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Systemic risk measures quantify the potential risk to an individual financial constituent arising from the distress of entire financial system. As a generalization of two widely applied risk measures, Value-at-Risk and Expected Shortfall,…

统计方法学 · 统计学 2025-11-24 Qingzhao Zhong , Yanxi Hou

Conditional value-at-risk (CoVaR) is one of the most important measures of systemic risk. It is defined as the high quantile conditional on a related variable being extreme, widely used in the field of quantitative risk management. In this…

统计方法学 · 统计学 2026-02-12 Zhaowen Wang , Yutao Liu , Deyuan Li

The global financial crisis of 2007-2009 highlighted the crucial role systemic risk plays in ensuring stability of financial markets. Accurate assessment of systemic risk would enable regulators to introduce suitable policies to mitigate…

统计理论 · 数学 2022-03-03 Natalia Nolde , Chen Zhou , Menglin Zhou

Risk sensitive decision making finds important applications in current day use cases. Existing risk measures consider a single or finite collection of random variables, which do not account for the asymptotic behaviour of underlying…

风险管理 · 定量金融 2024-05-24 Shivam Patel , Vivek Borkar

This paper is dedicated to the consistency of systemic risk measures with respect to stochastic dependence. It compares two alternative notions of Conditional Value-at-Risk (CoVaR) available in the current literature. These notions are both…

风险管理 · 定量金融 2012-08-30 Georg Mainik , Eric Schaanning

We develop an extreme value framework for CoVaR centered on $v(q \mid p ; C)$, the copula-adjusted probability level, or equivalently, the CoVaR on the uniform (0,1) scale. We characterize the possible tail regimes of $v(q \mid p ; C)$…

统计方法学 · 统计学 2026-03-31 Xiaoting Li , Harry Joe

In this paper, we investigate risk measures such as value at risk (VaR) and the conditional tail expectation (CTE) of the extreme (maximum and minimum) and the aggregate (total) of two dependent risks. In finance, insurance and the other…

风险管理 · 定量金融 2021-02-01 Suman Thapa , Yiqiang Q. Zhao

CoVaR (conditional value-at-risk) is a crucial measure for assessing financial systemic risk, which is defined as a conditional quantile of a random variable, conditioned on other random variables reaching specific quantiles. It enables the…

风险管理 · 定量金融 2023-10-31 Weihuan Huang

Systemic risk measures play a crucial role in analyzing individual losses conditional on extreme system-wide disasters. In this paper, we provide a unified asymptotic treatment for systemic risk measures. First, we classify them into two…

风险管理 · 定量金融 2026-05-26 Bingzhen Geng , Yang Liu , Yimiao Zhao

We propose nonparametric estimators for conditional value-at-risk (CVaR) and conditional expected shortfall (CES) associated with conditional distributions of a series of returns on a financial asset. The return series and the conditioning…

统计方法学 · 统计学 2016-12-28 Carlos Martins-Filho , Feng Yao , Maximo Torero

We propose a non-asymptotic convergence analysis of a two-step approach to learn a conditional value-at-risk (VaR) and a conditional expected shortfall (ES) using Rademacher bounds, in a non-parametric setup allowing for heavy-tails on the…

计算金融 · 定量金融 2024-09-20 D Barrera , S Crépey , E Gobet , Hoang-Dung Nguyen , B Saadeddine

The popular systemic risk measure CoVaR (conditional Value-at-Risk) and its variants are widely used in economics and finance. In this article, we propose joint dynamic forecasting models for the Value-at-Risk (VaR) and CoVaR. The CoVaR…

计量经济学 · 经济学 2025-01-22 Timo Dimitriadis , Yannick Hoga

In a wide variety of sequential decision making problems, it can be important to estimate the impact of rare events in order to minimize risk exposure. A popular risk measure is the conditional value-at-risk (CVaR), which is commonly…

机器学习 · 统计学 2020-12-11 Dylan Troop , Frédéric Godin , Jia Yuan Yu

Risk measure forecast and model have been developed in order to not only provide better forecast but also preserve its (empirical) property especially coherent property. Whilst the widely used risk measure of Value-at-Risk (VaR) has shown…

风险管理 · 定量金融 2020-09-08 Bony Josaphat , Khreshna Syuhada

We propose a new class of extreme-value copulas which are extreme-value limits of conditional normal models. Conditional normal models are generalizations of conditional independence models, where the dependence among observed variables is…

统计方法学 · 统计学 2021-02-16 Pavel Krupskii , Marc G. Genton

The Pickands estimator for the extreme value index is beneficial due to its universal consistency, location, and scale invariance, which sets it apart from other types of estimators. However, similar to many extreme value index estimators,…

统计理论 · 数学 2024-07-29 Yizhou Li , Pawel Polak

This paper shows that the CoVaR,$\Delta$-CoVaR,CoES,$\Delta$-CoES and MES systemic risk measures can be represented in terms of the univariate risk measure evaluated at a quantile determined by the copula. The result is applied to derive…

风险管理 · 定量金融 2023-04-27 Aleksy Leeuwenkamp

Recent financial disasters emphasised the need to investigate the consequence associated with the tail co-movements among institutions; episodes of contagion are frequently observed and increase the probability of large losses affecting…

统计方法学 · 统计学 2013-11-05 Mauro Bernardi , Ghislaine Gayraud , Lea Petrella

In financial risk management, Value at Risk (VaR) is widely used to estimate potential portfolio losses. VaR's limitation is its inability to account for the magnitude of losses beyond a certain threshold. Expected Shortfall (ES) addresses…

风险管理 · 定量金融 2024-07-10 Federico Gatta , Fabrizio Lillo , Piero Mazzarisi

Recent financial disasters have emphasised the need to accurately predict extreme financial losses and their consequences for the institutions belonging to a given financial market. The ability of econometric models to predict extreme…

统计方法学 · 统计学 2016-01-22 Mauro Bernardi , Leopoldo Catania
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