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Content archived on 2024-06-18

Volatility Forecasting Evaluation Framework

Objective

Predicting volatility is of great importance in measuring and managing risk more accurately. Volatility is measured, estimated and predicted by a vast number of model frameworks. Though, researcher has to select a specific model for his/her forecasting purposes. Thus, the models are evaluated in order to extract the most adequate model for forecasting purposes.
Under the Marie Curie Intra-European Fellowships Grand, we define a method of evaluating the predictability of the models, which assumes that the distance between the actual volatility and its forecast is normally distributed. However, empirical applications provide evidence that the distribution of this distance is better described via a leptokurtotic and asymmetric distribution. Under this grand we intend to construct a model evaluation method that presumes a leptokurtic and asymmetric distributed distance between the actual volatility and its forecast. The development of a volatility forecasting evaluation framework, with assumptions closer to reality, is of great importance in producing accurate forecasts of risk measures (specially the last years with the deep crisis caused in financial sectors).

Topic(s)

Calls for proposals are divided into topics. A topic defines a specific subject or area for which applicants can submit proposals. The description of a topic comprises its specific scope and the expected impact of the funded project.

Call for proposal

Procedure for inviting applicants to submit project proposals, with the aim of receiving EU funding.

FP7-PEOPLE-2010-RG
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Funding Scheme

Funding scheme (or “Type of Action”) inside a programme with common features. It specifies: the scope of what is funded; the reimbursement rate; specific evaluation criteria to qualify for funding; and the use of simplified forms of costs like lump sums.

MC-ERG - European Re-integration Grants (ERG)

Coordinator

ATHENS UNIVERSITY OF ECONOMICS AND BUSINESS - RESEARCH CENTER
EU contribution
€ 45 000,00
Address
KEFALLINIAS STREET 45
112 57 ATHINA
Greece

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Region
Αττική Aττική Κεντρικός Τομέας Αθηνών
Activity type
Higher or Secondary Education Establishments
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Total cost

The total costs incurred by this organisation to participate in the project, including direct and indirect costs. This amount is a subset of the overall project budget.

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