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We consider a compositional data analysis approach to forecasting the age distribution of death counts. Using the age-specific period life-table death counts in Australia obtained from the Human Mortality Database, the compositional data…

Applications · Statistics 2020-09-22 Han Lin Shang , Steven Haberman

In life insurance, life tables are used to estimate the survival distribution of individuals from a given population. However, these tables only provide survival probabilities at integer ages but no information about the distribution of…

Risk Management · Quantitative Finance 2026-03-19 Jean-Loup Dupret , Edouard Motte

In this paper, we provide a comprehensive cross-country validation study of compositional mortality modeling and forecasting methods. Thus, we consider two one-to-one transformations: the cumulative distribution function and the centered…

Applications · Statistics 2026-03-20 Han Lin Shang , Steven Haberman

In this article we investigate a state-space representation of the Lee-Carter model which is a benchmark stochastic mortality model for forecasting age-specific death rates. Existing relevant literature focuses mainly on mortality…

Computational Finance · Quantitative Finance 2015-08-04 Man Chung Fung , Gareth W. Peters , Pavel V. Shevchenko

Existing mortality forecasting methods focus on age-specific mortality rates, which lie in an unconstrained space and overlook the distributional nature of life-table death counts. Few studies have developed and compared forecasting methods…

Methodology · Statistics 2026-04-23 Han Lin Shang , Cristian F. Jiménez-Varón

Various types of structures that enable a group of individuals to pool their mortality risk have been proposed in the literature. Collectively, the structures are called pooled annuity funds. Since the pooled annuity funds propose different…

Portfolio Management · Quantitative Finance 2014-07-23 Catherine Donnelly

Like density functions, period life-table death counts are nonnegative and have a constrained integral, and thus live in a constrained nonlinear space. Implementing established modelling and forecasting methods without obeying these…

Methodology · Statistics 2025-04-02 Han Lin Shang , Steven Haberman

Age-specific mortality rates are often disaggregated by different attributes, such as sex, state, ethnic group and socioeconomic status. In making social policies and pricing annuity at national and subnational levels, it is important not…

Applications · Statistics 2017-05-24 Han Lin Shang , Steven Haberman

We study a fully funded, collective defined-contribution (DC) pension system with multiple overlapping generations. We investigate whether the welfare of participants can be improved by intergenerational risk sharing (IRS) implemented with…

General Economics · Economics 2023-03-24 An Chen , Motonobu Kanagawa , Fangyuan Zhang

We present an architecture for managing Collective Defined Contribution (CDC) schemes. The current approach to UK CDC can be described as shared-indexation, where the nominal benefit of every member in a scheme receives the same level of…

Portfolio Management · Quantitative Finance 2025-05-07 John Armstrong , James Dalby , Rohan Hobbs

\noindent The modal age at death is an increasingly used measure for understanding longevity and mortality patterns. However, existing estimation methods focus on point estimates, overlooking the inherent variability and uncertainty in…

Applications · Statistics 2025-10-07 Silvio C. Patricio , Paola Vazquez-Castillo

Ageing populations in developing countries have spurred the introduction of public pension programs to preserve the standard of living for the elderly. The often-overlooked mechanism of intergenerational transfers, however, can dampen these…

General Economics · Economics 2021-11-08 Plamen Nikolov , Alan Adelman

An essential input of annuity pricing is the future retiree mortality. From observed age-specific mortality data, modeling and forecasting can be taken place in two routes. On the one hand, we can first truncate the available data to…

Applications · Statistics 2020-09-21 Han Lin Shang , Steven Haberman

Recently we developed a new framework in Hirz et al (2015) to model stochastic mortality using extended CreditRisk$^+$ methodology which is very different from traditional time series methods used for mortality modelling previously. In this…

Computational Finance · Quantitative Finance 2015-07-28 Pavel V. Shevchenko , Jonas Hirz , Uwe Schmock

Mortality is different across countries, states and regions. Several empirical research works however reveal that mortality trends exhibit a common pattern and show similar structures across populations. The key element in analyzing…

Applications · Statistics 2020-09-10 Lei Fang , Wolfgang K. Härdle , Juhyun Park

We evaluate the performance and level of intergenerational cross-subsidy in flat-accrual and dynamic-accrual collective defined contribution (CDC) schemes which have been designed to be compatible with UK legislation. In the flat-accrual…

General Finance · Quantitative Finance 2025-04-16 John Armstrong , James Dalby , Catherine Donnelly

In this paper, we develop a deep neural network approach to solve a lifetime expected mortality-weighted utility-based model for optimal consumption in the decumulation phase of a defined contribution pension system. We formulate this…

General Finance · Quantitative Finance 2020-07-28 Wen Chen , Nicolas Langrené

Separate modelling of cause specific mortality rates and their projections can yield inconsistent forecasts when the sum of deaths by cause does not match the total observed in a population. We develop a hierarchical probabilistic framework…

Applications · Statistics 2026-03-03 Andrea Nigri , Han Lin Shang , Francesco Ungolo

This study employs a co-integrated socio-economic model to investigate the long-run drivers of Chinese government expenditure on public pensions, addressing critical stability and sustainability challenges. Our methodology establishes a…

General Economics · Economics 2025-10-28 Mostafa Raeisi Sarkandiz

This paper examines the optimal annuitization, investment and consumption strategies of a utility-maximizing retiree facing a stochastic time of death under a variety of institutional restrictions. We focus on the impact of aging on the…

Portfolio Management · Quantitative Finance 2015-06-22 Moshe A. Milevsky , Virginia R. Young
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