Optimal capital allocation principles considering capital shortfall and surplus risks in a hierarchical corporate structure

J Cai, Y Wang - Insurance: Mathematics and Economics, 2021 - Elsevier
When allocating a given total capital among main business lines and their sub-business
lines, a decision maker will face both capital shortfall risk and capital surplus risk for each …

Systemic risk: Conditional distortion risk measures

J Dhaene, RJA Laeven, Y Zhang - Insurance: Mathematics and Economics, 2022 - Elsevier
In this paper, we introduce the rich classes of conditional distortion (CoD) risk measures and
distortion risk contribution (ΔCoD) measures as measures of systemic risk and analyze their …

Tail subadditivity of distortion risk measures and multivariate tail distortion risk measures

J Cai, Y Wang, T Mao - Insurance: Mathematics and Economics, 2017 - Elsevier
In this paper, we extend the concept of tail subadditivity (Belles-Sampera et al., 2014a;
Belles-Sampera et al., 2014b) for distortion risk measures and give sufficient and necessary …

Compositional methods applied to capital allocation problems

J Belles-Sampera, M Guillen… - Journal of Risk …, 2016 - papers.ssrn.com
In this paper, we examine the relationship between capital allocation problems and
compositional data, ie, information that refers to the parts of a whole conveying relative …

Optimization of Electric Vehicles Based on Frank-Copula-GlueCVaR Combined Wind and Photovoltaic Output Scheduling Research

J Gao, Y Yang, F Gao, P Liang - Energies, 2021 - mdpi.com
Improving the efficiency of renewable energy and electricity utilization is an urgent problem
for China under the objectives of carbon peaking and carbon neutralization. This paper …

A discussion on recent risk measures with application to credit risk: Calculating risk contributions and identifying risk concentrations

M Fischer, T Moser, M Pfeuffer - Risks, 2018 - mdpi.com
In both financial theory and practice, Value-at-risk (VaR) has become the predominant risk
measure in the last two decades. Nevertheless, there is a lively and controverse on-going …

Upper bounds for strictly concave distortion risk measures on moment spaces

D Cornilly, L Rüschendorf, S Vanduffel - Insurance: Mathematics and …, 2018 - Elsevier
The study of worst-case scenarios for risk measures (eg, Value-at-Risk) when the underlying
risk (or portfolio of risks) is not completely specified is a central topic in the literature on …

Optimal scenario-dependent multivariate shortfall risk measure and its application in risk capital allocation

W Wang, H Xu, T Ma - European Journal of Operational Research, 2023 - Elsevier
In this paper, we propose a novel multivariate shortfall risk measure to evaluate the systemic
risk of a financial system, where the allocation weight is scenario-dependent and optimally …

Improved estimators of extreme Wang distortion risk measures for very heavy-tailed distributions

J El Methni, G Stupfler - Econometrics and statistics, 2018 - Elsevier
A general way to study the extremes of a random variable is to consider the family of its
Wang distortion risk measures. This class of risk measures encompasses several indicators …

New class of distortion risk measures and their tail asymptotics with emphasis on VaR

C Yin, D Zhu - arxiv preprint arxiv:1503.08586, 2015 - arxiv.org
Distortion risk measures are extensively used in finance and insurance applications
because of their appealing properties. We present three methods to construct new class of …