Description: This paper improves Chapter 2 of 'Mathematics of Pension Funding' - Part 7 Study Notes. Key formulas are derived in a more general fashion than in the Study Notes.

Description: This paper is about a concept known as the 'rate of transmission of information' or, more simply, as the 'information rate.' The authors establish the equivalence of arbitrage-free economic systems and a generalized betting model in such a way that the interpretation of the information rate, as the maximum rate of increase of an investor's capital, is preserved. As a corollary to this result, they show that the difference in the information rate between models represents the achievable incremental return associated with the superior predictor model. From Actuarial Research Clearing House 1993, Vol. 3.

Description: Presents a theoretical basis for a computerized methodology for estimating biological age - a measure of time to death.