What is Longevity Swaps?
With the change in longevity, the pension fund buys protection against the expected risk of excessive longevity (and the fund has to pay more than expected) in case of commitment during the switch. When joining a long-term grant, retirement plans often face an insurance company or bank. On the other hand, insurance companies and banks are trying to transfer long-term risk to the insurance market through the same long-term exchange. Both sides of this exchange share common and conflicting concerns. Life insurers fear that people will die soon, while pension funds fear that people will live longer.
Literal Meanings of Longevity Swaps
Meanings of Longevity:
Sentences of Longevity
Women live longer than men
Synonyms of Longevity
permanence, continuance, lasting power, continuity, longevity, durability, continuation
Meanings of Swaps:
Take part in the exchange.
The process of exchanging one thing for another.
Sentences of Swaps
We exchange our phone numbers
Synonyms of Swaps
exchange, trade-off, substitution, trade, reciprocate, bandy, barter, interchange, pass back and forth, switch, give and take