Hidden Group Time Profiles: Heterogeneous Drawdown Behaviours in Retirement

• Tác giả: Anthony Asher, Igor Balnozan, Denzil G Fiebig, Robert Kohn, Scott A Sisson
• Ngôn ngữ: eng
• Ký hiệu phân loại: 646.79 Guides for persons in late adulthood
• Thông tin xuất bản: 2020
• Bộ sưu tập: Metadata
• ID: 165132

Tóm tắt

This article investigates retirement decumulation behaviours using the Grouped Fixed-Effects (GFE) estimator applied to Australian panel data on drawdowns from phased withdrawal retirement income products. Behaviours exhibited by the distinct latent groups identified suggest that retirees may adopt simple heuristics determining how they draw down their accumulated wealth. Two extensions to the original GFE methodology are proposed: a latent group label-matching procedure which broadens bootstrap inference to include the time profile estimates, and a modified estimation procedure for models with time-invariant additive fixed effects estimated using unbalanced data.