Articles - Heterogeneous membership in decumulation only CDC plans


Decumulation-only CDC plans provide a retirement income to their members. They do this primarily by pooling longevity risk among the members. Previous results in this research programme established that decumulation-only CDC plans should be open to new members, to ensure sufficient longevity risk pooling. When new members are the same as each other, then the results suggest that only about 100 of them need to join each year to get the majority of the longevity risk pooling benefits. However, it is much more realistic to assume that members join with different amounts of money. In that case, how many of them are needed to get enough longevity risk pooling? The research results by Professor Catherine Donnelly.

 

Back to Index


Similar News to this Story

Artificial intelligence and pensions: Cyber risk
This is the third in a series that takes a deeper look at areas relevant to U.K. pension schemes and how artificial intelligence (AI) may have a signi
The four dimensions of reserving uncertainty
This article presents a framework that I have found helpful in working with general insurance firms to better manage their reserving risks. The four d
Strategies for defined contribution pension arrangements
Three areas of focus that companies can build into their strategy to help their defined contribution arrangements stand up to adverse conditions. Turb

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.