Investigating Trend in Defined Pension Contribution Based on Trend Projection Model

Abstract

Forecast is simply predicting the future based on current information. Pension forecast help to predict the future with respect to some expected or proposed changes. This short note is designed to investigate trend in defined contribution (DC)/ defined benefit (DB) with regard to age falsification. The causes and effects of trends are investigated using trend projection model. The analysis is based on time series data to build and validate the model. SAS/IML software is used to program the projection model and the MATLAB software is used for the graphical analysis. Statistical summary and margin of error are computed to advice management on strategic future plans and expenditure. The duty of the analyst is to advice management based on the output of the simulation.