Description: 1994 SOA Spring Meeting, San Francisco. This session explored the product design, pricing, and investment management strategies to mitigate the risk of long term minimum interest rates in a low interest rate environment.

Description: Summary of research project designed to document method to credit interest rates to account value based products. The investment year method (IYM) can theoretically align with investment strategy and be fair to policyholders. These products were designed in the 1980s with guaranteed nominal rates above what is currently accessible so most products credit the guaranteed rate. This paper documents how it could be resurrected during the next interest rate cycle.