Determining equivalent charges on flow and balance in individual account pension systems

Luis Chávez-Bedoya

In this article, we determine a charge on balance that is equivalent to a certain fixed charge on flow for a particular utility-maximizer affiliate participating in a defined-contribution pension fund under the system of individual accounts. We also prove, under market completeness, that the equivalent charge on balance depends only on the current level of the charge on flow, the length of the accumulation period and the risk free rate of return.

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Alternative title:	Determinación de exacciones de efecto equivalente en el flujo y el balance de los sistemas de pensiones de cuentas individuales
Year of publication:	June 2016
Authors:	Chávez-Bedoya, Luis
Subject:	Pension fund \| Defined benefit \| Individual account \| Charge on balance \| Charge on flow \| Pensionskasse \| Private Altersvorsorge \| Private retirement provision \| Rentenreform \| Pension reform \| Kapitaldeckungsverfahren \| Fully funded system \| Altersvorsorge \| Retirement provision \| Gebühr \| Charges \| Theorie \| Theory \| Portfolio-Management \| Portfolio selection

Type of publication:	Article
Type of publication (narrower categories):	Aufsatz in Zeitschrift ; Article in journal
Language:	English
Notes:	Zusammenfassung in spanischer Sprache
Other identifiers:	10.1016/j.jefas.2016.03.003 [DOI] hdl:10419/179770 [Handle]
Classification:	G23 - Pension Funds; Other Private Financial Institutions
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://www.econbiz.de/10011875074