Article: Forecasting irregularly spaced UHF financial data: realized volatility vs UHF-GARCH models.(ultra-high-frequency-generalized autoregressive conditional heteroskedastic)(Report)

Introduction

The recent implementation of electronic order-matching systems on financial markets has entailed increasing numbers and frequencies of trades. While data on prices and volumes were registered daily two decades ago, transactions (and especially those due to electronic systems) are now recorded instantaneously with an accuracy of a fraction of second. The growing interest devoted to intra-daily models in the financial literature is a direct consequence of the availability of higher frequency measurements. This phenomenon, stylized by increasing frequencies of observations, is at the origin of the concept of ultra-high frequency. In this context, the ...

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