We study how risk management through hedging impacts firms and competition among firms in the life insurance industry … face costly external finance increase hedging after staggered state-level financial reform that reduces the costs of … hedging. Post reform impacted firms have lower risk and fewer negative income shocks. Product market competition is also …

risk products to be sold as part of a product portfolio. Natural hedging, or the offsetting of risks in life insurance and … natural hedging taking into account relative profit loadings on products. The benefits of offering longevity products, in …

, we address these questions from an operational risk management perspective. Since the well-known and widely used delta-hedging … ratio is not optimal, one of the most important problem raised is the hedging issue. The research suggests many theoretical … gap by suggesting a unified method for fast pricing and hedging the market risk embedded in ratchet guarantees offered in …

successful in reducing capital requirements. Indeed the proposed local hedging scheme benefits from a higher exposure to equity …

way: it needs to be hedged using a suitable hedging instrument …

I study dynamic hedging for variable annuities under basis risk. Basis risk, which arises from the imperfect … correlation between the underlying fund and the proxy asset used for hedging, has a highly negative impact on the hedging … performance. I investigate whether the choice of a suitable hedging strategy can help to reduce the risk for the insurance company …

guarantees. The hedging of these guarantees is crucial for VA providers, but is complicated by basis risk, i.e. the discrepancy … in returns between the underlying mutual fund and suitable hedging instruments. Enhancing fund mapping methods with data …