Properties of Brownian Motion

Brownian motion (W_t) is simple to define yet startling to examine. Its sample paths are continuous everywhere and yet differentiable nowhere: zoom in on any point and the path never settles down to a tangent line — it stays infinitely jagged at every scale. There is no velocity \frac{dW}{dt} anywhere. This is the first sign that ordinary calculus will not survive contact with W_t.

Almost every sample path t \mapsto W_t(\omega) of a standard Brownian motion is continuous everywhere but differentiable nowhere, and has infinite total variation on every interval [a, b] with a < b. So the path is far too rough to have a velocity or an arc length, yet never jumps.

Moments and covariance

Because each W_t \sim N(0, t):

\mathbb{E}[W_t] = 0, \qquad \operatorname{Var}(W_t) = t.

The values at two different times are correlated through their shared history. For s \le t, write W_t = W_s + (W_t - W_s): the increment W_t - W_s is independent of W_s, so

\operatorname{Cov}(W_s, W_t) = \operatorname{Var}(W_s) = s = \min(s, t).

In one tidy formula: \operatorname{Cov}(W_s, W_t) = \min(s, t). The envelope below is \pm\sqrt{t} — one standard deviation of W_t at each time. It is the widening cone the path almost always lives inside, a direct picture of \operatorname{Var}(W_t) = t.

Self-similarity, derived property by property

Brownian motion is statistically self-similar: rescaling time and height in the right proportion gives back the very same process. Fix a scale factor c > 0 and define the rescaled process

B_t \;:=\; \frac{1}{\sqrt{c}}\, W_{ct} \;=\; c^{-1/2}\, W_{ct}.

The claim is that (B_t)_{t \ge 0} is itself a standard Brownian motion. There is nothing to do but check the four defining properties one at a time — each follows from the corresponding property of W.

(1) Starts at zero. Substituting t = 0,

B_0 = c^{-1/2}\, W_{c \cdot 0} = c^{-1/2}\, W_0 = c^{-1/2}\cdot 0 = 0,

since W_0 = 0.

(2) Independent increments. Take disjoint time intervals for B, say [s_1, t_1] and [s_2, t_2]. The corresponding increment of B is

B_{t} - B_{s} = c^{-1/2}\big(W_{ct} - W_{cs}\big),

an increment of W over the interval [cs, ct] (just scaled by the constant c^{-1/2}). Multiplying by the time factor c maps disjoint intervals to disjoint intervals, so the underlying W-increments live over disjoint time spans and are independent by W's independent-increments property; scaling by a constant does not disturb independence.

(3) Gaussian increments with the right variance. For s < t, write the increment and track its law step by step:

B_t - B_s = c^{-1/2}\big(W_{ct} - W_{cs}\big).

The bracket is an increment of W over [cs, ct], whose length is ct - cs = c(t - s), so by the Gaussian-increments property

W_{ct} - W_{cs} \sim N\big(0,\, c(t - s)\big).

Multiplying a N(0, \sigma^2) variable by a constant a scales its variance by a^2. Here a = c^{-1/2}, so a^2 = c^{-1} and

B_t - B_s = c^{-1/2}\big(W_{ct} - W_{cs}\big) \sim N\big(0,\; c^{-1}\cdot c(t - s)\big) = N\big(0,\, t - s\big).

The two factors of c cancel exactly — that cancellation is the whole point — leaving the variance equal to the elapsed time t - s, just as a standard Brownian motion demands.

(4) Continuous paths. The map t \mapsto B_t(\omega) is c^{-1/2} times W evaluated at the continuous time-change t \mapsto ct. A continuous function composed with the continuous map t \mapsto ct and multiplied by a constant is continuous, so almost every path of B is continuous because almost every path of W is.

All four properties hold, so B is a standard Brownian motion. Equivalently, \sqrt{c}\,W_t matches W_{ct} in law: zoom in (or out) with the matching \sqrt{c} rescaling of height against time, and the picture is statistically indistinguishable — fractal noise.

For every scale factor c > 0, the rescaled process B_t = c^{-1/2}\, W_{ct} is again a standard Brownian motion. Equivalently, the two processes (W_{ct})_{t \ge 0} and (\sqrt{c}\, W_{t})_{t \ge 0} have the same law. Brownian motion is therefore a random fractal: it looks the same, in distribution, at every magnification, provided height is scaled by \sqrt{c} whenever time is scaled by c.

Infinite total variation

The same roughness forces one more property, the decisive one for calculus: on any interval the path has infinite total variation,

\sup_{\text{partitions}} \sum_i \left| W_{t_{i+1}} - W_{t_i} \right| = \infty.

The path is so wiggly that the total distance it travels is unbounded, even over a finite time. That is precisely why the ordinary Riemann–Stieltjes integral \int f\, dW cannot be defined the usual way — and the rescue is to look one power up, at the quadratic variation.

Here is the heart of why \sum_i |W_{t_{i+1}} - W_{t_i}| diverges. Cut [0, t] into n equal pieces of length \Delta t = t/n. Each increment is N(0, \Delta t), so its typical size is its standard deviation,

\mathbb{E}\big|W_{t_{i+1}} - W_{t_i}\big| = \sqrt{\tfrac{2}{\pi}}\,\sqrt{\Delta t} \;\propto\; \sqrt{\Delta t}.

A single increment is of order \sqrt{\Delta t} — much larger than \Delta t for small \Delta t. Now add up the n = t/\Delta t of them:

\mathbb{E}\!\left[\sum_{i} \big|W_{t_{i+1}} - W_{t_i}\big|\right] = n \cdot \sqrt{\tfrac{2}{\pi}}\,\sqrt{\Delta t} = \frac{t}{\Delta t}\cdot \sqrt{\tfrac{2}{\pi}}\,\sqrt{\Delta t} = \sqrt{\tfrac{2}{\pi}}\; \frac{t}{\sqrt{\Delta t}}.

As the partition refines, \Delta t \to 0 and the factor 1/\sqrt{\Delta t} \to \infty, so the expected sum diverges. The increments are too big, individually of order \sqrt{\Delta t}, for their absolute values to add up to anything finite. (Contrast the squared increments, each of order \Delta t: those sum to a finite limit — that is the quadratic variation.)

How big does the path get? The law of the iterated logarithm. Refining the measurement of "how far out does W wander as t \to \infty", the sharp answer is

\limsup_{t \to \infty} \frac{W_t}{\sqrt{2\, t \log \log t}} = 1 \quad\text{almost surely}.

So the envelope is not merely \sqrt{t} but a hair larger, by a factor \sqrt{2 \log \log t} — the path repeatedly grazes this curve and repeatedly returns. A symmetric statement holds near t = 0 (by self-similarity), which is the precise sense in which the path is infinitely jagged at the smallest scales.