Calculator
Upcoming SlideShare
Loading in...5
×

Like this? Share it with your network

Share
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
    Be the first to like this
No Downloads

Views

Total Views
287
On Slideshare
287
From Embeds
0
Number of Embeds
0

Actions

Shares
Downloads
1
Comments
0
Likes
0

Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
    No notes for slide

Transcript

  • 1. GWL Segregated Fund Guarantee Calculator Yuan Xiu June 15 th , 2009
  • 2. Agenda
    • Overview of calculator
    • Capabilities
    • Challenges
    • Outlook
    • Questions?
  • 3. Overview
    • Calculate maturity and death benefit guarantee for both inforce and terminated segregated fund policies,
      • Basic policies
      • Policies with enhanced rider
    • Main focus for today will be the enhanced guarantee calculator
  • 4. Capabilities – POL Info.
    • Obtain policy information and transaction histories with the click of a button
      • < Demonstration >
  • 5. Capabilities – Transactions
  • 6. Capabilities – Transactions
    • Loop through transactions and process each transaction based on the type of transaction it is
      • Deposit
      • Transfer
      • Withdrawal
      • Fee
  • 7. Capabilities – Deposit
    • Determine the deposit year of the transaction
    • Increase the fund units by the transaction units
    • Increase the guarantee amount of the deposit year by the transaction amount
    48.928959 14,820.22 DEP FD 25/04/2005 MODPORT Amount Type Date
  • 8. Capabilities – Transfer
    • Determine the deposit year of the transaction
    • Increase “Fund To” units and decrease “Fund From” units by transaction units
    • Transfer does not affect guarantee amount
    -49.185555 52.345043 4,000.34 XFER FD 25/02/2007 BALPORT MODPORT Amount Type Date
  • 9. Capabilities – Withdrawal
    • Use FIFO for withdrawing units
    • Guarantee amount of the deposit year(s) affected is reduced proportionally
    • Handle multiple withdrawals on the same date and single withdrawal from multiple deposit years
    -43.395899 13,750.00 WITH FD 10/02/2006 MODPORT Amount Type Date
  • 10. Capabilities – Fee
    • Use FIFO
    • Fee does not affect guarantee amount
    -0.020389 6.23 PREM FD 25/05/2005 MODPORT Amount Type Date
  • 11. Capabilities – Reset
    • Check for renewal year before each transaction
    • If necessary, apply reset (MV > Guarantee Amount) to Deposit Year 1
  • 12. Capabilities – Death Benefit Grading
    • Determine graded death benefit guarantee before each transaction
    • If the transaction is a deposit, increase death benefit guarantee by the graded transaction amount
    • < Transaction Process Demonstration >
  • 13. Challenges
    • Seeing the “ entire ” picture
      • Building calculator is like putting together a huge puzzle
    • Translating ideas to codes
      • Eg. Graded death benefit
  • 14. Example
    • Determine the year of the transaction
    • If year is less or equal to 10 then,
    • Loop through deposit year 1 to year
    • Store guarantee amount for each deposit year into a column vector
    • If ( year – deposit year) <= 5
    • Death benefit guarantee (deposit year) = guarantee amount (deposit year) * [0.75 + ( year – deposit year)*0.05]
    • Otherwise, death benefit guarantee (deposit year) = guarantee amount (deposit year)
    • Total death benefit guarantee = sum of death benefit guarantee for each deposit year
    • If year is greater than 10 then …
  • 15. Outlook
    • Obtain fund unit values associated with each policy through a query
    • Finish Top-Up logic for renewal year
    • Simplify the main template to make it more user-friendly
    • Testing, testing, and more testing!
    • Documentation
  • 16. Questions? Thank you!