App 14n: Fair conversion rate (real) from Gompertz–Makeham
Annuitant age
Age (years)
65
Rates
Interest rate r
3%
Inflation i
1%
Mortality (Gompertz–Makeham)
Accidental λ
0
Modal age m
82.3
Dispersion b
11.4
Compute
Survival probability
Fair conversion rate (real):
7.45%
Annuity factor (real):
13.42
Waiting…