Chapter 5: Synthetic Financial Data

Stylized Facts of Financial Time Series for Simulation and Validation foundational

A synthetic market path is only useful if it reproduces the empirical pathologies that make financial returns hard to model in the first place.

A synthetic market path is only useful if it reproduces the empirical pathologies that make financial returns hard to model in the first place.

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References

Generalized autoregressive conditional heteroskedasticity
Tim Bollerslev (1986) — Journal of Econometrics
Universal features of price formation in financial markets: perspectives from deep learning
Justin Sirignano, Rama Cont (2019) — Quantitative Finance
Volatility Clustering in Financial Markets: Empirical Facts and Agent-Based Models
Rama Cont, Gilles Teyssière, Alan P. Kirman (2007) — Springer
Tail-GAN: Learning to Simulate Tail Risk Scenarios
Rama Cont, Mihai Cucuringu, Renyuan Xu, Chao Zhang (2025)