Longevity: Opportunity or flop?

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Andrew Reid, Deutsche Bank

Banks have never been particularly shy about pushing into new, potentially lucrative business lines – and the longevity swaps market looks a lot juicier than many others. Life expectancy has been rapidly rising in the developed world, leading many pension providers to re-evaluate their mortality assumptions. The stakes are high – even a relatively small error can have massive consequences. According to one estimate, everyone getting it wrong by one year could end up costing betwee