# Dealers tempt capital markets with longevity risk transfer evolution

## Life swap

It is easy to see why dealers might be excited about the longevity risk transfer market. Estimates put the current total global amount of annuity- and pensions-related longevity risk exposure somewhere between $15 trillion (£9 trillion) and$25 trillion. Furthermore, an extension of life expectancy by a single year will add about 3–4% to the present value of a typical defined benefit pension fund’s liabilities, or $450 billion to$1 trillion to total exposures, according to

#### 7 days in 60 seconds

###### XVA, variation margin and the Mifir deadline

The week on Risk.net, February 17-23 2017