Annuity Pricing Update: Part 2
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Document ID: 2002-758 (previously 2002/001)
Published on: 1st March 2002
Author: Craig Turnbull
The note compares the real annual equity and bond returns with the annual inflation rate from 1901 to 2003. Rising inflation tends to reduce both equity and bond returns although the analysis suggests that real bond returns are more sensitive to inflation then equities.
