A Fourier transform method for nonparametric estimation of multivariate volatility
Malliavin, Paul ; Mancino, Maria Elvira
Ann. Statist., Tome 37 (2009) no. 1, p. 1983-2010 / Harvested from Project Euclid
We provide a nonparametric method for the computation of instantaneous multivariate volatility for continuous semi-martingales, which is based on Fourier analysis. The co-volatility is reconstructed as a stochastic function of time by establishing a connection between the Fourier transform of the prices process and the Fourier transform of the co-volatility process. A nonparametric estimator is derived given a discrete unevenly spaced and asynchronously sampled observations of the asset price processes. The asymptotic properties of the random estimator are studied: namely, consistency in probability uniformly in time and convergence in law to a mixture of Gaussian distributions.
Publié le : 2009-08-15
Classification:  Continuous semi-martingale,  instantaneous co-volatility,  nonparametric estimation,  Fourier transform,  high frequency data,  62G05,  62F12,  42A38,  60H10,  62P20
@article{1245332838,
     author = {Malliavin, Paul and Mancino, Maria Elvira},
     title = {A Fourier transform method for nonparametric estimation of multivariate volatility},
     journal = {Ann. Statist.},
     volume = {37},
     number = {1},
     year = {2009},
     pages = { 1983-2010},
     language = {en},
     url = {http://dml.mathdoc.fr/item/1245332838}
}
Malliavin, Paul; Mancino, Maria Elvira. A Fourier transform method for nonparametric estimation of multivariate volatility. Ann. Statist., Tome 37 (2009) no. 1, pp.  1983-2010. http://gdmltest.u-ga.fr/item/1245332838/