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Total variation distance for discretely observed Lévy processes: A Gaussian approximation of the small jumps

Total variation distance for discretely observed Lévy processes: A Gaussian approximation of the small jumps

It is common practice to treat small jumps of Lévy processes as Wiener noise and to approximate its marginals by a Gaussian distribution. However, results that allow to quantify the goodness of this approximation according to a given metric are rare. In this paper, we clarify what happens when the …