Description: Real estate practitioners are increasingly using “economic location,” rather than “geographic location,” as their primary analytic tool. That trend has gained substantial support among academics and practitioners who believe “economic location” is a more effective basis on which to build the analysis of risk in real estate portfolios.

Description: Social security systems around the world have suffered from inadequate funding, leading to current or potential deficits and ultimate insolvency. This article discusses that this problem is a direct actuarial consequence of the inadequate funding that created the problem in the first place. It is simply an open group valuation problem.

Description: Discusses the market, demographic, and macroeconomic factors that affect actuaries' choices for the assumptions they use in the pricing and valuation of many insurance products.

Description: This article discusses the new Investment Section. The initial targeted areas are expected to be: Modeling, Corporate Finance, Capital Management and Investment Instruments.

Description: Mergers and acquisitions 'M&A' are major forces driving change in the life insurance industry. This editorial discusses how the articles in this newsletter address the M&A phenomenon.

Description: The article discusses indexed-linked securities in the United Kingdom and the relationship between the prices of index-linked securities and interest rates, common stock prices and a combination of these.

Description: Article from The Actuary, January 1971 – volume 5 - Issue 1 uses examples to measure the effect of reinvesting funds at a rate different from that at which the investment is made based on the rapidly changing interest rates.

Description: In this article, the author provides an extension to 1978 of his Index of Common Stock Values that appeared in the Transactions of Society of Actuaries, XXII, 197. He has also calculated the Compound Annual Growth Rates of Average Common Stock Values for the entire 107-year period.

Description: The final actuarial work of the renowned Briton, Frank Redington. was a series of essays called “The Flock and the Sheep.” They were reviewed here some months ago by Kenneth Stewart. These articles describe what could be characterized as the problem of incidence of earnings on investments inequities. While equities produce the greatest returns over a long time, they tend to have lower returns than debt for the first years of the investment.

Description: This article describes the Investment Year Method for allocation of general portfolio investment income and demonstrates the equivalence of a fixed index or declining index system.