Boylan tells the audience that life annuities are a convenient investment to deal with longevity risk. He again uses the twins, Jason and Janice, as an example, in discussing some of the characteristics of these annuities. Assuming that they were both to invest the same amount into this product, he makes the following statements:
Statement 1 If both of them were to purchase the annuity immediately, they would both receive the same annual income yield.
Statement 2 If Jason were to purchase the annuity in 10 years rather than immediately, his annual income yield would be higher at that time than now.
Statement 3 If Janice were to add a 10-yearperiod certain option to her annuity, her income yield would be reduced when compared to not having the option, but it would be
reduced by greater amounts the longer she waits to purchase the annuity.
Aorrect Answer: B
Statement 1 is incorrect: since they are both the same age, Jason will receive a higher income yield than his sister as females have a longer average life expectancy than males and therefore a longer expected payout period.
考点：个人IPS-Risk Management for Individuals-Annuities
1、为什么statement 1是错的？我理解女性活的比男性久，但是income yield分子是PMT啊，那么女性的PMT应该更高带动income yield更高，但是答案说的是男性income yield更高。
2、有一个option应该要付更多的保费，income yield应该更高啊？但是题目说的是reduced是对的，这个是为什么？
