations. The central result of the…

凝聚态物理 · 物理学 2009-10-31 Laurent Laloux , Pierre Cizeau , Jean-Philippe Bouchaud , Marc Potters

Stock market returns are typically analyzed using standard regression, yet they reside on irregular domains which is a natural scenario for graph signal processing. To this end, we consider a market graph as an intuitive way to represent…

投资组合管理 · 定量金融 2021-06-08 Alvaro Arroyo , Bruno Scalzo , Ljubisa Stankovic , Danilo P. Mandic

When inferring parameters from a Gaussian-distributed data set by computing a likelihood, a covariance matrix is needed that describes the data errors and their correlations. If the covariance matrix is not known a priori, it may be…

宇宙学与河外天体物理 · 物理学 2016-01-27 Elena Sellentin , Alan F. Heavens

Random matrix theory is used to assess the significance of weak correlations and is well established for Gaussian statistics. However, many complex systems, with stock markets as a prominent example, exhibit statistics with power-law tails,…

统计力学 · 物理学 2013-03-19 Mauro Politi , Enrico Scalas , Daniel Fulger , Guido Germano

We consider the problem of estimating a high-dimensional covariance matrix from a small number of observations when covariates on pairs of variables are available and the variables can have spatial structure. This is motivated by the…

Financial correlations play a central role in financial theory and also in many practical applications. From theoretical point of view, the key interest is in a proper description of the structure and dynamics of correlations. From…

统计力学 · 物理学 2009-11-10 Szilard Pafka , Imre Kondor

The purpose of this study is to estimate the correlation structure between multiple assets using financial text analysis. In recent years, as the background of elevating inflation in the global economy and monetary policy tightening by…

计算与语言 · 计算机科学 2024-05-24 Yasuhiro Nakayama , Tomochika Sawaki , Issei Furuya , Shunsuke Tamura