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Autores principales: Nistor, Mihaela-Adriana, Popescu, Ionel
Formato: Preprint
Publicado: 2026
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Acceso en línea:https://arxiv.org/abs/2603.12767
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author Nistor, Mihaela-Adriana
Popescu, Ionel
author_facet Nistor, Mihaela-Adriana
Popescu, Ionel
contents In this paper we introduce a generalization of classical risk measures in which the risk is represented by a step function taking two values, corresponding to two endogenously determined market regimes. This extends the traditional framework where risk measures map random variables to single real numbers. For the quadratic loss function, we study the optimization problem of determining the optimal regime threshold and corresponding values. In the case of log-concave distributions we give conditions for the uniqueness of the regime changing. We treat the case of one dimension and also of multi-dimensions for elliptic distributions. We demonstrate the necessity of convexity through counterexamples.
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publishDate 2026
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spellingShingle A property of log-concave and weakly-symmetric distributions for two step approximations of random variables
Nistor, Mihaela-Adriana
Popescu, Ionel
Probability
Risk Management
In this paper we introduce a generalization of classical risk measures in which the risk is represented by a step function taking two values, corresponding to two endogenously determined market regimes. This extends the traditional framework where risk measures map random variables to single real numbers. For the quadratic loss function, we study the optimization problem of determining the optimal regime threshold and corresponding values. In the case of log-concave distributions we give conditions for the uniqueness of the regime changing. We treat the case of one dimension and also of multi-dimensions for elliptic distributions. We demonstrate the necessity of convexity through counterexamples.
title A property of log-concave and weakly-symmetric distributions for two step approximations of random variables
topic Probability
Risk Management
url https://arxiv.org/abs/2603.12767