Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models
Motivated by the considerable amount of losses in (finance) industry caused every year by the fast growing number of malicious cyber events and the need of an insurance against such cyber losses, we propose a general framework of cyber bond, whose main purpose is to insure (compensate) losses of a c...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
| Published: |
Hindawi Limited
2022-01-01
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| Series: | International Journal of Mathematics and Mathematical Sciences |
| Online Access: | http://dx.doi.org/10.1155/2022/7689828 |
| _version_ | 1797958184792489984 |
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| author | Oleg Kolesnikov Alexander Markov Daulet Smagulov Sergejs Solovjovs |
| author_facet | Oleg Kolesnikov Alexander Markov Daulet Smagulov Sergejs Solovjovs |
| author_sort | Oleg Kolesnikov |
| collection | DOAJ |
| description | Motivated by the considerable amount of losses in (finance) industry caused every year by the fast growing number of malicious cyber events and the need of an insurance against such cyber losses, we propose a general framework of cyber bond, whose main purpose is to insure (compensate) losses of a cyber attack. Based on a database of publicly available cyber events, we determine cyber loss distribution parameters and use them to numerically simulate cyber bond price, yield, and other characteristics. We also study two approaches to cyber bond coupon calculation. |
| first_indexed | 2024-04-11T00:16:25Z |
| format | Article |
| id | doaj.art-710db3415dd745099a78d4352735ceaa |
| institution | Directory Open Access Journal |
| issn | 1687-0425 |
| language | English |
| last_indexed | 2024-04-11T00:16:25Z |
| publishDate | 2022-01-01 |
| publisher | Hindawi Limited |
| record_format | Article |
| series | International Journal of Mathematics and Mathematical Sciences |
| spelling | doaj.art-710db3415dd745099a78d4352735ceaa2023-01-09T01:30:18ZengHindawi LimitedInternational Journal of Mathematics and Mathematical Sciences1687-04252022-01-01202210.1155/2022/7689828Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing ModelsOleg Kolesnikov0Alexander Markov1Daulet Smagulov2Sergejs Solovjovs3Econophysica Ltd.Econophysica Ltd.Econophysica Ltd.Department of MathematicsMotivated by the considerable amount of losses in (finance) industry caused every year by the fast growing number of malicious cyber events and the need of an insurance against such cyber losses, we propose a general framework of cyber bond, whose main purpose is to insure (compensate) losses of a cyber attack. Based on a database of publicly available cyber events, we determine cyber loss distribution parameters and use them to numerically simulate cyber bond price, yield, and other characteristics. We also study two approaches to cyber bond coupon calculation.http://dx.doi.org/10.1155/2022/7689828 |
| spellingShingle | Oleg Kolesnikov Alexander Markov Daulet Smagulov Sergejs Solovjovs Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models International Journal of Mathematics and Mathematical Sciences |
| title | Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models |
| title_full | Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models |
| title_fullStr | Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models |
| title_full_unstemmed | Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models |
| title_short | Cyber Loss Distribution Fitting: A General Framework towards Cyber Bonds and Their Pricing Models |
| title_sort | cyber loss distribution fitting a general framework towards cyber bonds and their pricing models |
| url | http://dx.doi.org/10.1155/2022/7689828 |
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