Longevity Swaps

Longevity Swaps,

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

Longevity:

Meanings of Longevity:
  1. long life.

Sentences of Longevity
  1. Women live longer than men

Synonyms of Longevity

permanence, continuance, lasting power, continuity, longevity, durability, continuation

Swaps:

Meanings of Swaps:
  1. Take part in the exchange.

  2. The process of exchanging one thing for another.

Sentences of Swaps
  1. We exchange our phone numbers

  2. Let's change

Synonyms of Swaps

exchange, trade-off, substitution, trade, reciprocate, bandy, barter, interchange, pass back and forth, switch, give and take