The surge in international asset trade since the early 1990s has lead to renewed interest in models with international portfolio choice, an aspect that was largely cast aside when the ad-hoc portfolio balance models of the 1970s were replaced bymodels of optimizing agents. We develop the...

This paper provides a new formal framework to value final-salary defined-benefit pension plans. The valuation framework proposed builds on the familiar idea of discounting future cash flows. Hence, the first step of the valuation process is to find a closed-form solution of the pension fund's...