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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.

168,657 papers · 148 categories

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153306458611 · Jun 202019922001200920172026
48 results for utility estimation

A key issue in the estimation of energy hedges is the hedgers' attitude towards risk which is encapsulated in the form of the hedgers' utility function. However, the literature typically uses only one form of utility function such as the quadratic when estimating hedges. This paper addresses this issue by estimating an…

2011-03-30abs ↗pdf ↗

The maximum entropy principle can be used to assign utility values when only partial information is available about the decision maker's preferences. In order to obtain such utility values it is necessary to establish an analogy between probability and utility through the notion of a utility density function. According…

2007-09-05abs ↗pdf ↗

Optimizes information acquisition to reduce estimation risk and maximize utility.

problem Estimation risk in investor decision-making.
method Derives closed-form value functions using CARA and CRRA utility functions, employs variational methods to explore optimal acquisition.
result Acquiring information earlier is more valuable in reducing estimation risk and achieving higher utility.

BUDS balances privacy and utility by shuffling data, achieving strong privacy with minimal loss.

problem Balancing privacy and utility in crowd-sourced statistical databases.
method One-hot encoding, iterative shuffling, loss estimation, risk minimization.
result Achieves ε=0.02ε= 0.02 for privacy, maintaining a privacy bound of ε=ln[t/((n11)S)]ε= ln [t/((n_1 - 1)^S)].

Estimates and optimizes UBSR risk in recursive settings.

problem Estimating and optimizing UBSR risk in a recursive setting with one-at-a-time samples.
method Casts UBSR as a root finding problem, uses stochastic approximation and gradient descent.
result Derives non-asymptotic bounds on estimation and optimization errors.

The paper proposes using density ratio estimation to evaluate synthetic data quality.

problem Improving the quality and utility of synthetic data for analysis.
method Density ratio estimation to measure synthetic data quality.
result Density ratio estimation yields more accurate global utility estimates than existing methods.

Global optimization in Bayesian inference yields little additional benefit.

problem Improving psychometric parameter estimation using global optimization strategies.
method Experimental simulations comparing myopic and global strategies in multiple models.
result Global optimization strategies provide negligible additional utility improvement beyond the immediate next steps.

LDP is equivalent to contraction of E_γ-divergence, impacting privacy and utility.

problem Analyzing trade-offs between privacy and utility in estimation problems.
method Equivalence of LDP constraints to contraction coefficients of E_γ-divergence, using f-divergences and estimation-theoretic tools.
result LDP guarantees can be expressed in terms of contraction coefficients of arbitrary f-divergences.

CCN estimates full potential outcome distributions without restrictive assumptions.

problem Estimating CATE is insufficient; full potential outcome distributions provide greater insights.
method Collaborating Causal Networks (CCN) learns full potential outcome distributions without restrictive assumptions.
result CCN learns distributions that asymptotically capture true potential outcome distributions.

AdOBEst-LDP improves privacy-preserving frequency estimation for categorical data.

problem Estimating categorical distributions online while preserving privacy.
method AdOBEst-LDP uses adaptive randomized response mechanism to enhance future data utility.
result AdOBEst-LDP selects optimal subset for LDP mechanism with high probability.

Bayesian method helps decision-makers find preferred solutions in multi-objective optimization.

problem Identifying preferred solutions from the Pareto set in multi-objective optimization problems.
method Bayesian model to estimate decision-maker's utility function based on pairwise comparisons, guided by a principled elicitation strategy.
result Superior performance in finding high-utility solutions with a small number of queries.

Study privacy vs. utility in estimating network parameters with aggregated data.

problem Privacy-preserving estimation of network parameters from aggregated node degrees.
method β model, local and central differential privacy, minimax lower bounds, simple estimators.
result Achieved minimax-optimal risk bounds for parameter estimation under privacy constraints.

Study examines how risk tolerance impacts long-term investment returns.

problem Understanding the impact of risk tolerance on investment returns over time.
method Used Malliavin calculus and Hansen--Scheinkman decomposition.
result Risk aversion affects long-term investment utility through eigenvalues and eigenfunctions.

In many scenarios, humans prefer a text-based representation of quantitative data over numerical, tabular, or graphical representations. The attractiveness of textual summaries for complex data has inspired research on data-to-text systems. While there are several data-to-text tools for time series, few of them try to …

2020-01-16abs ↗pdf ↗

Two methods estimate effect size for online experiments, improving accuracy and efficiency.

problem Determining the correct effect size for online experiment duration.
method Two approaches: hierarchical models and utility theory.
result Proposed methods outperform baseline approaches in accuracy and efficiency.

Whenever a social media user decides to share a story, she is typically pleased to receive likes, comments, shares, or, more generally, feedback from her followers. As a result, she may feel compelled to use the feedback she receives to (re-)estimate her followers' preferences and decides which stories to share next to…

2019-09-01abs ↗pdf ↗

Bayesian Parametric Portfolio Policies corrects overestimation of utility and risk in traditional PPP.

problem Traditional Parametric Portfolio Policies ignore policy risk, leading to overestimation of expected utility and understatement of portfolio risk.
method Developed Bayesian Parametric Portfolio Policies (BPPP) by placing a prior on policy coefficients to correct the decision rule.
result BPPP delivers higher Sharpe ratios, lower turnover, larger investor welfare, and lower tail risk compared to traditional PPP.

Optimal portfolios are formed by combining momentum, size, and volatility characteristics, enhancing utility for all investors.

problem Estimation error in forming optimal portfolios from characteristics.
method Maximizing an in-sample loss function that is more concave than the utility function, linking weights to characteristics.
result Optimal portfolios with significantly higher certainty equivalents than benchmarks for all investors.

Paper solves portfolio problem using improved stochastic methods.

problem Finite horizon consumption-investment problem under stochastic factor framework.
method Proves existence of classical solution for semilinear equation using gradient estimates.
result Proves existence of classical solution and provides all necessary estimates.

A new model shows fairness mechanisms can improve selection utility even without implicit bias.

problem Improving selection fairness without introducing a utility trade-off.
method A model with latent quality and group-dependent variance, comparing fairness mechanisms to group-oblivious selection.
result Demographic parity always increases selection utility, while γγ-rules weakly increase it.

Study uses reinforcement learning to optimize portfolios under recursive utility.

problem Improving portfolio allocation using risk-sensitive objectives.
method Approximated certainty equivalent via Monte Carlo, trained actor-critic algorithms (PPO, A2C).
result Recursive-utility agent outperforms discounted baseline in Sharpe ratio, max drawdown, and cumulative return.

The effectiveness of utility-maximization techniques for portfolio management relies on our ability to estimate correctly the parameters of the dynamics of the underlying financial assets. In the setting of complete or incomplete financial markets, we investigate whether small perturbations of the market coefficient pr…

2007-06-04abs ↗pdf ↗

Random utility theory models an agent's preferences on alternatives by drawing a real-valued score on each alternative (typically independently) from a parameterized distribution, and then ranking the alternatives according to scores. A special case that has received significant attention is the Plackett-Luce model, fo…

2012-11-11abs ↗pdf ↗

Study asymptotic properties of generalized shortfall risk measures for heavy-tailed risks.

problem Understanding risk measures for heavy-tailed risks.
method Derive asymptotic expansions for generalized shortfall risk measures.
result Unified theory for risk measures including distortion and utility-based measures.

Paper develops efficient mechanisms for estimating variance and covariance under differential privacy in the add-remove model.

problem Estimating variance and covariance under differential privacy in the add-remove model.
method Developed mechanisms based on the Bézier mechanism, a novel moment-release framework.
result Proved minimax optimality of the Bézier-based estimator in the high-privacy regime and demonstrated its better utility in instance-wise analysis.

The paper analyzes how wealth affects investment strategies in incomplete markets.

problem Investment strategies in markets with incomplete information.
method Developed a five-component decomposition for optimal portfolio choice, solved explicitly for HARA utility and nonrandom interest rate, and used a stochastic volatility model for US equity data.
result Demonstrated the impacts of wealth-dependent utilities on optimal portfolio allocation, including cycle-dependence and hysteresis effect.

Deep learning model improves seismic rock property estimation.

problem Estimating reservoir rock properties from seismic reflection data.
method Proposes a deep learning-based seismic inversion workflow that models seismic traces spatiotemporally.
result Achieves best performance on SEAM dataset with r2r^{2} coefficient of 79.77\%

Supervised topic models utilize document's side information for discovering predictive low dimensional representations of documents. Existing models apply the likelihood-based estimation. In this paper, we present a general framework of max-margin supervised topic models for both continuous and categorical response var…

2009-12-30abs ↗pdf ↗

DSAC improves cooperative MARL with general utilities, converging faster than existing methods.

problem Improving cooperation in multi-agent reinforcement learning with nonlinear utilities.
method Decentralized Shadow Reward Actor-Critic (DSAC) that estimates local occupancy measures and derivatives.
result DSAC converges to ε-stationarity in O(1/ε^2.5) steps with high probability, finding globally optimal policies.

PPT optimizes transformer behavior by steering its latent posterior using prior samples.

problem Eliciting desired behavior from transformers without backpropagation.
method Posterior Prefix Tuning (PPT) uses predictive Monte Carlo (PMC) samples and importance sampling to optimize the latent posterior.
result PPT optimizes transformer behavior without backpropagation, achieving high utility across different utility functions.