Does anything beat 5-minute RV? A comparison of realized measures across multiple asset classes

LY Liu, AJ Patton, K Sheppard - Journal of Econometrics, 2015 - Elsevier
We study the accuracy of a variety of estimators of asset price variation constructed from
high-frequency data (“realized measures”), and compare them with a simple “realized …

Using principal component analysis to estimate a high dimensional factor model with high-frequency data

Y Ait-Sahalia, D Xiu - Journal of Econometrics, 2017 - Elsevier
This paper constructs an estimator for the number of common factors in a setting where both
the sampling frequency and the number of variables increase. Empirically, we document that …

Incorporating global industrial classification standard into portfolio allocation: A simple factor-based large covariance matrix estimator with high-frequency data

J Fan, A Furger, D Xiu - Journal of Business & Economic Statistics, 2016 - Taylor & Francis
We document a striking block-diagonal pattern in the factor model residual covariances of
the S&P 500 Equity Index constituents, after sorting the assets by their assigned Global …

Increased correlation among asset classes: Are volatility or jumps to blame, or both?

Y Aït-Sahalia, D Xiu - Journal of Econometrics, 2016 - Elsevier
We develop estimators and asymptotic theory to decompose the quadratic covariation
between two assets into its continuous and jump components, in a manner that is robust to …

Econometric analysis of vast covariance matrices using composite realized kernels and their application to portfolio choice

A Lunde, N Shephard, K Sheppard - Journal of Business & …, 2016 - Taylor & Francis
We propose a composite realized kernel to estimate the ex-post covariation of asset prices.
These measures can in turn be used to forecast the covariation of future asset returns …

Estimating the spot covariation of asset prices—statistical theory and empirical evidence

M Bibinger, N Hautsch, P Malec… - Journal of Business & …, 2019 - Taylor & Francis
We propose a new estimator for the spot covariance matrix of a multi-dimensional
continuous semimartingale log asset price process, which is subject to noise and …

Knowing factors or factor loadings, or neither? Evaluating estimators of large covariance matrices with noisy and asynchronous data

C Dai, K Lu, D Xiu - Journal of Econometrics, 2019 - Elsevier
We investigate estimators of factor-model-based large covariance (and precision) matrices
using high-frequency data, which are asynchronous and potentially contaminated by the …

Robust high-dimensional volatility matrix estimation for high-frequency factor model

J Fan, D Kim - Journal of the American Statistical Association, 2018 - Taylor & Francis
High-frequency financial data allow us to estimate large volatility matrices with relatively
short time horizon. Many novel statistical methods have been introduced to address large …

Econometrics of co-jumps in high-frequency data with noise

M Bibinger, L Winkelmann - Journal of Econometrics, 2015 - Elsevier
We establish estimation methods to determine co-jumps in multivariate high-frequency data
with non-synchronous observations and market microstructure. A rate-optimal estimator of …

Asymptotic theory for large volatility matrix estimation based on high-frequency financial data

D Kim, Y Wang, J Zou - Stochastic Processes and their Applications, 2016 - Elsevier
In financial practices and research studies, we often encounter a large number of assets.
The availability of high-frequency financial data makes it possible to estimate the large …