In a defined contribution pension system, one of the main risks faced by members refers to the investment of funds. In this context, we discuss which is the most suitable risk measurement for the affiliates to the pension system. Different life-cycle investment strategies are evaluated under...

We contribute to the literature by developing a model that studies the incentives of individuals to engage in market timing when their ability to trade is unknown. We characterize the optimal investment decision process and provide empirical predictions. Using administrative data from the...