System, Method, and Computer Program Product for Providing Stabilized Annuity Payments and Control of Investments in a Variable Annuity Patent Application
First Claim
1. A method of managing assets for stabilizing payment amounts in a series of anticipated periodic payments over a time period using a computer having a memory, the method comprising the steps of:
- storing information relating to said assets and said series of anticipated periodic payments in memory;
determining an initial value of said assets;
defining a first pool by allocating a portion of said assets to said first pool having a first value representing an initial present value of the anticipated periodic payments;
defining a second pool by allocating a portion of said assets to said second pool having a second value representing the initial value of said assets less said first value;
at periodic intervals over the time period;
determining a third value representing a subsequent value of the assets in said first pool; and
comparing said third value to a fourth value representing a present value of the remaining anticipated periodic payments; and
when said third value is less than said fourth value, reallocating a portion of said assets from said second pool to said first pool so that said first asset pool has a new value representing said fourth value.
3 Assignments
0 Petitions
Accused Products
Abstract
A system, method, and computer program product for providing stabilized annuity payments and control of investments in a variable annuity, the system comprising a processor, a memory, and a computer program stored in the memory. The computer program allocates the short and long term risks associated with an investment to the potential beneficiaries of the annuitant by controlling the allocation of assets between two investment pools. The annuitant pool is the pool on which annuity payments are based and the beneficiary pool contains assets that are provided to the beneficiaries upon the death of the annuitant. The beneficiary pool is used as a cushion to isolate the contents of the annuitant pool from fluctuations in value. The beneficiary pool is initially funded with sufficient assets to minimize the likelihood of its depletion under fairly conservative estimates of market conditions. If the underlying investments perform poorly, assets from the beneficiary pool are reallocated to the annuity pool in order to maintain the existing annuity payment. Thus, for as long as the beneficiary pool is not depleted, the annuity payment is stabilized and will not decrease. If the underlying investments perform favorably, increasing in value, excess amounts above a set trigger level amount will be periodically transferred to the annuitant pool. As these gains are transferred to the annuity pool, the annuity payment amounts will be increased accordingly.
41 Citations
47 Claims
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1. A method of managing assets for stabilizing payment amounts in a series of anticipated periodic payments over a time period using a computer having a memory, the method comprising the steps of:
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storing information relating to said assets and said series of anticipated periodic payments in memory; determining an initial value of said assets; defining a first pool by allocating a portion of said assets to said first pool having a first value representing an initial present value of the anticipated periodic payments; defining a second pool by allocating a portion of said assets to said second pool having a second value representing the initial value of said assets less said first value; at periodic intervals over the time period; determining a third value representing a subsequent value of the assets in said first pool; and comparing said third value to a fourth value representing a present value of the remaining anticipated periodic payments; and when said third value is less than said fourth value, reallocating a portion of said assets from said second pool to said first pool so that said first asset pool has a new value representing said fourth value. - View Dependent Claims (2, 3, 4, 5, 6, 7, 9, 10, 11, 12, 14)
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8. (canceled)
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13. (canceled)
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15. A computer program embodied on a computer readable medium for enabling a computer system to manage assets for stabilizing payment amounts in a series of anticipated periodic payments over a time period, the computer program comprising:
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a computer code segment which stores information relating to said assets and said series of anticipated periodic payments in memory; a computer code segment which determines the current value of said assets; a computer code segment which defines a first pool by allocating a portion of said assets to said first pool having a first value representing a present value of the anticipated periodic payments; a computer code segment which defines a second pool by allocating a portion of said assets to said second pool having a second value representing the current value of said assets less said first value; a computer code segment which determines a third value representing the current value of the assets in said first pool at periodic intervals over the time period; a computer code segment which compares said third value to a fourth value representing a present value of the remaining anticipated periodic payments; and a computer code segment which, when said third value is less than said fourth value, reallocates a portion of said assets from said second pool to said first pool so that said first asset pool has a current value representing said fourth value. - View Dependent Claims (16, 17, 18, 19, 21, 22)
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20. The computer program of 15, further comprising a computer code segment which modifies said first value in response to a reduction in the number of anticipated periodic payments.
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23. A computer system for managing assets for stabilizing payment amounts in a series of anticipated periodic payments over a time period, the computer system comprising:
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a memory storing information relating to said assets and said series of anticipated periodic payments in memory; a processor programmed to; determine the current value of said assets; define a first pool by allocating a portion of said assets to said first pool having a first value representing a present value of the anticipated periodic payments; define a second pool by allocating a portion of said assets to said second pool having a second value representing the current value of said assets less said first value; determine a third value representing the current value of the assets in said first pool at periodic intervals over the time period; compare said third value to a fourth value representing a present value of the remaining anticipated periodic payments; and when said third value is less than said fourth value, reallocate a portion of said assets from said second pool to said first pool so that said first asset pool has a current value representing said fourth value. - View Dependent Claims (24, 25, 26, 27, 28, 29, 30, 31, 32)
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33. A method for managing assets for stabilizing payment amounts in a series of anticipated periodic payments over a time period, the method comprising the steps of:
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allocating the assets into a first pool and a second pool; establishing a first payment amount; determining a first trigger value; assessing a current value of the assets; and reallocating assets from said second pool to said first pool to increase the first payment amount to a second payment amount in response to said current value being greater than said first trigger value. - View Dependent Claims (34, 35, 36, 37, 38, 39, 41, 42, 43, 44, 46, 47)
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40. (canceled)
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45. (canceled)
Specification