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Knowledge Base » Risk-Neutral Pricing of With-Profits Policies in the Presence of Contingent Bonuses

Risk-Neutral Pricing of With-Profits Policies in the Presence of Contingent Bonuses

Document ID: 2002-769 (previously 2002-003)
Published on: 1st March 2002
Author: Craig Turnbull

This note sets out a simple example to illustrate that the application of real-world decision rules and dynamic bonus policies are equally valid when used in a risk neutral valuation.

• Model
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