Study maps research streams in biodiversity finance, identifies key areas.
problem Biodiversity loss and need for finance to reverse trends.
method Quantitative bibliometric analysis of 189,456 references.
result Identifies eight primary research streams in biodiversity finance.
EcoCast predicts biodiversity risks using satellite data and citizen science records.
problem Unprecedented shifts in species distributions due to climate change and habitat loss.
method Spatio-temporal model using sequence-based transformers and continual learning.
result Promising improvements in forecasting bird species distributions compared to Random Forest.
Proposes a new framework for environmental CVA with robust wrong-way risk.
problem Limited operational implementations of translating environmental scenarios into CVA.
method Three components: hazard rate mapping, tail generators, and KL divergence-based wrong-way risk bound.
result Nature CVAs can vary significantly across different ecosystem generators.
Ecological systems have a high level of complexity combined with stability and rich biodiversity. Recently, the analysis of their properties and evolution has been pushed forward on a basis of concept of mutualistic networks that provides a detailed understanding of their features being linked to a high nestedness of t…
We are losing biodiversity at an unprecedented scale and in many cases, we do not even know the basic data for the species. Traditional methods for wildlife monitoring are inadequate. Development of new computer vision tools enables the use of images as the source of information about wildlife. Social media is the rich…
Biodiversity conservation depends on accurate, up-to-date information about wildlife population distributions. Motion-activated cameras, also known as camera traps, are a critical tool for population surveys, as they are cheap and non-intrusive. However, extracting useful information from camera trap images is a cumber…
Study quantifies firm risks from nature decline, showing significant equity losses.
problem Estimating the financial impact of nature deterioration on companies.
method Developed metrics (Country Degradation Index, Nature Risk Score) and assessed five environmental hazards.
result Global equities lose 26.8% in a nature decline scenario, with worst firms losing 75%.
Biodiversity monitoring using audio recordings is achievable at a truly global scale via large-scale deployment of inexpensive, unattended recording stations or by large-scale crowdsourcing using recording and species recognition on mobile devices. The ability, however, to reliably identify vocalising animal species is…
In this paper we address three main objections of behavioral finance to the theory of rational finance, considered as anomalies the theory of rational finance cannot explain: Predictability of asset returns, The Equity Premium, (The Volatility Puzzle. We offer resolutions of those objections within the rational finance…
Trade finance history traced from medieval origins to modern markets.
problem Evolution and standardization of trade finance products.
method Historical analysis of market structures and regulatory changes.
result Global trade finance market evolved from local to centralized, then decentralized.
Decentralized finance uses blockchain for $70B in assets, differing from traditional finance.
problem Ensuring compliance and security in decentralized finance.
method Systematic analysis of legal, economic, security, and privacy aspects.
result Decentralized finance offers unique economic effects and security features.
Alternative finance models from physics for non-equilibrium systems.
problem Inequities of classical finance models in physics-based perspective.
method Physics-based insights for non-equilibrium finance models.
result Alternative models for non-equilibrium finance systems.
This review covers AI in finance, challenges, techniques, and opportunities.
problem Challenges and opportunities in AI applications in finance.
method Comprehensive categorization and overview of AI research in finance over decades.
result A dense roadmap of AI challenges, techniques, and opportunities in finance.
Experts predict significant adoption of decentralized finance by 2034, with traditional finance adapting.
problem Adoption and integration of decentralized finance (DeFi) in financial services.
method Survey analysis using New Institutional Economics and Dynamic Capabilities Theory.
result Experts expect adoption of DeFi to rise from negligible to 43% by 2034, with traditional finance likely to embrace it.
The objective of the note is to remind readers on how self-financing works in Quantitative Finance. The authors have observed continuing uncertainty on this issue which may be because it lies exactly at the intersection of stochastic calculus and finance. The concept of a self-financing trading strategy was originally,…
Understanding how species are distributed across landscapes over time is a fundamental question in biodiversity research. Unfortunately, most species distribution models only target a single species at a time, despite strong ecological evidence that species are not independently distributed. We propose Deep Multi-Speci…
This paper compares token and equity financing for startups.
problem Understanding differences in return rates between token and equity financing.
method Developed a three-period model to analyze liquidity and return differences.
result Entrepreneurs can achieve higher payoffs by issuing tokens, especially for risk-averse investors with liquidity needs.
A new method in finance without probabilities or integrals.
problem Creating a model-free approach to continuous-time finance.
method Pathwise approach using causal functional calculus and transition principle of Isaacs.
result A fully non-linear path-dependent equation characterizes optimal solutions.
Adversarial meta-learning computes Gamma-minimax estimators for vague prior knowledge.
problem Estimating parameters with vague prior knowledge.
method Adversarial meta-learning algorithms for Gamma-minimax estimators.
result Convergence guarantees and neural network class for selection.
In many developing countries intellectual property infringement and the commerce of pirate goods is an entrepreneurial activity. Digital piracy is very often the only media for having access to music, cinema, books and software. At the same time, bio-prospecting and infringement of indigenous knowledge rights by intern…
This survey explores causal inference in banking, finance, and insurance.
problem Explaining decisions in banking, finance, and insurance using causal inference.
method Categorizes 37 papers on causal inference applications in banking, finance, and insurance.
result Causal inference is still in its infancy in banking and insurance sectors.
Study shows 'Belt and Road' node cities boost digital finance in China.
problem Impact of 'Belt and Road' node cities on digital inclusive finance.
method Descriptive analysis, literature review, theoretical model, differential differential method.
result Establishment of 'Belt and Road' node cities promotes digital inclusive finance in China, with Internet development as a mediating variable.
Blockchain disrupts corporate finance, but challenges remain.
problem Challenges in adopting blockchain for corporate finance.
method Exploring the impact of blockchain on corporate finance valuation and capital allocation.
result Blockchain offers new perspectives but faces regulatory, environmental, and legal challenges.
Study uses AI to predict changes in international public finances based on US markets.
problem Understanding correlations between US and international public finances.
method Artificial intelligence and neural networks to model and predict changes.
result Neural network model achieved MSE of 2.79, indicating significant correlation and impact of US market volatility on international markets.
AI helps simplify complex ship finance processes.
problem Complexity in ship finance due to data and regulatory requirements.
method Integrates large language models for document comprehension, information extraction, and workflow automation.
result AI-assisted systems can support maritime finance professionals in managing complex information and reporting requirements.
Theoretical framework for data augmentation in finance improves portfolio construction.
problem Improving portfolio construction in speculative markets.
method Developed a theoretical framework for data augmentation and regularization in deep learning for finance.
result A simple noise injection algorithm improves portfolio construction over no noise.
Study on women entrepreneurs' access to finance in France.
problem Inequalities in accessing external finance for women entrepreneurs in France.
method Quantitative approach using data from a representative sample of women entrepreneurs.
result Founder status affects access to external finance; increases success in fundraising but reduces bank finance.
A discrete system's heterogeneity is measured by the Rényi heterogeneity family of indices (also known as Hill numbers or Hannah--Kay indices), whose units are {the numbers equivalent}. Unfortunately, numbers equivalent heterogeneity measures for non-categorical data require {a priori} (A) categorical partitioning and …
This paper examines the quantitative finance aspects of AMMs in decentralized finance.
problem Understanding the mathematical and financial underpinnings of AMMs.
method Review of existing literature and analysis of mathematical aspects.
result Interesting relationship between AMMs and derivatives pricing and hedging.
We illustrate a problem in the self-financing condition used in the papers "Funding beyond discounting: collateral agreements and derivatives pricing" (Risk Magazine, February 2010) and "Partial Differential Equation Representations of Derivatives with Counterparty Risk and Funding Costs" (The Journal of Credit Risk, 2…
LLM Pro Finance Suite enhances financial NLP with instruction-tuned models.
problem Limited NLP capabilities for financial tasks in generalist models.
method Instruction-tuned large language models fine-tuned on financial data.
result Consistent improvement over state-of-the-art baselines in finance tasks.
Debt-financed collateral in DeFi increases stability risks.
problem Financial stability risks in DeFi ecosystems due to debt-financed collateral.
method Categorization and classification algorithm to measure debt-financed collateral.
result Wide-spread use of stablecoins as debt-financed collateral increases financial stability risks.
New optimal investment strategies for finance and insurance using Hawkes-based models.
problem Optimal investment strategies in finance and insurance for specific models.
method Solving Merton investment problems with Hawkes-based models.
result New optimal investment results for finance and insurance models.
In this work, I address the issue of forming riskless hedge in the continuous time option pricing model with stochastic stock volatility. I show that it is essential to verify whether the replicating portfolio is self-financing, in order for the theory to be self-consistent. The replicating methods in existing finance …
We derive behavioral finance option pricing formulas consistent with the rational dynamic asset pricing theory. In the existing behavioral finance option pricing formulas, the price process of the representative agent is not a semimartingale, which leads to arbitrage opportunities for the option seller. In the literatu…
The paper explores AI in finance, focusing on XAI's role in enhancing interpretability and trust.
problem The need for AI in finance and the importance of XAI for better decision-making.
method Tracing AI's evolution in finance, highlighting XAI's role, and demonstrating through simulations.
result XAI enhances trust in AI systems, leading to more responsible decision-making.
Analyzes quantitative finance papers from arXiv using text mining and NLP.
problem Understanding trends and insights in quantitative finance research.
method Text mining, natural language processing, topic modeling.
result Identified most cited researchers and journals in quantitative finance.
Study on academic finance evolution over 30 years.
problem Understanding changes in academic finance research over time.
method Analysis of 32 finance journals from 1992 to 2021 using Structural Topic Model.
result Most journals have become more generalist over time, covering more topics.
Deep quantum neural networks applied to finance for efficient risk management.
problem Efficiently solving numerical problems in finance, especially risk management.
method Application of deep quantum neural networks to finance, focusing on implied volatilities, option prices, and Greeks.
result Deep quantum neural networks can compute Greeks analytically and efficiently solve financial numerical problems.
This paper reviews digital transformation research from 2011-2024, focusing on corporate finance.
problem Lack of systematic review in digital transformation from corporate finance perspective.
method Combines bibliometric and content analysis methods.
result Emerging and rapidly growing focus on digital transformation, particularly in developed countries.
Extends Itô's formula for path-dependent functions in finance.
problem Modeling and hedging of path-dependent financial options.
method Functional extension of Itô's formula for C^{0,1}-functions of continuous weak Dirichlet processes.
result Validates the hedging or superhedging problems for path-dependent options.
Revisits behavioral finance option pricing model to align with rational asset pricing theory.
problem Inconsistency between behavioral finance and rational asset pricing models in option pricing.
method Introduces arbitrage transaction costs to modify the behavioral finance option pricing formula.
result Modifies behavioral finance option pricing formula to be consistent with rational asset pricing theory.
This review explores ChatGPT in accounting and finance.
problem Understanding the current state of research on ChatGPT in accounting and finance.
method A scoping review of recent publications and working papers.
result Identifies three themes: applications, research tools, and implications.
Golden age of mathematical finance in the late 20th century.
problem Foundations of mathematical finance during the late 20th century.
method Collaboration between economists and probabilists.
result Established two fundamental theorems of arbitrage theory and close formulas for options.
Quantum computing offers new solutions for finance problems.
problem Challenging classical computational problems in finance.
method Quantum algorithms for finance applications.
result Potential benefits for financial services.
Quantum computing techniques applied to Monte Carlo simulations in finance.
problem Efficiently simulating quantum algorithms for financial modeling.
method Introduces quantum computing basics, amplitude estimation, and Grover's algorithm for unstructured search.
result Demonstrates quantum approaches to Monte Carlo integration and counting in finance.
Extends insurance-finance arbitrage concept to include model uncertainty.
problem Evaluating hybrid insurance products in uncertain financial markets.
method Introduces robust asymptotic insurance-finance arbitrage and QP-evaluations. result No robust asymptotic insurance-finance arbitrage exists under certain conditions.
Reviews six finance topics, including 'radical complexity'.
problem None explicitly stated, focuses on research directions.
method Informal review and discussion of open questions.
result No specific key result mentioned, focuses on research directions.