TY - JOUR T1 - More Social Security, Not Less JF - The Journal of Portfolio Management SP - 115 LP - 123 DO - 10.3905/JPM.2008.35.1.115 VL - 35 IS - 1 AU - William N Goetzmann Y1 - 2008/10/31 UR - https://pm-research.com/content/35/1/115.abstract N2 - The feasibility of a government-sponsored insurance company that would be patterned after the government-sponsored mortgage agencies, and that would be authorized to sell government-insured wage-indexed retirement annuities, is explored. This enterprise would assume the current obligations and cash flows of the U.S. Social Security system in exchange for the exclusive right to sell additional insurance contracts, and may or may not choose to finance itself through the issuance of equity shares. The empirical analysis presented by the author focuses on the stochastic nature of the liabilities faced by such an agency and examines the optimal portfolio of assets required to hedge wage-indexed liabilities.TOPICS: Social security, portfolio theory, pension funds ER -