This thesis has researched the application of economic capital for insurance firms. Whilst pension funds are basically similar to life insurance firms, their practical operation differs. For instance, pension funds are much more dependent on public policy choices and political developments. Also, pension funds have possibilities to limit indexing when developments turn out badly. This is an important steering parameter. These aspects make pension funds just different from insurance firms. However, Siegelaer is convinced that the concepts of economic capital and RAROC will play an important role for pension funds in the near future.
|Award date||6 Jul 2006|
|Place of Publication||Amsterdam|
|Publication status||Published - 6 Jul 2006|