A local limit theorem for random walk maxima with heavy tails

Søren Asmussen, Vladimir Kalashnikov, Dimitrios Konstantinides, Claudia Klüppelberg, Gurami Tsitsiashvili

Research output: Contribution to journalArticlepeer-review

46 Scopus citations

Abstract

For a random walk with negative mean and heavy-tailed increment distribution F, it is well known that under suitable subexponential assumptions, the distribution π of the maximum has a tail π(x, ∞) which is asymptotically proportional to ∫x F(y, ∞) dy. We supplement here this by a local result showing that π(x,x + z] is asymptotically proportional to zF (x, ∞).

Original languageEnglish
Pages (from-to)399-404
Number of pages6
JournalStatistics and Probability Letters
Volume56
Issue number4
DOIs
StatePublished - 15 Feb 2002

Keywords

  • Integrated tail
  • Ladder height
  • Subexponential distribution

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