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arXiv research

A locally-built, LLM-digested index of recent arXiv papers in quant finance, geometry/topology, and statistical ML — keyword search served straight from SQLite on this machine.

169,341 papers · 148 categories

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5101419 · Jul 202619922001200920182026
48 results for aggressive shrinkage

New denoisers improve signal recovery from noisy data without knowing noise distribution.

problem Denoising signals when only noise level is known, not distribution.
method Universal denoisers that shrink PYP_Y toward PXP_X with higher-order accuracy.
result Achieves O(σ4)O(σ^4) and O(σ6)O(σ^6) accuracy in matching generalized moments and densities.

Study finds long-term linear correlations in Chinese stock order aggressiveness.

problem Investigating long-term correlations in order aggressiveness of Chinese stocks.
method Used detrending moving average and multifractal detrending moving average analyses on order flow data.
result Strong long-term linear correlations found in order aggressiveness, with some exceptions.

Modeling aggressive market order arrivals using Hawkes factor models.

problem Aggressive market order placements and their impact on stock prices.
method Bivariate marked Hawkes process with self-excitation and cross-excitation components.
result The Hawkes model with an exponential kernel produces better calibration than a monotonous exponential kernel.

The paper extends and applies a new shrinkage prior in Bayesian factor analysis.

problem Estimating the number of factors in sparse Bayesian factor analysis.
method Introduces and extends a generalized cumulative shrinkage process (CUSP) prior.
result Exchangeable spike-and-slab shrinkage priors imply increasing shrinkage as the column index increases.

Paper proposes a new method for covariance estimation using M-estimators with eigenvalue shrinkage.

problem Estimating covariance matrices in heavy-tailed distributions.
method Replaces shrinkage sample covariance matrix with M-estimator of scatter matrix and optimizes shrinkage parameter.
result Shrinkage M-estimators outperform shrinkage SCM in heavy-tailed distributions.

WeSpeR speeds up non-linear shrinkage for high-dimensional weighted covariance.

problem Computing non-linear shrinkage formulas for high-dimensional weighted sample covariance.
method Derive extit{WeSpeR} algorithm using asymptotic sample spectrum properties.
result Significantly speeds up non-linear shrinkage in dimensions higher than 1000.

Improved portfolio optimization method reduces risk and improves performance.

problem Minimizing risk in large portfolios with limited data.
method Combines Tikhonov regularization and direct shrinkage of portfolio weights.
result Significantly reduces out-of-sample variance and Sharpe ratio compared to existing methods.

Extends covariance estimation with multiple targets for better performance.

problem Improving covariance estimation for multiple targets.
method Combines multiple constant matrices with sample covariance matrix, derives estimators and proves convergence.
result The multi-target linear shrinkage estimator outperforms other estimators in various situations.

PAS improves estimation of multiple means using ML predictions and shrinkage.

problem Improving statistical estimates with limited gold-standard data and noisy ML predictions.
method Prediction-Powered Adaptive Shrinkage (PAS) that combines PPI with empirical Bayes shrinkage.
result PAS adapts to the reliability of ML predictions and outperforms traditional methods in large-scale applications.

Estimates dependent parameters using Markovian dependence with shrinkage.

problem Estimating dependent parameters from a hidden Markov model.
method Developed a novel non-parametric shrinkage algorithm combining Tweedie-based ideas and efficient state estimation.
result Superior performance compared to non-shrinkage methods in hidden Markov models.

Improved estimation of higher order integrals using shrinkage techniques.

problem Estimating higher order Bochner integrals in non-parametric settings.
method Shrinkage of U-statistic towards a target element, considering kernel degeneracy.
result Consistent shrinkage estimators with fast rates of convergence, even for non-degenerate kernels.

New method improves covariance estimation for weighted samples.

problem Improving covariance estimation for weighted sample data.
method Asymptotic non-linear shrinkage formulas for covariance and precision matrix estimators of weighted sample covariances.
result Asymptotic non-linear shrinkage formulas for covariance and precision matrix estimators of weighted sample covariances.

This work extends Ledoit-Wolf shrinkage to unknown mean covariance estimation.

problem Large dimensional covariance matrix estimation with unknown mean under Kolmogorov asymptotics.
method Extending Ledoit-Wolf linear shrinkage to translation-invariant estimators, proving their convergence properties.
result A new estimator outperforms other standard estimators empirically.

The study improves equity return forecasts using shrinkage priors and heavy-tailed distributions.

problem Improving equity return forecasting accuracy using Bayesian econometric models.
method Flexible Bayesian state space model with global-local shrinkage priors and heavy-tailed innovations.
result Several variants of the proposed model outperform traditional methods in forecasting accuracy.

Self-distillation optimally improves model performance in spiked covariance models.

problem Improving model performance in spiked covariance models.
method Developed spectral shrinkage estimators and analyzed self-distillation.
result Self-distillation achieves optimal performance among spectral shrinkage estimators for spiked covariance matrices.

Guided adaptive shrinkage uses co-data to improve feature selection in genomic studies.

problem Feature selection challenges in high-dimensional genomics data, especially in clinical settings.
method Guided adaptive shrinkage methods that use co-data to adapt shrinkage parameters.
result Improves feature selection in genomic studies, demonstrated through comparisons and examples.

New EPM models improve model shrinkage in edge partition models.

problem Overfitting and inappropriate model shrinkage in EPMs.
method Proposed two novel EPM models: CEPM and DEPM, incorporating constrained and Dirichlet priors respectively.
result IDEPM model shows state-of-the-art performance in generalization and prediction.

This study evaluates shrinkage estimators for improving mean and covariance in portfolio optimization.

problem Estimation errors in expected returns and covariance matrix in mean-variance model.
method Examined five shrinkage estimators for expected returns and eleven for covariance matrix across six datasets.
result GMV model with Ledoit Wolf COV2 outperforms traditional methods in most scenarios.

New online learning algorithm combines PA and TER for binary classification.

problem Binary classification with non-separable data and data imbalance.
method Online Passive-Aggressive (PA) and Total-Error-Rate (TER) learning combined into PATER algorithm.
result PATER algorithms outperform existing online learning algorithms in efficiency and effectiveness.

Stein showed that the multivariate sample mean is outperformed by "shrinking" to a constant target vector. Ledoit and Wolf extended this approach to the sample covariance matrix and proposed a multiple of the identity as shrinkage target. In a general framework, independent of a specific estimator, we extend the shrink…

2014-12-05abs ↗pdf ↗

GRASP simplifies Bayesian regression with grouped predictors using an adaptive NBP prior.

problem Regression with grouped predictors and adaptive shrinkage.
method Normal Beta Prime (NBP) prior with tunable hyperparameters for flexible sparsity control.
result Empirical validation of robust and versatile GRASP across various sparsity and signal-to-noise ratios.

High-dimensional shrinkage risk depends on the default prior for the common scale.

problem Choosing the default prior for the common scale in high-dimensional shrinkage.
method Using radial-power benchmark to compare variance-flat and standard deviation-flat priors.
result The standard deviation-flat prior has a one-unit asymptotic risk advantage near the origin.

Improved covariance matrix forecasting for S&P 500 using factor models and shrinkage.

problem Forecasting large covariance matrices of returns in finance.
method Decompose covariance matrix into firm-level factors and sectoral restrictions. Estimate using VHAR models with LASSO.
result Significantly improved forecasting precision compared to benchmarks.

Dropout is explained as a structured shrinkage prior in neural networks.

problem Understanding the effectiveness of dropout in preventing overfitting.
method Proposes a novel framework to explain dropout as a structured shrinkage prior, considering continuous distributions and Bernoulli noise.
result Dropout's Monte Carlo training objective approximates marginal MAP estimation.

SCOPE estimator improves covariance and precision matrix estimation.

problem Estimating covariance and precision matrices accurately.
method Distributionally robust optimization with convex spectral divergence.
result SCOPE estimator reduces spectral bias and improves condition number.

Unified model combines shrinkage, views, and factor models for better portfolio selection.

problem Limitations of mean-variance analysis, estimation errors, and reliance on historical data.
method Bayesian approach integrating shrinkage estimation and Black-Litterman model with Fama-French factor models.
result The model outperforms simple and sample-based optimal portfolios in US equity market.

Non-linear shrinkage isn't optimal for portfolio optimization, especially when asset dependence is non-stationary.

problem Optimizing portfolios with non-stationary asset dependence structures.
method Derived and compared non-linear shrinkage with an optimal target for covariance matrix estimation.
result Non-linear shrinkage can be significantly improved for portfolio optimization.

Stabilizes online learning by using weighted reservoir sampling.

problem Real-world deployment sensitivity to outliers causes low accuracy in final solutions.
method Weighted reservoir sampling to stabilize ensemble model without additional data passes.
result Risk of ensemble classifier is bounded with respect to the underlying online learning method's regret.

A method learns common bias for multiple low-variance tasks without hyper-parameter tuning.

problem Learning common bias for multiple low-variance tasks without manual tuning.
method Two variants of online learning methods (aggressive and lazy) that update bias after each datapoint or at the end of each task.
result Across-tasks regret bound derived for the method, showing faster rates for aggressive variant and standard rates for lazy variant.

New shrinkage estimator for GMV portfolio reduces risk in high-dimensional asset settings.

problem Estimating the global minimum variance portfolio in high-dimensional settings with limited data.
method Dynamic shrinkage of the GMV portfolio using previous data as a target.
result The new estimator outperforms traditional methods in high-dimensional asset settings.