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Mikio Hirokane

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Preprint Aug 2026

Error Distribution of the Local Linearization Method for Stochastic Differential Equations with Additive Brownian Noise

We prove a functional stable limit theorem for the discretization error process of a local linearization scheme for stochastic differential equations with additive Brownian noise. The scheme includes the conditional mean of the second-order term involving the Brownian increment in the Taylor expansion of the drift. The...

Masaaki Fukasawa, Mikio Hirokane, Kostas Kardaras · 0 citations

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