NMAK18007U Pension Systems

At the end of the course the student is expected to have:

Knowledge: An understanding of the defining design characteristics of different pension systems, including funded vs pay-as-you-go systems, individual vs collective systems, key sources of risk, profit sharing mechanisms, and smoothing and buffer techniques

Skills: The ability to model and analyze pension systems at an aggregate scale based on (simple) models for capital markets, longevity and demographics implemented in R. The ability to present a qualitative and quantitative assessment of a given pension system.

Competences: Understanding and relating concepts of pension system design, such as funded vs pay-as-you-go systems, individual vs collective systems, different levels of risk sharing, e.g. financial, biometric and inter-generational. Formulating and implementing (simple) models for capital markets, longevity and demographics in R. Simulating, analyzing and comparing different pension system designs. Specific knowledge of selected global pension systems, e.g. from Denmark, Sweden, Holland and North America.