Stock Loans in Incomplete Markets

Abstract

A stock loan is a contract whereby a stockholder uses shares as collateral to borrow money from a bank or financial institution. In Xia and Zhou (2007 Xia, J. and Zhou, X. Y. 2007. Stock loans. Mathematical Finance, 17(2): 307–317. [Crossref], [Web of Science ®] , [Google Scholar], Stock loans, Mathematical Finance, 17(2), pp. 307–317), this contract is modelled as a perpetual American option with a time-varying strike and analysed in detail within a risk-neutral framework. In this paper, we extend the valuation of such loans to an incomplete market setting, which takes into account the natural trading restrictions faced by the client. When the maturity of the loan is infinite, we use a time-homogeneous utility maximization problem to obtain an exact formula for the value of the loan fee to be charged by the bank. For loans of finite maturity, we characterize the fee using variational inequality techniques. In both cases, we show analytically how the fee varies with the model parameters and illustrate the results numerically.     

2 × 2 Permanental Ideals of Hypermatrices

We analyze the structure of ideals generated by some classes of 2 × 2 permanents of hypermatrices, generalizing [9 Laubenbacher , R. C. , Swanson , I. ( 2000 ). Permanental ideals . J. Symbolic Comput. 30 : 195 – 205 .[Crossref], [Web of Science ®] , [Google Scholar]] on 2 × 2 permanental ideals of generic matrices. We compare the obtained structure to that of the corresponding determinantal ideals in [11 Swanson , I. , Taylor , A. ( 2013 ). Minimal primes of ideals arising from conditional independence statements . J. Algebra 392 : 299 – 314 .[Crossref], [Web of Science ®] , [Google Scholar]]: as expected, the permanental ideals have many more (minimal) components. In the last two sections, we examine a few related classes of permanental ideals.     

Invertibility of ideals in Prüfer extensions

Using the general approach to invertibility for ideals in ring extensions given by Knebush and Zhang in [9 Knebush, M., Zhang, D. (2002). Manis Valuations and Prüfer Extensions I. Lecture Notes in Mathematics, Vol. 1791. Springer.[Crossref] , [Google Scholar]], we investigate about connections between faithfully flatness and invertibility for ideals in rings with zero divisors.     

Almost Exponential Decay Near Maxwellian

ABSTRACT

By direct interpolation of a family of smooth energy estimates for solutions near Maxwellian equilibrium and in a periodic box to several Boltzmann type equations in Guo (2002 Guo , Y. ( 2002 ). The Landau equation in a periodic box . Comm. Math. Phys. 231 ( 3 ): 391 – 434 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar] 2003a Guo , Y. ( 2003a ). Classical solutions to the Boltzmann equation for molecules with an angular cutoff . Arch. Ration. Mech. Anal. 169 ( 4 ): 305 – 353 . [CSA] [CROSSREF]  [Google Scholar] b Guo , Y. ( 2003b ). The Vlasov-Maxwell-Boltzmann system near maxwellians . Invent. Math. 153 ( 3 ): 593 – 630 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]) and Strain and Guo (2004 Strain , R. M. , Guo , Y. ( 2004 ). Stability of the relativistic Maxwellian in a collisional plasma . Comm. Math. Phys. 251 ( 2 ): 263 – 320 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]), we show convergence to Maxwellian with any polynomial rate in time. Our results not only resolve the important open problem for both the Vlasov-Maxwell-Boltzmann system and the relativistic Landau-Maxwell system for charged particles, but also lead to a simpler alternative proof of recent decay results (Desvillettes and Villani, 2005 Desvillettes , L. , Villani , C. ( 2005 ). On the trend to global equilibrium for spatially inhomogeneous kinetic systems: the Boltzmann equation . Invent. Math. 159 ( 2 ): 245 – 316 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]) for soft potentials as well as the Coulombic interaction, with precise decay rate depending on the initial conditions.     

Determining an Unbounded Potential from Cauchy Data in Admissible Geometries

In [4 Dos Santos Ferreira , D. , Kenig , C.E. , Salo , M. , Uhlmann , G. ( 2009 ). Limiting Carleman weights and anisotropic inverse problems . Invent. Math. 178 : 119 – 171 .[Crossref], [Web of Science ®] , [Google Scholar]] anisotropic inverse problems were considered in certain admissible geometries, that is, on compact Riemannian manifolds with boundary which are conformally embedded in a product of the Euclidean line and a simple manifold. In particular, it was proved that a bounded smooth potential in a Schrödinger equation was uniquely determined by the Dirichlet-to-Neumann map in dimensions n ≥ 3. In this article we extend this result to the case of unbounded potentials, namely those in L ^n/2. In the process, we derive L ^p Carleman estimates with limiting Carleman weights similar to the Euclidean estimates of Jerison and Kenig [8 Jerison , D. , Kenig , C.E. ( 1985 ). Unique continuation and absence of positive eigenvalues for Schrödinger operators . Ann. Math. 121 : 463 – 494 .[Crossref], [Web of Science ®] , [Google Scholar]] and Kenig et al. [9 Kenig , C.E. , Ruiz , A. , Sogge , C.D. ( 1987 ). Uniform Sobolev inequalities and unique continuation for second order constant coefficient differential operators . Duke Math. J. 55 : 329 – 347 .[Crossref], [Web of Science ®] , [Google Scholar]].     

Mislin’s theorem for fusion systems through Mackey functors

We state and prove a fusion system version of Mislin’s theorem [9 Mislin, G. On group homomorphisms inducing mod-p cohomology isomorphisms. Comment. Math. Helv. 65(3):454–461.[Web of Science ®] , [Google Scholar]] on cohomology and control of fusion using Mackey functors. The issue of an algebraic proof is also discussed.     

Local and Global Existence for an Aggregation Equation

The purpose of this work is to develop a satisfactory existence theory for a general class of aggregation equations. An aggregation equation is a non-linear, non-local partial differential equation that is a regularization of a backward diffusion process. The non-locality arises via convolution with a potential. Depending on how regular the potential is, we prove either local or global existence for the solutions. Aggregation equations have been used recently to model the dynamics of populations in which the individuals attract each other (Bodnar and Velazquez, 2005 Bodnar , M. , Velazquez , J. J. L. ( 2005 ). Derivation of macroscopic equations for individual cell-based models: a formal approach . Math. Methods Appl. Sci. 28 ( 15 ): 1757 – 1779 .[Crossref], [Web of Science ®] , [Google Scholar]; Holm and Putkaradze, 2005 Holm , D. D. , Putkaradze , V. ( 2005 ). Aggregation of finite size particles with variable mobility . Phys. Rev. Lett. 95 : 226106 . [Google Scholar]; Mogilner and Edelstein-Keshet, 1999 Mogilner , A. , Edelstein-Keshet , L. ( 1999 ). A non-local model for a swarm . J. Math. Biol. 38 ( 6 ): 534 – 570 .[Crossref], [Web of Science ®] , [Google Scholar]; Morale et al., 2005 Morale , D. , Capasso , V. , Oelschläger , K. ( 2005 ). An interacting particle system modelling aggregation behavior: from individuals to populations . J. Math. Biol. 50 ( 1 ): 49 – 66 .[Crossref], [PubMed], [Web of Science ®] , [Google Scholar]; Topaz and Bertozzi, 2004 Topaz , C. M. , Bertozzi , A. L. ( 2004 ). Swarming patterns in a two-dimensional kinematic model for biological groups . SIAM J. Appl. Math. 65 ( 1 ): 152 – 174 (electronic) .[Crossref], [Web of Science ®] , [Google Scholar]; Topaz et al., 2006 Topaz , C. M. , Bertozzi , A. L. , Lewis , M. A. ( 2006 ). A nonlocal continuum model for biological aggregation . Bull. Math. Biol. 68 ( 7 ): 1601 – 1623 .[Crossref], [PubMed], [Web of Science ®] , [Google Scholar]).     

Analytic Wave Front Set for Solutions to Schrödinger Equations II – Long Range Perturbations

This paper is a continuation of [9 Martinez , A. , Nakamura , S. , Sordoni , V. ( 2009 ). Analytic wave front set for solutions to Schrödinger equations . Adv. Math. 222 : 1277 – 1307 .[Crossref], [Web of Science ®] , [Google Scholar]], where short range perturbations of the flat Euclidian metric where considered. Here, we generalize the results of [9 Martinez , A. , Nakamura , S. , Sordoni , V. ( 2009 ). Analytic wave front set for solutions to Schrödinger equations . Adv. Math. 222 : 1277 – 1307 .[Crossref], [Web of Science ®] , [Google Scholar]] to long-range perturbations (in particular, we can allow potentials growing like ?x?^2?? at infinity). More precisely, we construct a modified quantum free evolution G ₀(?s, hD _z ) acting on Sjöstrand's spaces, and we characterize the analytic wave front set of the solution e ^?itH u ₀ of the Schrödinger equation, in terms of the semiclassical exponential decay of G ₀(?th ^?1, hD _z )T u ₀, where T stands for the Bargmann-transform. The result is valid for t < 0 near the forward non trapping points, and for t > 0 near the backward non trapping points. It is an extension of [12 Nakamura , S. ( 2009 ). Semiclassical singularities propagation properties for the Schrödinger equations . J. Math. Soc. Japan 61 : 177 – 211 . [Google Scholar]] to the analytic framework.     

Elementary matrix reduction over J-stable rings

A commutative ring R is J-stable provided that R∕aR has stable range 1 for all a?J(R). A commutative ring R in which every finitely generated ideal principal is called a Bézout ring. A ring R is an elementary divisor ring provided that every matrix over R admits a diagonal reduction. We prove that a J-stable ring is a Bézout ring if and only if it is an elementary divisor ring. Further, we prove that every J-stable ring is strongly completable. Various types of J-stable rings are provided. Many known results are thereby generalized to much wider class of rings, e.g. [3 Gillman, L., Henriksen, M. (1956). Some remarks about elementary divisor rings. Trans. Amer. Math. Soc. 82:362–365.[Crossref] , [Google Scholar], Theorem 8], [4 Larsen, M., Lewis, W., Shores, T. (1974). Elementary divisor rings and finitely presented modules. Trans. Amer. Math. Soc. 187:231–248.[Crossref], [Web of Science ®] , [Google Scholar], Theorem 4.1], [7 McGovern, W. W. (2008). Bézout rings with almost stable range 1. J. Pure Appl. Algebra 212:340–348.[Crossref], [Web of Science ®] , [Google Scholar], Theorem 3.7], [8 Moore, M. E. (1975). A strongly complement property of Dedekind domain. Czechoslovak Math. J. 25(100):282–283. [Google Scholar], Theorem], [9 Moore, M., Steger, A. (1971). Some results on completability in commutative rings. Pacific J. Math. 37:453–460.[Crossref], [Web of Science ®] , [Google Scholar], Theorem 2.1], [14 Zabavsky, B. V. (1996). Generalized adequate rings. Ukrainian Math. J. 48:614–617.[Crossref] , [Google Scholar], Theorem 1] and [18 Zabavsky, B. V., Komarnyts’kyi, M. Y. (2010). Cohn-type theorem for adequacy and elementary divisor rings. J. Math. Sci. 167:107–111.[Crossref] , [Google Scholar], Theorem 7].     

Asymptotic Solutions of Viscous Hamilton–Jacobi Equations with Ornstein–Uhlenbeck Operator

We study the long time behavior of solutions of the Cauchy problem for semilinear parabolic equations with the Ornstein–Uhlenbeck operator in ? ^N . The long time behavior in the main results is stated with help of the corresponding to ergodic problem, which complements, in the case of unbounded domains, the recent developments on long time behaviors of solutions of (viscous) Hamilton–Jacobi equations due to Namah (1996 Namah , G. ( 1996 ). Asymptotic solution of a Hamilton–Jacobi equation . Asymptotic Anal. 12 ( 4 ): 355 – 370 . [CSA] [Web of Science ®] , [Google Scholar]), Namah and Roquejoffre (1999 Namah , G. , Roquejoffre , J.-M . ( 1999 ). Remarks on the long-time behavior of the solutions of Hamilton–Jacobi equations . Comm. PDE 24 ( 5–6 ): 883 – 893 . [CSA] [Taylor & Francis Online], [Web of Science ®] , [Google Scholar]), Roquejoffre (1998 Roquejoffre , J.-M . ( 1998 ). Comportement asymptotique des solutions d’équations de Hamilton–Jacobi monodimensionnelles . C. R. Acad. Sci. Paris Sér. I Math. 326 ( 2 ): 185 – 189 . [CSA] [Crossref] , [Google Scholar]), Fathi (1998 Fathi , A. ( 1998 ). Sur la convergence du semi-groupe de Lax–Oleinik semigroup . C. R. Acad. Sci. Paris Sér. I Math. 327 ( 3 ): 267 – 270 . [CSA] [Crossref] , [Google Scholar]), Barles and Souganidis (2000 Barles , G. , Souganidis , P. E. ( 2000 ). On the large time behavior of solutions of Hamilton–Jacobi equaitons . SIAM J. Math. Anal. 31 ( 4 ): 925 – 939 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar] 2001 Barles , G. , Souganidis , P. E. ( 2001 ). Space-time periodic solutions and long-time behavior of solutions to quasi-periodic parabolic equations . SIAM J. Math. Anal. 32 ( 6 ): 1311 – 1323 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]). We also establish existence and uniqueness results for solutions of the Cauchy problem and ergodic problem for semilinear parabolic equations with the Ornstein–Uhlenbeck operator.     

Eigenfunctions for Partially Rectangular Billiards

In this note, we further develop the methods of Burq and Zworski (2005 Burq , N. , Zworski , M. ( 2005 ). Bouncing ball modes and quantum chaos . SIAM Review 47 ( 5 ): 43 – 49 [CROSSREF] [CSA] [Crossref] , [Google Scholar]) to study eigenfunctions for billiards which have rectangular components: these include the Bunimovich billiard, the Sinai billiard, and the recently popular pseudointegrable billiards (Bogomolny et al., 1999 Bogomolny , E. , Gerland , U. , Schmit , C. ( 1999 ). Models of intermediate spectral statistics . Phys. Rev. E 59 : 1315 – 1318 [CROSSREF] [CSA] [Crossref], [Web of Science ®] , [Google Scholar]). The results are an application of a “black-box” point of view as presented in Burq and Zworski (2004 Burq , N. , Zworski , M. ( 2004 ). Geometric control in the presence of a black box . JAMS 17 : 443 – 471 [CROSSREF] [CSA] [Web of Science ®] , [Google Scholar]).     

Propagation of Singularities for Schrödinger Equations on the Euclidean Space with a Scattering Metric

Given a scattering metric on the Euclidean space. We consider the Schrödinger equation corresponding to the metric, and study the propagation of singularities for the solution in terms of the “homogeneous wavefront set”. We also prove that the notion of the homogeneous wavefront set is essentially equivalent to that of the quadratic scattering wavefront set introduced by Wunsch (1999 Wunsch , J. ( 1999 ). Propagation of singularities and growth for Schrödinger operators . Duke Math. J. 98 : 137 – 186 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]). One of the main results in Wunsch (1999 Wunsch , J. ( 1999 ). Propagation of singularities and growth for Schrödinger operators . Duke Math. J. 98 : 137 – 186 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]) follows on the Euclidean space with a weaker, almost optimal condition on the potential.     

A ring with FT-rank two

We construct a ring which admits a 2-generated, faithful torsion module but lacks a cyclic faithful torsion module. This answers a question by Oman and Schwiebert [1 Oman, G., Schwiebert, R. (2012). Rings which admit faithful torsion modules. Commun. Algebra 40(6):2184–2198.[Taylor & Francis Online], [Web of Science ®] , [Google Scholar], 2 Oman, G., Schwiebert, R. (2012). Rings which admit faithful torsion modules II. J. Algebra Appl. 11(3):1250054 (12 p.).[Crossref], [Web of Science ®] , [Google Scholar]].     

DECOMPOSITION OF A HIGHER DEGREE FORM

ABSTRACT

We give another proof of Harrison's decomposition result,[2] Harrison, D.K. 1975. A Grothendieck Ring of Higher Degree Forms. Journal of Algebra, 35: 123–138. [Crossref], [Web of Science ®] , [Google Scholar] Prop. 2.3 for higher degree forms over a noetherian ring, exploiting an earlier introduction of the centre. We generalise to higher degree forms over a noetherian scheme: we extend the notion of centre; we prove a decomposition result; we extend Harrison's result,[2] Harrison, D.K. 1975. A Grothendieck Ring of Higher Degree Forms. Journal of Algebra, 35: 123–138. [Crossref], [Web of Science ®] , [Google Scholar] Prop. 4.3 on the behaviour of the centre under a flat base extension; and we improve his result,[2] Harrison, D.K. 1975. A Grothendieck Ring of Higher Degree Forms. Journal of Algebra, 35: 123–138. [Crossref], [Web of Science ®] , [Google Scholar] Prop. 4.2, giving conditions on the base scheme under which the centre of the tensor product of two higher degree forms is isomorphic to the tensor product of their centres.     

Conformal Compactification of Asymptotically Locally Hyperbolic Metrics II: Weakly ALH Metrics

In this paper we pursue the work initiated in [6 Bahuaud , E. ( 2009 ). Intrinsic characterization for Lipschitz asymptotically hyperbolic metrics . Pacific J. Math. 239 : 231 – 249 .[Crossref], [Web of Science ®] , [Google Scholar], 7 Bahuaud , E. , Gicquaud , R. ( 2011 ). Conformal compactification of asymptotically locally hyperbolic metrics . J. Geom. Anal. 21 : 1085 – 1118 .[Crossref], [Web of Science ®] , [Google Scholar]]: study the extent to which conformally compact asymptotically hyperbolic metrics can be characterized intrinsically. We show how the decay rate of the sectional curvature to ?1 controls the Hölder regularity of the compactified metric. To this end, we construct harmonic coordinates that satisfy some Neumann-type condition at infinity. Combined with a new integration argument, this permits us to recover to a large extent our previous result without any decay assumption on the covariant derivatives of the Riemann tensor.     

Sharp estimates for solutions of mean field equations with collapsing singularity

The pioneering work of Brezis-Merle [7 Brezis, H., Merle, F. (1991). Uniform estimates and blow-up behavior for solutions of ?Δu = V(x)e^u in two dimensions. Commun. Partial Differential Equation 16:1223–1254.[Taylor & Francis Online], [Web of Science ®] , [Google Scholar]], Li-Shafrir [27 Li, Y.Y., Shafrir, I. (1994). Blow-up analysis for solutions of ?Δu = V(x)e^u in dimension two. Indiana Univ. Math. J. 43:1255–1270.[Crossref], [Web of Science ®] , [Google Scholar]], Li [26 Li, Y.Y. (1999). Harnack inequality: the method of moving planes. Commun. Math. Phys. 200:421–444.[Crossref], [Web of Science ®] , [Google Scholar]], and Bartolucci-Tarantello [3 Bartolucci, D., Tarantello, G. (2002). Liouville type equations with singular data and their applications to periodic multivortices for the electroweak theory. Commun. Math. Phys. 229:3–47.[Crossref], [Web of Science ®] , [Google Scholar]] showed that any sequence of blow-up solutions for (singular) mean field equations of Liouville type must exhibit a “mass concentration” property. A typical situation of blowup occurs when we let the singular (vortex) points involved in the equation (see (1.1) below) collapse together. However in this case, Lin-Tarantello in [30 Lin, C.S., Tarantello, G. (2016). When “blow-up” does not imply “concentration”: A detour from Brezis-Merle’s result. C. R. Math. Acad. Sci. Paris 354:493–498.[Crossref], [Web of Science ®] , [Google Scholar]] pointed out that the phenomenon: “bubbling implies mass concentration” might not occur and new scenarios open for investigation. In this paper, we present two explicit examples which illustrate (with mathematical rigor) how a “nonconcentration” situation does happen and its new features. Among other facts, we show that in certain situations, the collapsing rate of the singularities can be used as blow-up parameter to describe the bubbling properties of the solution-sequence. In this way, we are able to establish accurate estimates around the blow-up points which we hope to use toward a degree counting formula for the shadow system (1.34) below.     

Self-Dual Hopf Quivers

ABSTRACT

We study self-dual coradically graded pointed Hopf algebras with a help of the dual Gabriel theorem for pointed Hopf algebras (van Oystaeyen and Zhang, 2004 van Oystaeyen , F. , Zhang , P. ( 2004 ). Quiver Hopf algebras . J. Algebra 280 ( 2 ): 577 – 589 . [CSA] [CROSSREF]  [Google Scholar]). The co-Gabriel Quivers of such Hopf algebras are said to be self-dual. An explicit classification of self-dual Hopf quivers is obtained. We also prove that finite dimensional pointed Hopf algebras with self-dual graded versions are generated by group-like and skew-primitive elements as associative algebras. This partially justifies a conjecture of Andruskiewitsch and Schneider (2000 Andruskiewitsch , N. , Schneider , H.-J . ( 2000 ). Finite quantum groups and Cartan matrices . Adv. Math. 154 : 1 – 45 . [CSA] [CROSSREF] [Crossref], [Web of Science ®] , [Google Scholar]) and may help to classify finite dimensional self-dual coradically graded pointed Hopf algebras.     

Restricted p-Centers for Sets in Real Locally Convex Spaces

ABSTRACT

Let p be a continuous seminorm on a real locally convex space X. The current paper is concerned with the problem of restricted p-centers in X. Characterizations of restricted p-centers and strongly unique restricted p-centers with respect to a “sun” are provided, and then some recent results due to Laurent and Pai [9 P. J. Laurent and D. Pai ( 1998 ). On simultaneous approximation . Numer. Funct. Anal. Optim. 19 : 1045 – 1064 .[Taylor & Francis Online], [Web of Science ®] , [Google Scholar]] are extended and improved.     

ℤ3-Twisted Representations of Lattice Vertex Operator Algebras

Abstract

Let L be a positive definite even lattice and let g ∈ Aut L be a fixed point free automorphism of order 3. We determine the twisted Zhu's algebra A _? (V _L ) for the lattice vertex operator algebra V _L , where ? is an automorphism of V _L induced from g. As a result, we show that the set of all irreducible ?-twisted modules for V _L (up to isomorphism) are exactly those constructed by Dong and Lepowsky (1996 Dong, C. and Lepowsky, J. 1996. The algebraic structure of relative twisted vertex operators. J. Pure and Applied Algebra, 110: 259–295. [Crossref], [Web of Science ®] , [Google Scholar]) and Lepowsky (1985 Lepowsky, J. 1985. Calculus of twisted vertex operators. Proc. Natl. Acad. Sci. USA, 82: 8295–8299. [Crossref], [PubMed], [Web of Science ®] , [Google Scholar]).     

Extension of Goulden–Jackson cluster method on pattern occurrences in random sequences and comparison with Régnier–Szpankowski method

The Goulden–Jackson cluster method is a powerful method to find generating functions of pattern occurrences in random sequences [1 Goulden, I.P. and Jackson, D.M. 1979. An inversion theorem for cluster decompositions of sequences with distinguished subsequences. Journal of London Mathematical Society, Second Series, 20: 567–576. [Crossref], [Web of Science ®] , [Google Scholar]]. The method is clearly explained, extended and implemented by Noonan and Zeilberger [2 Noonan, J. and Zeilberger, D. 1999. The Goulden-Jackson cluster method: extensions, applications, and implementations. Journal of Difference Equations and Applications, 5: 355–377. [Taylor & Francis Online], [Web of Science ®] , [Google Scholar]]. In this paper, we elaborate on one of the several extensions in [2 Noonan, J. and Zeilberger, D. 1999. The Goulden-Jackson cluster method: extensions, applications, and implementations. Journal of Difference Equations and Applications, 5: 355–377. [Taylor & Francis Online], [Web of Science ®] , [Google Scholar]], namely the extension from symmetrical Bernoulli sequences where the occurrences of each symbol have equal probability, to asymmetrical Bernoulli sequences with different probabilities of symbol generations. An explicit formula is derived for the extension, which is implicitly embedded in the treatment of [2 Noonan, J. and Zeilberger, D. 1999. The Goulden-Jackson cluster method: extensions, applications, and implementations. Journal of Difference Equations and Applications, 5: 355–377. [Taylor & Francis Online], [Web of Science ®] , [Google Scholar]]. The extended result is then compared with the method of Régnier–Szpankowski [3 Régnier, M. and Szpankowski, W. 1997. On the approximate pattern occurrences in a text. Proceedings of the compression and complexity of sequences 1997, : 253–264.  [Google Scholar]], a method which was developed independently to tackle the same problem. By manipulating some matrix inversions, we show that the Régnier–Szpankowski method can be simplified to the extended Goulden–Jackson method.