1FSV Model

In this subpackage (ajdmom.mdl_1fsv), we consider the SV model in Theory, i.e.,

\[\begin{split}ds(t) &= \mu s(t)dt + \sqrt{v(t)}s(t)dw^s(t),\\ dv(t) &= k(\theta - v(t))dt + \sigma_v\sqrt{v(t)}dw^v(t),\end{split}\]

which is also the baseline SV model of the package.

The derivation of its moments has been explained in Program Design page.

API

ajdmom.mdl_1fsv.cmom

Central Moments for One-Factor SV

ajdmom.mdl_1fsv.mom

Moments for One-Factor SV

ajdmom.mdl_1fsv.cov

Covariance for One-Factor SV

ajdmom.mdl_1fsv.euler

Module for generating a trajectory of samples from Heston SV model by Euler approximation

ajdmom.mdl_1fsv.cond_cmom

Conditional Central Moment