• Open Access

Portfolio optimization with digitized counterdiabatic quantum algorithms

N. N. Hegade, P. Chandarana, K. Paul, Xi Chen, F. Albarrán-Arriagada, and E. Solano
Phys. Rev. Research 4, 043204 – Published 22 December 2022

Abstract

We consider digitized-counterdiabatic quantum computing as an advanced paradigm to approach quantum advantage for industrial applications in the NISQ era. We apply this concept to investigate a discrete mean-variance portfolio optimization problem, showing its usefulness in a key finance application. Our analysis shows a drastic improvement in the success probabilities of the resulting digital quantum algorithm when approximate counterdiabatic techniques are introduced. Along these lines, we discuss the enhanced performance of our methods over variational quantum algorithms like QAOA and DC-QAOA.

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  • Received 18 May 2022
  • Accepted 17 November 2022

DOI:https://doi.org/10.1103/PhysRevResearch.4.043204

Published by the American Physical Society under the terms of the Creative Commons Attribution 4.0 International license. Further distribution of this work must maintain attribution to the author(s) and the published article's title, journal citation, and DOI.

Published by the American Physical Society

Physics Subject Headings (PhySH)

Quantum Information, Science & Technology

Authors & Affiliations

N. N. Hegade1,*, P. Chandarana2,3,*, K. Paul1, Xi Chen2,3,†, F. Albarrán-Arriagada4,5,‡, and E. Solano1,6,7,§

  • 1International Center of Quantum Artificial Intelligence for Science and Technology (QuArtist) and Physics Department, Shanghai University, 200444 Shanghai, China
  • 2Department of Physical Chemistry, University of the Basque Country UPV/EHU, Apartado 644, 48080 Bilbao, Spain
  • 3EHU Quantum Center, University of the Basque Country UPV/EHU, Barrio Sarriena, s/n, 48940 Leioa, Spain
  • 4Departamento de Física, Universidad de Santiago de Chile (USACH), Avenida Víctor Jara 3493, 9170124 Santiago, Chile
  • 5Center for the Development of Nanoscience and Nanotechnology 9170124, Estación Central, Santiago, Chile
  • 6IKERBASQUE, Basque Foundation for Science, Plaza Euskadi 5, 48009 Bilbao, Spain
  • 7Kipu Quantum, Kurwenalstrasse 1, 80804 Munich, Germany

  • *Co-first authors.
  • chenxi1979cn@gmail.com
  • pancho.albarran@gmail.com
  • §enr.solano@gmail.com

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Vol. 4, Iss. 4 — December - December 2022

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