RT Journal Article
SR Electronic
T1 New Findings on Older People’s Life Expectancies Confirm Gompertz Law: <em>The Impact on the Value of Securitized Life Settlements</em>
JF The Journal of Structured Finance
FD Institutional Investor Journals
SP 66
OP 73
DO 10.3905/jsf.2014.20.2.066
VO 20
IS 2
A1 Leonid A. Gavrilov
A1 Natalia S. Gavrilova
A1 Charles Austin Stone
A1 Anne Zissu
YR 2014
UL https://pm-research.com/content/20/2/66.abstract
AB Recent findings using records from the U.S. Social Security Administration’s Death Master File discredit the late life mortality deceleration theory and confirm that life expectancies follow the Gompertz law not only until the age of 80, but for many years after. The authors show how these findings have major implications on the valuation of senior life settlements and securities backed by life settlements. They illustrate the sensitivity of valuation to the incorporation of the results of recent research regarding longevity risk.TOPICS: Fixed income and structured finance, wealth management, risk management