A multiscale view on inverse statistics and gain/loss asymmetry in financial time series

dc.creatorSiven, Johannes Vitalis
dc.creatorLins, Jeffrey Todd
dc.creatorHansen, Jonas Lundbek
dc.date2008-11-19
dc.date.accessioned2026-07-07T12:54:39Z
dc.date.available2026-07-07T12:54:39Z
dc.descriptionResearchers have studied the first passage time of financial time series and observed that the smallest time interval needed for a stock index to move a given distance is typically shorter for negative than for positive price movements. The same is not observed for the index constituents, the individual stocks. We use the discrete wavelet transform to illustrate that this is a long rather than short time scale phenomenon -- if enough low frequency content of the price process is removed, the asymmetry disappears. We also propose a new model, which explain the asymmetry by prolonged, correlated down movements of individual stocks.
dc.identifierhttps://arxiv.org/abs/0811.3122
dc.identifierhttp://arxiv.org/abs/0811.3122
dc.identifierJ. Stat. Mech. (2009) P02004
dc.identifierdoi:10.1088/1742-5468/2009/02/P02004
dc.identifier.urihttp://salesiana.dossiersoluciones.com/handle/123456789/224010
dc.subjectStatistical Finance
dc.subjectApplications
dc.titleA multiscale view on inverse statistics and gain/loss asymmetry in financial time series
dc.typetext

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