Pricing Equity Indexed Annuities

Exploring The Equity Indexed Annuity: An In-depth Look For ...
To asset pricing theory, Beta represents “Systematic risk” - the type of risk that This report is designed to illustrate the performance of equity indexed annuities, indexes and fixed accounts during a financia l modeling scenario. ... View Doc

GRAM-CHARLIER PROCESSES AND EQUITY-INDEXED ANNUITIES
The pricing of equity indexed annuities (EIAs in the sequel) has been studied by many authors, including Hardy [19], Gaillardetz and Lin [16], Boyle and Tian [5], Ballotta [3]. In Section 6 e derive formulas for EIA premium options under the assumption that ... Return Doc

SEC Final Rule: Indexed Annuities And Certain Other Insurance ...
Equity Indexed Annuities, ANNUITYADVANTAGE, available at: purposes of pricing and valuing their contracts.117 In addition, we believe that it is important to provide reasonable certainty to insurers with respect to the application of the ... View Doc

Equity-Indexed Annuities In The United States
4 Pricing and investment issues 16 4.1 Derivative basics 16 4.2 Product design issues 16 4.2.1 Comparison of product designs 19 Equity-indexed annuities (EIAs) have been the fastest growing annuity product in the last few years (since 1995). ... Access Content

Annuities: Beyond The Sales Pitch - Glenn S. Daily - Fee-only ...
Pricing: “There’s no sales load, – “Equity-Indexed Annuities: A Complex Choice,” 2005 (www.nasd.com) – Marthe Lie, Snorre Lindset, and Arne-Christian Lund, “Is There a Need for an Industry Standard for Capital Guaranteed Products?” ... Doc Retrieval

National Bank Financial Canadian Financial Services Conference
ÎPrinciples based pricing/valuation experience . 9 Product Solutions for Each Segment Equity Indexed Annuities • Offer products focused on value to consumer – No excessive surrender charges or surrender periods • Out in front on market conduct ... Access Document

Efficient pricing Of Ratchet Equity Indexed Annuities In A VG ...
355 EFFICIENT PRICING OF RATCHET EQUITY-INDEXED ANNUITIES IN A VARIANCE-GAMMA ECONOMY Laura Ballotta* ABSTRACT In this paper we propose a new method for approximating the price of arithmetic Asian options ... Fetch This Document

Fifth International Conference MAF 2012 Mathematical And ...
“Pricing equity-indexed annuities with surrender option in a stochastic interest rate environment” Lunch (10 April 2012) – 13:30-14:30 Plenary session (10 April 2012) Room of the Portego – 14:30-15:30 ... View This Document

WHITE PAPER THINKING FORWARD ABOUT PRICING AND HEDGING ...
THINKING FORWARD ABOUT PRICING AND HEDGING VARIABLE ANNUITIES. The Danger of Ignoring Correlation impact on equity volatility term structures when going to an Indexed WB (payoff is linked to a reference rate such ... Access Content

Pricing And Hedging Equity Indexed Annuities With Variance ...
Pricing and Hedging Equity Indexed Annuities with Variance-Gamma Deviates Sebastian Jaimungala aDepartment of Statistics, University of Toronto, 100 St. George Street, Toronto, Ontario, Canada M5S 3G3 ... Access Full Source

Diversification Benefits Of The Variable Annuities And Equity ...
And equity‐indexed annuities (EIAs) have gained their attractiveness in the recent decade because of the bullish equity market and low interest rates. Pricing and risk management of these ... Retrieve Full Source

Indexed annuities' New Pals
Not everyone is thrilled with private- equity firms' expansion in indexed annuities. Low interest rates have led some companies to change their pricing — as was the case for Aviva — and to lower caps to contend with the reduced profitability of insurers' portfolios. ... Retrieve Full Source

Table Of Contents - Annuity Systems Inc.
Products and has worked heavily in the design and pricing of equity-indexed annuities since their inception in 1995. He also designs and prices GLWB benefits on equity indexed annuities and variable annuities. ... Return Doc

The Equity Index Annuity: An Examination Of Performance And ...
The essence of an equity-indexed product is the derivative use in its creation. Gerber and Shiu (1999) examine the pricing of reset guarantees and show how it can be applied to pricing some specific EIA contracts that contain guarantee Equity index annuities are commonly referred to as ... Read Full Source

A NaturalHedgefor Equity IndexedAnnuities
The pricing, valuation and risk management of insurance contracts are also influenced by regulatory requirements. Most of the papers on Equity Indexed Annuities (EIAs) discuss the pricing and or the hedging of some specific type of contracts. ... Retrieve Document

Pricing Guaranteed Minimum Withdrawal Benefits Under ...
And Tan (2003) and Kijima and Wong (2007) consider the pricing of equity-indexed annuities under stochastic interest rates. In this paper, we consider the model formulationofthe variable annuitiesembeddedwithGMWB under ... Read More

A Public Policy PRAcTicE NoTE - AmericanAcademyOfActuaries
Use in pricing the asset or liability (including assumptions about risk).” budget method for equity indexed annuities (EIAs)? A34. The budget method is a common approach under US GAAP for valuing future options embedded in EIA contracts. ... Access Doc

Form 2454e, Supplement A: Equity Index Or Two-Tiered ...
(Complete and attach if filing includes an equity-indexed or two-tiered annuity) Pricing risk from infrequently set product parameters. (e) Supplement A: Equity Index or Two-Tiered Annuities, Form # 440-2454e Subject: Rates & Forms Filing Requirements Form 2454e, ... Return Doc

(2002) Pricing Equity-Indexed Annuities Embedded with Exotic Options. Contingencies Jan/Feb 2002, 34-38. 13. Lin Sheldon X and Tan Ken Seng (2003) Valuation of Equity Indexed Annuities under stochastic interest rates. North American Actuarial Journal 6 ... Fetch Full Source

Wharton Financial Institutions Center - The MasterSuite ...
Pricing environment, and yet these studies have been used by some to condemn index annuities Warner, Joan. 2005. “EIAs: Behind the hype: Equity-indexed annuities are flying off the shelves, but they carry risks that regulators fear are not fully disclosed.” Financial Planning (October). ... Read Full Source