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Parameters estimation using the first passage times method in a jump-diffusion model

Journal Article · · AIP Conference Proceedings
DOI:https://doi.org/10.1063/1.4952549· OSTI ID:22609043

The main purposes of this paper are two contributions: (1) it presents a new method, which is the first passage time (FPT method) generalized for all passage times (GPT method), in order to estimate the parameters of stochastic Jump-Diffusion process. (2) it compares in a time series model, share price of gold, the empirical results of the estimation and forecasts obtained with the GPT method and those obtained by the moments method and the FPT method applied to the Merton Jump-Diffusion (MJD) model.

OSTI ID:
22609043
Journal Information:
AIP Conference Proceedings, Journal Name: AIP Conference Proceedings Journal Issue: 1 Vol. 1739; ISSN APCPCS; ISSN 0094-243X
Country of Publication:
United States
Language:
English

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