Jason S. Scott

TL;DR: In this paper, return scenarios for optimized portfolio allocations are simulated interactively to facilitate financial product selection, and return scenarios are generated based upon estimated future scenarios of one or more economic factors.

TL;DR: In this article, the authors present a single pricing module that models both fixed-income securities and equity securities into the future in an arbitrage-free model, which is based on common input state variables and does not allow arbitrage conditions between the fixed income securities and the equity securities.

TL;DR: In this paper, the authors apply the lessons of behavioral finance to understand how well-documented anomalies in decision-making under risk may affect the annuity purchase decision, and demonstrate how mental accounting -where an annuity is evaluated as a gamble distinct from the retirement spending and investment plan -can be a powerful reason for the unpopularity of annuities.

TL;DR: In this paper, the authors explain why most retirees do not purchase longevity insurance in the form of lifetime annuities is a long-standing puzzle, and propose that mental accounting and loss aversion can explain the unpopularity of annuity by framing them as risky gambles where potential losses loom larger than potential gains.

TL;DR: The 4% rule is the advice many retirees follow for managing spending and investing as discussed by the authors, and it has been shown that even if retirees were to recoup these costs, their spending plan remains wasteful since many retirees actually prefer a different, cheaper spending plan.