scholarly journals An actuarial mathematical model for a new pension philosophy. An application to the accountant pension fund

2020 ◽  
Vol 0 (0) ◽  
Author(s):  
Anna Attias ◽  
Simona Ciavalini ◽  
Carla Morrone ◽  
Daniela Saitta
Keyword(s):  
Mathematical Model ◽  
Social Welfare ◽  
Pension Fund ◽  
Pension System ◽  
Public Pension ◽  
Standard Of Living ◽  
Replacement Rate ◽  
Minimum Threshold ◽  
Public Pension System ◽  
Highly Correlated

AbstractThis paper adapts an actuarial mathematical model, built for the Italian public pension system, based on the law proposal 3035/2009 to the Accountant Pension Fund (CNPADC). The aim is to introduce a new philosophy pension highly correlated with the concept of adequacy for an ambitious social welfare; using the logic of the 3035/2009 proposal, which guarantees a minimum threshold for the replacement rate of the direct pension, this study provides a rigorous actuarial mathematical model that explains a sort of rate of contribution at a tendential equilibrium, in a pay-as-you-go pension system. This model reveals for which parameters it is possible to intervene to maintain the standard of living in retirement.

THE ANALYTIC APPROACH FOR THE STOCHASTIC PROJECTION OF THE PUBLIC PENSION FUND

2016 ◽  
Vol 31 (2) ◽  
pp. 196-206
Author(s):  
Hyungsu Kim ◽  
Geonwoo Kim ◽  
Sungchul Lee
Keyword(s):  
Pension Fund ◽  
Pension System ◽  
Public Pension ◽  
The Public ◽  
Parameter Estimations ◽  
Public Pension System ◽  
Public Pension Fund ◽  
The Moment ◽  
Log Normal ◽  
First Moment

In this paper, we propose a stochastic method to project the public pension fund in the public pension system (PPS). For this we introduce the stochastic differential equations for the three parts: the premium revenue, the benefit expenditure, and the fund process. From these we show that the solution of the aggregated fund process is the sum of log-normals, which is approximated as one log-normal for the analytic result. Related to the parameter estimations, we implement the moment matching in the first moment. For the second moment, we apply the extreme value method following Parkinson. In order to follow Parkinson, we take the maximum and the minimum range of the fund amount based on the various sensitivity result as well as the baseline one from the deterministic projection result. In this reason, it is naturally to maintain the close interrelation with the deterministic projection result, which is very important since it is still key result in the actuarial valuation of the PPS.

scholarly journals Comparative Analysis of Retirement Benefits in Private Pension Funds and Public Pension System

2019 ◽  
Vol 57 (2) ◽  
pp. 145-164
Author(s):  
Stevan Luković ◽  
Srđan Marinković
Keyword(s):  
Comparative Analysis ◽  
Success Rate ◽  
Pension Fund ◽  
Pension System ◽  
Public Pension ◽  
Private Pension ◽  
Investment Strategies ◽  
Retirement Benefits ◽  
The Public ◽  
Public Pension System

AbstractThis paper identifies the conditions under which the private pension funds generate superior retirement outcomes compared to public pension system. The research objective is to determine the probability of success of the selected investment strategies in achieving the public pension system replacement rate, and the probability of the realization of extremely unfavourable outcomes. The methodology used in this paper includes the comparative analysis of simulated financial results of the four selected investment strategies implemented in the private pension fund model and the defined retirement benefits generated within the public pension system. For the simulation of the financial results at retirement, Monte Carlo simulation technique has been used. The authors have found that the success rate of the private pension fund in achieving superior financial results in comparison to public pension system is high, but only for the contribution rates higher than 10%. At low contributions rates, the extremely aggressive strategy is the only one that generates moderate success rate. Also, the probability of realization of extremely unfavourable financial results is lowest for the conservative strategy, which suggests that for the relatively high levels of the contribution rate, it is the most appropriate option for the pension fund members.

Pension Structure and Employee Turnover: Evidence from a Large Public Pension System

ILR Review ◽  
2016 ◽  
Vol 70 (4) ◽  
pp. 976-1007
Author(s):  
Dan Goldhaber ◽  
Cyrus Grout ◽  
Kristian L. Holden
Keyword(s):  
Employee Turnover ◽  
Pension System ◽  
Public Pension ◽  
Public Pension System

Equity of Public Pension System

2020 ◽  
pp. 155-171
Author(s):  
Robert Meneu-Gaya ◽  
Borja Encinas-Goenechea ◽  
Inmaculada Domínguez-Fabián
Keyword(s):  
Pension System ◽  
Public Pension ◽  
Public Pension System

Last Lessons Learned from the Swedish Public Pension System

2020 ◽  
pp. 235-254
Author(s):  
María del Carmen Boado-Penas ◽  
Poontavika Naka ◽  
Ole Settergren
Keyword(s):  
Pension System ◽  
Lessons Learned ◽  
Public Pension ◽  
Public Pension System

Die Finanzierungslücke der Gesetzlichen Rentenversicherung in Deutschland – Eine Simulationsstudie zu Lösungsmöglichkeiten

2014 ◽  
Vol 63 (2) ◽  
Author(s):  
Steffen Bollacke
Keyword(s):  
Pension System ◽  
Population Aging ◽  
Financial Burden ◽  
Public Pension ◽  
Demographic Factor ◽  
Public Pensions ◽  
Calculation Formula ◽  
Pension Systems ◽  
Public Pension System ◽  
Reform Processes

AbstractPopulation aging challenges pay-as-you-go pension systems. Solving the associated funding problem constantly motivates reform processes. In addition to an aging population, specific regulations of the German public pension system lead to an increasing financial burden of national finances. To ensure sustainable funding of pensions, the calculation formula of the German public pension system will be investigated in this paper. It will be shown, that there are two alterable parameters, which are not optimally used regarding the funding of public pensions. Simulations show that a variable demographic factor to calculate public pensions can reduce the financial burden of national finances.

No Country for Old (Poor) Men: Fairness and Public Pensions

2020 ◽  
pp. 147892991988786
Author(s):  
Vincenzo Alfano ◽  
Pietro Maffettone
Keyword(s):  
Pension System ◽  
Welfare States ◽  
Public Pension ◽  
Public Pensions ◽  
Italian Case ◽  
Public Pension System ◽  
Working Lives ◽  
Actuarial Fairness ◽  
Fairness Concerns ◽  
Redistributive Effect

Public pensions are a ‘social technology’ at the heart of most welfare states. The basic goal pursued by a public pension system is to make sure that individuals do not outlive their savings. An increasing number of states have recently moved to a system that matches individuals’ contributions over their working lives to a specific stream of revenue during their retirement years (i.e. defining contributions rather than benefits). As a result, intragenerational fairness concerns have started to become more relevant. In this article, we shall claim that, irrespective of how one conceptualises the welfare state, most public pension systems violate actuarial fairness and any plausible account of distributive justice, and that they do so for structural reasons. Studying the Italian case, we offer insights on this regressive redistributive effect, based on regional data, and offer an implicit policy solution to obviate this problem.

Sign in / Sign up

Export Citation Format

Share Document