On the convergence order of the Euler scheme for scalar SDEs with Hölder-type diffusion coefficients

Fuente: arXiv
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Auteurs principaux: Mickel, Annalena, Neuenkirch, Andreas
Format: Preprint
Publié: 2023
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author Mickel, Annalena
Neuenkirch, Andreas
author_facet Mickel, Annalena
Neuenkirch, Andreas
contents We study the Euler scheme for scalar non-autonomous stochastic differential equations, whose diffusion coefficient is not globally Lipschitz but a fractional power of a globally Lipschitz function. We analyse the strong error and establish a criterion, which relates the convergence order of the Euler scheme to an inverse moment condition for the diffusion coefficient. Our result in particular applies to Cox-Ingersoll-Ross-, Chan-Karolyi-Longstaff-Sanders- or Wright-Fisher-type stochastic differential equations and thus provides a unifying framework.
format Preprint
id arxiv_https___arxiv_org_abs_2307_11448
institution arXiv
publishDate 2023
record_format arxiv
spellingShingle On the convergence order of the Euler scheme for scalar SDEs with Hölder-type diffusion coefficients
Mickel, Annalena
Neuenkirch, Andreas
Numerical Analysis
Probability
65C30, 60H35
We study the Euler scheme for scalar non-autonomous stochastic differential equations, whose diffusion coefficient is not globally Lipschitz but a fractional power of a globally Lipschitz function. We analyse the strong error and establish a criterion, which relates the convergence order of the Euler scheme to an inverse moment condition for the diffusion coefficient. Our result in particular applies to Cox-Ingersoll-Ross-, Chan-Karolyi-Longstaff-Sanders- or Wright-Fisher-type stochastic differential equations and thus provides a unifying framework.
title On the convergence order of the Euler scheme for scalar SDEs with Hölder-type diffusion coefficients
topic Numerical Analysis
Probability
65C30, 60H35
url https://arxiv.org/abs/2307.11448