Department of Finance

 

Date of this Version

1996

Document Type

Article

Citation

Journal of Actuarial Practice 4 (1996), pp. 5-25

Comments

Copyright 1996 Absalom Press

Abstract

A fixed premium interest·sensitive whole life contract is analyzed in order to estimate its market value. In addition, using various definitions of duration, we determine the duration of the contract for each definition. The results of this analysis have implications for market value accounting of life insurance liabilities and for life company portfolio management.

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