Deterministic implicit two-step Milstein methods for stochastic differential equations

Quanwei Ren, Hongjiong Tian, Tianhai Tian

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2 Citations (Scopus)

Abstract

In this paper, we propose a class of deterministic implicit two-step Milstein methods for solving Itô stochastic differential equations. Theoretical analysis is conducted for the convergence and stability properties of the proposed methods. We derive sufficient conditions such that these methods have the mean-square(M-S) convergence of order one, as well as sufficient and necessary conditions for linear M-S stability of the implicit two-step Milstein methods. Stability analysis shows that our proposed implicit two-step Milstein methods have much better stability property than those of the corresponding two-step explicit or semi-implicit Milstein methods. Numerical results using two test equations confirm our theoretical analysis results.

Original languageEnglish
Article number109208
Number of pages11
JournalStatistics and Probability Letters
Volume179
DOIs
Publication statusPublished - Dec 2021

Keywords

  • Deterministic implicit method
  • Mean-square convergence
  • Mean-square stability
  • Stochastic differential equation
  • Two-step Milstein method

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