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This paper explores optimal insurance solutions based on the Lambda-Value-at-Risk ($\Lambda\VaR$). If the expected value premium principle is used, our findings confirm that, similar to the VaR model, a truncated stop-loss indemnity is…

风险管理 · 定量金融 2025-08-19 Tim J. Boonen , Yuyu Chen , Xia Han , Qiuqi Wang

Understanding variable dependence, particularly eliciting their statistical properties given a set of covariates, provides the mathematical foundation in practical operations management such as risk analysis and decision-making given…

统计方法学 · 统计学 2023-09-06 Yunyun Wang , Tatsushi Oka , Dan Zhu

The question of pricing and hedging a given contingent claim has a unique solution in a complete market framework. When some incompleteness is introduced, the problem becomes however more difficult. Several approaches have been adopted in…

概率论 · 数学 2007-08-08 Pauline Barrieu , Nicole El Karoui

In recent years, a market for mortality derivatives began developing as a way to handle systematic mortality risk, which is inherent in life insurance and annuity contracts. Systematic mortality risk is due to the uncertain development of…

证券定价 · 定量金融 2010-11-02 Ting Wang , Virginia R. Young

We estimate the global minimum variance (GMV) portfolio in the high-dimensional case using results from random matrix theory. This approach leads to a shrinkage-type estimator which is distribution-free and it is optimal in the sense of…

统计金融 · 定量金融 2023-04-19 Taras Bodnar , Nestor Parolya , Wolfgang Schmid

Insurance products frequently cover significant claims arising from a variety of sources. To model losses from these products accurately, actuarial models must account for high-severity claims. A widely used strategy is to apply a mixture…

统计方法学 · 统计学 2025-04-30 Sébastien Jessup , Mélina Mailhot , Mathieu Pigeon

In this paper we investigate the hedging problem of a unit-linked life insurance contract via the local risk-minimization approach, when the insurer has a restricted information on the market. In particular, we consider an endowment…

数理金融 · 定量金融 2017-09-26 Claudia Ceci , Katia Colaneri , Alessandra Cretarola

Money-back guarantees (MBGs) are features of pooled retirement income products that address bequest concerns by ensuring the initial premium is returned through lifetime payments or, upon early death, as a death benefit to the estate. This…

投资组合管理 · 定量金融 2026-02-19 German Nova Orozco , Duy-Minh Dang , Peter A. Forsyth

This paper offers a financial economic perspective on the optimal time (and age) at which the owner of a Variable Annuity (VA) policy with a Guaranteed Living Withdrawal Benefit (GLWB) rider should initiate guaranteed lifetime income…

投资组合管理 · 定量金融 2018-11-27 H. Huang , M. A. Milevsky , T. S. Salisbury

Reinsurance optimization is a cornerstone of solvency and capital management, yet traditional approaches often rely on restrictive distributional assumptions and static program designs. We propose a hybrid framework that combines…

计量经济学 · 经济学 2026-03-24 Stella C. Dong

In this paper, we study the price of Variable Annuity Guarantees, especially of Guaranteed Annuity Options (GAO) and Guaranteed Minimum Income Benefit (GMIB), and this in the settings of a derivative pricing model where the underlying spot…

证券定价 · 定量金融 2012-04-04 Griselda Deelstra , Grégory Rayée

Few Bayesian methods for analyzing high-dimensional sparse survival data provide scalable variable selection, effect estimation and uncertainty quantification. Such methods often either sacrifice uncertainty quantification by computing…

统计方法学 · 统计学 2022-07-06 Michael Komodromos , Eric Aboagye , Marina Evangelou , Sarah Filippi , Kolyan Ray

This work studies a stochastic optimal control problem for a pension scheme which provides an income-drawdown policy to its members after their retirement. To manage the scheme efficiently, the manager and members agree to share the…

风险管理 · 定量金融 2020-02-14 Ankush Agarwal , Christian-Oliver Ewald , Yongjie Wang

We consider the pricing of variable annuities (VAs) with general fee structures under popular stochastic volatility models such as Heston, Hull-White, Scott, $\alpha$-Hypergeometric, $3/2$, and $4/2$ models. In particular, we analyze the…

计算金融 · 定量金融 2022-08-01 Zhenyu Cui , Anne MacKay , Marie-Claude Vachon

This paper investigates the dynamic reinsurance design problem under the mean-variance criterion, incorporating heterogeneous beliefs between the insurer and the reinsurer, and introducing an incentive compatibility constraint to address…

最优化与控制 · 数学 2025-08-19 Junyi Guo , Xia Han , Hao Wang

The state-of-the-art proposes Life Care Annuities, that have been recently designed as variable annuity contracts with Long-Term Care payouts and Guaranteed Lifelong Withdrawal Benefits. In this paper, we propose more general features for…

计算金融 · 定量金融 2024-05-10 G. Apicella , A. Molent , M. Gaudenzi

The dynamic hedging theory only makes sense in the setup of one given model, whereas the practice of dynamic hedging is just the opposite, with models fleeing after the data through daily recalibration. This is quite of a quantitative…

风险管理 · 定量金融 2026-01-06 Cyril Bénézet , Stéphane Crépey , Dounia Essaket

Shorting for hedging exposes to risk when the market dynamics is uncertain. Managing uncertainty and risk exposure is key in portfolio management practice. This paper develops a robust framework for dynamic minimum-variance hedging that…

风险管理 · 定量金融 2026-04-03 Adele Ravagnani , Mattia Chiappari , Andrea Flori , Piero Mazzarisi , Marco Patacca

We find the variance-optimal equivalent martingale measure when multivariate assets are modeled by a regime-switching geometric Brownian motion, and the regimes are represented by a homogeneous continuous time Markov chain. Under this new…

概率论 · 数学 2023-09-14 Bruno Remillard , Sylvain Rubenthaler

The aim of this paper is to introduce an insurance model allowing reinsurance and dividend payment. Our model deals with several homogeneous contracts and takes into account the legislation regarding the provisions to be justified by the…

证券定价 · 定量金融 2008-12-10 D. Goreac