32 Pages Posted: 17 Jan 2015
Date Written: November 10, 2014
This is an Australian first: a bottom-up exploration of the range of philosophies that have been applied in generating retirement income, broken down into eight examples. What can be seen is that the eight examples sit on a spectrum from what we call 'safety-first' at one end to entirely 'probability-based' at the other end.
Keywords: Retirement income, safe withdrawal rate, probability-based, safety-first, volatility, annuity, risk, growth assets, equities, longevity risk
JEL Classification: D81, G11, J26, O16
Suggested Citation: Suggested Citation
Pfau, Wade D. and Cooper, Jeremy, The Yin and Yang of Retirement Income Philosophies (November 10, 2014). Available at SSRN: https://ssrn.com/abstract=2548114 or http://dx.doi.org/10.2139/ssrn.2548114