This paper studies the decision-making dynamics of stock market-excluded retirees, focusing on the optimal allocation of retirement wealth among consumption, risk-free assets, and single premium immediate annuities. The analysis centers on two pivotal factors: insurer interest rates and longevity risk. The study introduces new dimensions by highlighting the modeled financial environment’s optimal investment–consumption–annuitization profiles under different market scenarios. Additionally, insights on the low demand for life annuities are offered, attributing a significant part to the impact of upfront fees. Employing a life-cycle consumption framework, the paper advocates adopting a commission-free model, enabling registered investment advisors to market annuities with periodic assets under management fees to revitalize annuity demand and bolster retirement security.

中文翻译：

---

排除股票市场外的退休人员的最佳配置：利率、长寿风险和预付费用的影响


本文研究了股票市场排除的退休人员的决策动态，重点关注退休财富在消费、无风险资产和单期保费即期年金之间的最佳配置。分析集中在两个关键因素上：保险公司利率和长寿风险。该研究通过强调建模金融环境在不同市场情景下的最佳投资-消费-年金化概况，引入了新的维度。此外，还提供了对终身年金需求低的见解，这在很大程度上归因于预付费用的影响。本文采用生命周期消费框架，倡导采用免佣金模式，使注册投资顾问能够以定期管理费下的资产推销年金，以振兴年金需求并增强退休保障。