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Small time path behavior of double stochastic integrals and applications to stochastic control

Small time path behavior of double stochastic integrals and applications to stochastic control

We study the small time path behavior of double stochastic integrals of the form ∫0t(∫0rb(u) dW(u))T dW(r), where W is a d-dimensional Brownian motion and b is an integrable progressively measurable stochastic process taking values in the set of d×d-matrices. We prove a law of the iterated logarithm that holds …