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Hu Zhang

Publications and source records attributed to Hu Zhang.

56 records · Page 4Linked to original sources

Coherent Feedback Control of Linear Quantum Optical Systems via Squeezing and Phase Shift

The purpose of this paper is to present a theoretic and numerical study of utilizing squeezing and phase shift in coherent feedback control of linear quantum optical systems. A quadrature representation with built-in phase shifters is proposed for such systems. Fundamental structural characterizations of linear quantum optical systems are derived in terms of the new quadrature representation. These results reveal considerable insights of issue of physical realizability of such quantum systems. The problem of coherent quantum LQG feedback control studied in [35,50] is re-investigated in depth. Firstly, the optimization methods in [35,50] are extended to a multi-step optimization algorithm which utilizes ideal squeezers. Secondly, a two-stage optimization approach is proposed on the basis of controller parametrization. Numerical studies show that closed-loop systems designed via the second approach may offer LQG control performance even better than that when the closed-loop systems are in the vacuum state. When ideal squeezers in a close-loop system are replaced by (more realistic) degenerate parametric amplifiers, a sufficient condition is derived for the asymptotic stability of the resultant new closed-loop system; the issue of performance convergence is also discussed in the LQG control setting.

quant-ph↗

Transition Probability Matrix Methodology for Incremental Risk Charge

As part of Basel II's incremental risk charge (IRC) methodology, this paper summarizes our extensive investigations of constructing transition probability matrices (TPMs) for unsecuritized credit products in the trading book. The objective is to create monthly or quarterly TPMs with predefined sectors and ratings that are consistent with the bank's Basel PDs. Constructing a TPM is not a unique process. We highlight various aspects of three types of uncertainties embedded in different construction methods: 1) the available historical data and the bank's rating philosophy; 2) the merger of one-year Basel PD and the chosen Moody's TPMs; and 3) deriving a monthly or quarterly TPM when the generator matrix does not exist. Given the fact that TPMs and specifically their PDs are the most important parameters in IRC, it is our view that banks may need to make discretionary choices regarding their methodology, with uncertainties well understood and managed.

q-fin.RM↗