Hazard processes and martingale hazard processes

dc.creatorCoculescu, Delia
dc.creatorNikeghbali, Ashkan
dc.date2008-07-30
dc.date.accessioned2026-07-07T12:05:56Z
dc.date.available2026-07-07T12:05:56Z
dc.descriptionIn this paper, we provide a solution to two problems which have been open in default time modeling in credit risk. We first show that if $τ$ is an arbitrary random (default) time such that its Azéma's supermartingale $Z_t^τ=¶(τ>t|\F_t)$ is continuous, then $τ$ avoids stopping times. We then disprove a conjecture about the equality between the hazard process and the martingale hazard process, which first appeared in \cite{jenbrutk1}, and we show how it should be modified to become a theorem. The pseudo-stopping times, introduced in \cite{AshkanYor}, appear as the most general class of random times for which these two processes are equal. We also show that these two processes always differ when $τ$ is an honest time.
dc.identifierhttps://arxiv.org/abs/0807.4958
dc.identifierhttp://arxiv.org/abs/0807.4958
dc.identifier.urihttp://salesiana.dossiersoluciones.com/handle/123456789/208516
dc.subjectRisk Management
dc.subjectProbability
dc.subject60G07, 60G44, 60G99
dc.titleHazard processes and martingale hazard processes
dc.typetext

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