Search results for " Lévy process"
showing 3 items of 3 documents
Futures pricing in electricity markets based on stable CARMA spot models
2012
We present a new model for the electricity spot price dynamics, which is able to capture seasonality, low-frequency dynamics and the extreme spikes in the market. Instead of the usual purely deterministic trend we introduce a non-stationary independent increments process for the low-frequency dynamics, and model the large uctuations by a non-Gaussian stable CARMA process. The model allows for analytic futures prices, and we apply these to model and estimate the whole market consistently. Besides standard parameter estimation, an estimation procedure is suggested, where we t the non-stationary trend using futures data with long time until delivery, and a robust L 1 -lter to nd the states of …
Josephson-based Threshold Detector for Lévy-Distributed Current Fluctuations
2019
We propose a threshold detector for Lévy-distributed fluctuations based on a Josephson junction. The Lévy-noise current added to a linearly ramped bias current results in clear changes in the distribution of switching currents out of the zero-voltage state of the junction. We observe that the analysis of the cumulative distribution function of the switching currents supplies information on both the characteristics' shape parameter α of the Lévy statistics. Moreover, we discuss a theoretical model, which allows characteristic features of the Lévy fluctuations to be extracted from a measured distribution of switching currents. In view of these results, this system can effectively find an appl…
A Comparison among Portfolio Selection Strategies with Subordinated Lévy Processes
2007
In this paper we describe portfolio selection models using Lévy processes. The contribution consists in comparing some portfolio selection strategies under different distributional assumptions. We first implement portfolio models under the hypothesis the log-returns follow a particular process with independent and stationary increments. Then we compare the ex-post final wealth of optimal portfolio selection models with subordinated Lévy processes when limited short sales and transaction costs are allowed.