This paper deals with demographic risk in private pay-as-you-go pension systems. In particular, it analyzes the financial sustainability of the fund in a stochastic framework. We present a model to investigate the dynamics of these types of pension funds which operate according to the...

The aim of this paper is to analyze private pension systems financed by pay-as-you-go, with a focus on the pension funds of the Italian Professional Orders. The research centres on the financial and demographic risks and on their impact on the future evolution of the fund. It presents a model to...

This chapter addresses the issue of the financial sustainability of public PAYG pension schemes. Criticalities and, in particular, demographic risks affecting those schemes have been analysed. A possible solution to reduce demographic risk impact is presented, that is the introduction of a...

The aim of this paper is to analyse the sustainability of the Italian pension system and the impact of recent reform, the so called “quota 100”. Quota 100 allows early exit from the world of work for all those who have at least 38 years of contributions and 62 years of age. All without...

Demographic and economic evolution show how many public pension systems in the last decades have been facing the problem of financial sustainability. Usually financed by PAYG mechanism, they need constant balance between the amount of contributions and payments at all times. In the medium run...

The adoption of pension funds in the Italian social security policy has increased the offer of several investment funds. Workers have to decide what kind of investment to perform, the funds having a different composition and a subsequently different degree of risk. In this paper we propose the...