the means to protect their retirement income against inflation without the governments directly issuing inflation …-protected bonds. While inflation swaps are a well-known means by which to attain this, we show how an inflation index …-replication strategy is also feasible. With this ability to provide inflation-adjusted returns, governments, pension funds, and other …

The only retirement contract that both insures against longevity risk and hedges against inflation is a life annuity … difference in initial payments as the “cost of insuring against inflation.” We show that the correct framing of the analysis is … by exposing the annuitant to inflation risk. We explain the flaws in comparing initial payments of the two types of …

contracts are the only asset whose returns are positively correlated with inflation. By adding them to the portfolios of stocks …