This paper presents an application of Advanced first-order second-moment (A
FOSM) reliability method to probabilistic design of integrated circuits wit
h correlated parameters. The method avoids the transformation to the space
of uncorrelated parameters and provides a conservative estimate of the yiel
d. Optimal nominal values are found such that the cost of tolerances is. mi
nimized while the desired yield is achieved. Numerical results are presente
d for a switched capacitor filter and verified by Monte Carlo simulation.