Normative analyses of household financial decisions typically assume parameters of the household utility function. Some general issues on parameter assumptions for normative analysis are discussed in this study. We review selected normative household analyses appearing in finance and economics...

This paper assesses the impact of different quantitative approaches to regulate investment risk on the retirement income stemming from defined contribution (DC) pension plans. It looks at how such regulations affect the spectrum of investment policies available and, through this channel, how...

This report analyzes data on a group of consistent Roth IRA investors — those holding accounts with the same financial services provider at the end of each year from 2007 through 2014 — drawn from The IRA Investor Database to gain insight into how Roth IRA investors fared during and after...

This paper investigates individuals' investment behaviour in their retirement savings surrounding milestone birthday ages. Age is expected to play a key role in influencing investment choices, primarily through the risk of the investment strategy reflected in the asset allocation. Less clear is...

Using data from year-end 2007 through year-end 2014, this report analyzes data on traditional IRA investors drawn from The IRA Investor Database to gain insight into how traditional IRA investors fared during and after the financial crisis. After setting the scene in terms of financial...

This paper presents evidence that incorporating costly attention, modelled with rational inattention, might solves three well-established puzzles in the retirement literature. The first puzzle is that, given incentives, the extent of bunching of labour market exits at legislated state pension...

Each year, the Investment Company Institute (ICI) conducts a telephone survey of US households to track households’ ownership of mutual funds and to gather information on their demographic and financial characteristics. The most recent survey was conducted from May to June 2020 and was based...

Many middle-income workers save for retirement through 401(k) plans. This study addresses the concern that low account balances of older workers may indicate that these vehicles are not sufficient to insure adequate retirement savings. In particular, the study shows that workers are not...

Using data from year-end 2007 through year-end 2016, this report analyzes data on traditional IRA investors drawn from The IRA Investor Database to gain insight into how traditional IRA investors fared during and after the financial crisis. After setting the scene in terms of financial...

This report analyzes data on a group of consistent Roth IRA investors — those holding accounts with the same financial services provider at the end of each year from 2007 through 2016 — drawn from The IRA Investor Database to gain insight into how Roth IRA investors fared during and after...