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A structural Gaussian mixture vector autoregressive model is introduced. The shocks are identified by combining simultaneous diagonalization of the reduced form error covariance matrices with constraints on the time-varying impact matrix.…

计量经济学 · 经济学 2026-02-10 Savi Virolainen

Social network interference induces complex dependencies where a unit's outcome is influenced not only by its own exposure and mediator but also by those of connected neighbors. In such settings, a significant challenge lies in…

统计方法学 · 统计学 2026-03-03 Ritoban Kundu , Peter X. K. Song

How, and to what extent, does an interconnected financial system endogenously amplify external shocks? This paper attempts to reconcile some apparently different views emerged after the 2008 crisis regarding the nature and the relevance of…

风险管理 · 定量金融 2016-08-30 Gabriele Visentin , Stefano Battiston , Marco D'Errico

It had been believed in the conventional practice that the risk of a bank going bankrupt is lessened in a straightforward manner by transferring the risk of loan defaults. But the failure of American International Group in 2008 posed a more…

风险管理 · 定量金融 2016-11-17 Yoshiharu Maeno , Kenji Nishiguchi , Satoshi Morinaga , Hirokazu Matsushima

Empirical researchers often estimate spillover effects by fitting linear or non-linear regression models to sampled network data. We show that common sampling schemes bias these estimates, potentially upwards, and derive biased-corrected…

综合经济学 · 经济学 2025-09-23 Kieran Marray

The study of systemic risk is often presented through the analysis of several measures referring to quantities used by practitioners and policy makers. Almost invariably, those measures evaluate the size of the impact that exogenous events…

物理与社会 · 物理学 2023-04-13 Luka Klinčić , Vinko Zlatić , Guido Caldarelli , Hrvoje Štefančić

This paper introduces a novel multi-moment connectedness network approach for analyzing the interconnectedness of green financial market. Focusing on the impact of monetary policy shocks, our study reveals that connectedness within the…

综合经济学 · 经济学 2024-10-23 Tingguo Zheng , Hongyin Zhang , Shiqi Ye

Credit Default Swaps (CDS) on a reference entity may be traded in multiple currencies, in that protection upon default may be offered either in the domestic currency where the entity resides, or in a more liquid and global foreign currency.…

证券定价 · 定量金融 2018-01-23 Damiano Brigo , Nicola Pede , Andrea Petrelli

Arguably the most important problem in quantitative finance is to understand the nature of stochastic processes that underlie market dynamics. One aspect of the solution to this problem involves determining characteristics of the…

物理与社会 · 物理学 2009-11-13 Kevin E. Bassler , Joseph L. McCauley , Gemunu H. Gunaratne

Micro-structural models of contagion and systemic risk emphasize that shock propagation is inherently multi-channel, spanning counterparty exposures, short-term funding and roll-over risk, securities cross-holdings, and common-asset…

统计金融 · 定量金融 2026-02-12 Ilias Aarab , Thomas Gottron , Andrea Colombo , Jörg Reddig , Annalauro Ianiro

Various works have already showed that common shocks and cross-country financial linkages caused the banking systems of several countries to be highly interconnected with the result that during bad times, banking crises may arise…

统计金融 · 定量金融 2019-04-30 Paolo Di Caro , Giuseppe Pernagallo , Antonino Damiano Rossello , Benedetto Torrisi

Financial spillovers in interconnected systems, such as global banking networks, require tools that capture temporal and frequency dynamics, while incorporating the underlying network topology. While current network time series models are…

统计方法学 · 统计学 2026-04-07 Cristian F. Jiménez-Varón , Marina I. Knight

We show that time-dependent fluctuations $\{\Delta x\}$ in foreign exchange rates are accurately described by a random walk in a complex plane that is demarcated into the gain (+) and loss (-) sectors. $\{\Delta x\}$ is the outcome of $N$…

The present paper aims at locating the breakings of the integration process of an international system observed during about 50 years in the 19th century. A historical study could link them to special events, which operated as exogenous…

A major impact of globalization has been the information flow across the financial markets rendering them vulnerable to financial contagion. Research has focused on network analysis techniques to understand the extent and nature of such…

统计金融 · 定量金融 2019-11-15 Sayantan Banerjee , Kousik Guhathakurta

Consider the problem of a central bank that wants to manage the exchange rate between its domestic currency and a foreign one. The central bank can purchase and sell the foreign currency, and each intervention on the exchange market leads…

最优化与控制 · 数学 2017-12-07 Giorgio Ferrari , Tiziano Vargiolu

This paper investigates the impact of monetary policy surprises on U.S. Treasury bond yields and the implications for portfolio managers. Based on the supply and demand model, traditional economic theories suggest that Federal Reserve bond…

综合经济学 · 经济学 2025-05-13 Minnie Zhu , Yuhan Liu , Simon Gong

Credit and liquidity risks represent main channels of financial contagion for interbank lending markets. On one hand, banks face potential losses whenever their counterparties are under distress and thus unable to fulfill their obligations.…

风险管理 · 定量金融 2016-09-23 Giulio Cimini , Matteo Serri

Extremal dependence between international stock markets is of particular interest in today's global financial landscape. However, previous studies have shown this dependence is not necessarily stationary over time. We concern ourselves with…

统计金融 · 定量金融 2017-09-06 Daniela Castro Camilo , Miguel de Carvalho , Jennifer Wadsworth

We use granular regulatory data on euro interest rate swap trades between January 2021 and June 2023 to assess whether derivative positions of Italian banks can offset losses on their debt securities holdings should interest rates rise…

投资组合管理 · 定量金融 2024-12-23 Michele Leonardo Bianchi , Dario Ruzzi , Anatoli Segura