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Exploring the B-Spline Transform for Estimating Lévy Process Parameters: Applications in Finance and Biomodeling
Exploring the B-Spline Transform for Estimating Lévy Process Parameters: Applications in Finance and Biomodeling
Letters in Biomathematics · Jul 7, 2025Letters in Biomathematics · Jul 7, 2025
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This paper, presents the application of the B-spline transform as an effective and precise technique for estimating key parameters i.e., drift, volatility, and jump intensity for Lévy processes. Lévy processes are powerful tools for representing phenomena with continuous trends with abrupt changes. The proposed approach is validated through a simulated biological case study on animal migration in which movements are mo
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