Ferro, Gustavo (2008): On annuities: an overview of the issues.
This is the latest version of this item.
Download (123kB) | Preview
Longevity is increasing in the whole world, and savings for retirement are growing quickly. There is a potential demand for certainty in the income streams for pensioners since old-fashioned pay-as-you-go systems became financially stressed. A financial product, the annuity contract, offers longevity insurance but its market is not well developed, even in the small set of countries where it exists. The instrument, its market and its problems are analyzed, and a discussion is made in order to ameliorate the understanding of an apparent paradox: why an interesting instrument is not more demanded and supplied.
|Item Type:||MPRA Paper|
|Original Title:||On annuities: an overview of the issues|
|English Title:||On annuities: an overview of the issues|
|Keywords:||annuity; insurance; pension|
|Subjects:||G - Financial Economics > G2 - Financial Institutions and Services > G22 - Insurance; Insurance Companies
G - Financial Economics > G2 - Financial Institutions and Services > G23 - Non-bank Financial Institutions; Financial Instruments; Institutional Investors
|Depositing User:||Gustavo Ferro|
|Date Deposited:||26. Jan 2010 00:36|
|Last Modified:||13. Feb 2013 05:13|
Alier, Max and Dimitri Vittas (2001). Personal Pension Plans and Stock Market Volatility. In New Ideas About Old Age Security: Toward Sustainable Pension Systems in the 21st Century. Edited by Robert Holzman and Joseph Stiglitz. The World Bank.
Ameriks, John (2003). How Do Retirees Go From Stock to Flow? Pension Research Council Working Paper 2003-18. The Wharton School, University of Pennsylvania.
Ameriks, John, Andrew Caplin, Steven Laufer and Stijn Van Nieuwerburgh (2007). Annuity Valuation, Long-term Care and Bequest Motives. PRC Working Paper 2007-20. Policy Research Council Working Paper. The Warthon School, University of Pennsylvania.
An Bord Pinsean-The Pensions Board (2004). A Brief Guide to Annuities. Authority for Pensions, Ireland. Dublin, June.
Antolin, P. (2007). Longevity Risk and Private Pensions. Working Paper on Insurance and Private Pensions N° 3. OECD: Paris, January.
Barr, Nicholas (2002). The Pension Puzzle. Prerequisites and Policy Choices in Pension Design. International Monetary Fund.
Batini, Nicoletta, Tim Callen and Warwick McKibbin (2006). The Global Impact of Demographic Change. Working Paper 06/9. International Monetary Fund.
Blake, David, Kevin Dowd, Andrew Cairns, and Richard MacMinn (2006). Longevity Bonds: Financial Engineering, Valuation, and Hedging. Journal of Risk & Insurance, Vol. 73, No. 4. December.
Borsch-Supan, Axel (2004). Global Aging: Issue, Answer, More Questions. Michigan Retirement Research Center. Working Paper 2004-084, June.
Borzi, Phyllis and Martha Priddy Patterson (2007). Regulating Markets for Retirement Payouts: Solvency, Supervision and Credibility. PRC Working Paper 2007-21. Pension Research Council. The Warthon School, University of Pennsylvania.
Brown, Jeffrey and James Poterba (2004). Household Demand For Variable Annuities. CRR WP 2004-08. Center for Retirement Research at Boston College. March.
Cannons, Edmund and Ian Tonks (2008). Annuity Markets. Oxford University Press. November. Davidoff, Thomas, Jeffrey Brown and Peter Diamond (2003). Annuities and Individual Welfare. CRR Working Paper 2003-11. Center of Retirement Research at Boston College.
Davis, E. Phillip (2002). Issues in the Regulation of Annuities Markets. Working Paper 26/02. Center of Research on Pensions and Welfare Economics. Presented at the third annual CeRP conference “Developing an Annuity Market in Europe”, Moncalieri, Turin, June 21-22.
Davis, E. Phillip (2001). Portfolio Regulation of Life Insurance Companies and Pension Funds. Discussion Paper. PI-0101, The Pensions Institute. OECD, January.
Dus, Ivica, Raimond Maurer, and Olivia Mitchell (2003). Betting on Death and Capital Markets in Retirement: A Shortfall Risk Analysis of Life Annuities versus Phased Withdrawal Plans. Working Paper 2003-063. University of Michigan Retirement Research Center.
Dushi, Irena and Anthony Webb (2004). Annuitization: Keeping Your Options Open. Center for Retirement Research at Boston College, Working Paper 2204-04.
Ferro, Gustavo (2009). Reformas previsionales de capitalización en diez países de América Latina. International Federation of Pension Funds Administrators. Santiago, Chile. At: http://www.fiap.cl/prontus_fiap/site/artic/20090408/asocfile/20090408110013/capitalizacion_en_america_latina_06_05_09.pdf
Gill, Indermit, Truman Packard and Juan Yermo, with the assistance of Todd Pugach (2004). Keeping the Promise of Old Age Income Security in Latin America. A Regional Study of Social Security Reform. Regional Studies Program, The Office of the Chieff Economist, Latin America and Caribbean Region. The World Bank.
Horneff, Wolfram, Raimond Maurer, Olivia Mitchell and Ivica Dus (2006). Optimizing the Retirement Portfolio: Asset Allocation, Annuitization, and Risk Aversion. PRC Working Paper 2006-10. Pension Research Council. The Wharton School, University of Pennsylvania.
Hu, WeiYin and Jason Scott (2007). Bahavioral Obstacles to the Annuity Market. Pension Research Council Working Paper 2007-10. The Wharton School, University of Pennsylvania.
James, Estelle and Xue Song (2001). Annuities Markets Around the World: Money’s Worth and Risk Intermediation. Working Paper 16/01. Center for Research on Pensions and Welfare Policies.
Jousten, Alain (2007). Public Pension Reform: A Primer. Working Paper 07-28. International Monetary Fund.
Mackenzie, G. A. (2002). The Role of Private Sector Annuities Markets in an Individual Accounts Reform of a Public Pension Plan. Working Paper 02/161. International Monetary Fund.
Mackenzie, G. A. and Allison Schager (2004). Can the Private Annuity Market Provide Secure Retirement Income? Working Paper 04/230. International Monetary Fund.
Mitchell, Olivia, John Piggott, Michael Serris and Shaun Yow (2006). Financial Innovation for an Aging World. PRC Working Paper 2006-11. Pension Research Council. The Wharton School, University of Pennsylvania.
Mitchell, Olivia and David MacCarthy (2002). Annuities for an Aging World. Working Paper 21/02. Center For Research on Pensions and Welfare Policies.
OECD (2007 a). Closing the Pensions Gap: The Role of Private Pensions. OECD Observer. Policy Brief, September.
OECD (2007 b). Private Pensions: A Growing Role. In Pensions at a Glance: Public Policies Across OECD Countries. Paris, June 7.
OECD (2007 c). Pension Markets in Focus. Jean-Marc Salou and Juan Yermo Editors. Issue 4, November.
OECD (2007 d). Pension Reforms. Early Birds and Laggards. In Pensions at a Glance: Public Policies Across OECD Countries. Paris, June 7.
Orszag, Peter and Joseph Stiglitz (1999). “Rethinking Pension Reform: Ten Myths about Social Security Systems”. Presented at the Conference on “New Ideas on Old Age Scurity”. The World Bank, Washington DC, September 14-15.
Panis, Constantijn (2003). Annuities and Retirement Well-Being. PRC Working Paper 2003-19. Pension Research Council. The Wharton School, University of Pennsylvania.
Pension Research Council (2007). Managing Retirement Payouts: Positioning, Investing and Spending Assets. PRC Working Paper 2007-16. Pension Research Council. The Wharton Scholl, University of Pennsylvania.
Poterba, James (2001). Annuity Markets and Retirement Security. Center for Retirement Research at Boston College, Working Paper 2001-10.
Rocha, Roberto, Marco Morales and Craig Thorburn (2008). An Empirical Analysis of the Annuity Rate in Chile. Journal of Pension Economics and Finance, vol. 7, issue 01, pages 95-119. Cambridge University Press.
Scott, Jason, John Watson and Wei-Yin Hu (2007). Efficient Annuitization: Optimal Strategies for Hedging Mortality Risk. Pension Research Council WP 2007-09. The Wharton School, University of Pennsylvania.
Sharpe, William, Jason Scott and John Watson (2007). Efficient Retirement Financial Strategies. PRC Working Paper 2007-19. Pension Research Council. The Wharton School, University of Pennsylvania.
Stewart, Fiona (2007). Policy Issues for Developing Annuities Markets. OECD Working Papers on Insurance and Private Pensions, N° 2, OECD Publishing.
Stiglitz, Joseph (1994). The Role of the State in Financial Markets. Proceedings of the World Bank Annual Conference on Development Economics 1993. The World Bank.
Thorburn, Craig, Roberto Rocha and Marco Morales (2007). An Analysis of Money’s Worth Ratios in Chile. Journal of Pension Economics and Finance, vol. 6, issue 03, pages 287-312. Cambridge University Press.
Webb, Anthony, Guan Gong and Wei Sun (2007). An Annuity That People Might Actually Buy. Brief Number 7-10. Center For Retirement Research At Boston College. July.
Whitehouse, Edward (2007). Life-expectancy Risk and Pensions: Who Bears the Burden? Social, Employment and Migration Working Paper N° 60. OECD. Paris.
World Bank (1994). Averting the Old Age Crisis: Policies to Protect the Old and Promote Growth. World Bank Policy Research Report. Oxford University Press.
Yermo, Juan (2001). Private Annuities in OECD Countries. Insurance and Private Pensions Compendium For Emerging Economies. OECD. Insurance and Private Pensions Unit, Financial Affairs Division, Directorate for Financial, Fiscal and Enterprise Affairs.
Available Versions of this Item
- On annuities: an overview of the issues. (deposited 26. Jan 2010 00:36) [Currently Displayed]