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Conditional shortfall risk of lifetime consumption

  • Tom Anichini,
  • Jim Grabot,
  • Sherrie Grabot,
  • Ming Yee Wang,
  • Ganlin Xu,
  • Louis van Zijl

摘要

This paper explores options to generate Markowitz efficient frontiers, from which a suitable portfolio is recommended to retirees. The risk measures of these options are the standard deviations of asset returns, variance of normalized present values of discounted consumption, shortfall risk, and conditional shortfall risk, or the combinations of them. We report the shortfall risk and conditional shortfall risk for all these efficient portfolios.