Optically coherent, two-port, serially cascaded-form optical delay line circuits can realize arbitrary signal processing functions identical to those of FIR digital filters with complex filter coefficients whilst maintaining a maximum optical transmission characteristic of 100%. The invention provides an iterative process for transitioning in a step-wise manner a filter function of an optical delay line circuit filter from a start filter function to a target filter function. The invention also describes a dynamic gain equalizer incorporating an optical delay line circuit filter.