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Main Authors: Jaber, Eduardo Abi, Bayer, Christian, Breneis, Simon
Format: Preprint
Published: 2024
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Online Access:https://arxiv.org/abs/2412.17526
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author Jaber, Eduardo Abi
Bayer, Christian
Breneis, Simon
author_facet Jaber, Eduardo Abi
Bayer, Christian
Breneis, Simon
contents We show that the state spaces of multifactor Markovian processes, coming from approximations of nonnegative Volterra processes, are given by explicit linear transformation of the nonnegative orthant. We demonstrate the usefulness of this result for applications, including simulation schemes and PDE methods for nonnegative Volterra processes.
format Preprint
id arxiv_https___arxiv_org_abs_2412_17526
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle State spaces of multifactor approximations of nonnegative Volterra processes
Jaber, Eduardo Abi
Bayer, Christian
Breneis, Simon
Probability
Mathematical Finance
60H20, 91-10, 91-08
We show that the state spaces of multifactor Markovian processes, coming from approximations of nonnegative Volterra processes, are given by explicit linear transformation of the nonnegative orthant. We demonstrate the usefulness of this result for applications, including simulation schemes and PDE methods for nonnegative Volterra processes.
title State spaces of multifactor approximations of nonnegative Volterra processes
topic Probability
Mathematical Finance
60H20, 91-10, 91-08
url https://arxiv.org/abs/2412.17526