Market Overview

Groundbreaking Research Presented at Fasano Longevity Conference


Drs. Jochen Russ and Daniel Bauer presented groundbreaking original research on the measurement of Actual to Expected accuracy to investors and industry participants attending the 9th Annual Fasano Life Settlement & Longevity Conference. Russ and Bauer's new methodology provides an unbiased measure of the average difference between the number of Actual versus Expected months of survival to date. Their methodology (Difference in Curtate Life Expectancy, or DCLE) was tested against the Fasano Associates database of over 50,000 unique lives and generated a difference between Actual and Expected of only 0.76 months for the entire Fasano database. Said Mike Fasano, President of Fasano Associates: “The results are very encouraging. I think we will need more time to fully interpret; but the real story here is that the academic community is focused on topics affecting the life settlement industry. Over time, this will add to the industry's credibility and help us all to do a better job.”

The Fasano Conference showcased several presentations of original research, including an analysis by Dr. Kent Smetters of the Wharton School (Narrow Framing and Life Insurance) that demonstrated how many Life Insurance companies depend on policy lapsing for their profits and a presentation by one of Fasano's Medical Directors, Dr. Barbara Senatore, on Mortality Benchmarks for Cerebrovascular Disease.

Fasano added: “We have found that investors appreciate thoughtful presentations, and we packed our conference with substance this year.” Jeff Mulholland of Societe Generale added: “I have come to just about every Fasano Conference and, without question, it is the most substantive and the best value in the longevity space.”

The Fasano Conference included a presentation by Scott Chron of Vida Capital on the Advantages of Investor/Provider Vertical Integration and an analysis by Tom Weinberger of Strook & Strook & Lavan on the Future of Life Settlement Litigation. In addition, Olivier Dauget of Societe Generale unveiled the international bank's new longevity index in a presentation on the Use of Indices and Other Synthetic Structures.

The Conference ended with an Analysis of the Upcoming Presidential Elections by award winning political analyst, Howard Fineman.

DVDs of the Fasano Conference will be available to those who were unable to attend. Information on purchase of the Conference DVD can be found at Next year's Conference is scheduled for Monday, October 28, 2013.

About Fasano Associates:

Fasano Associates is a leading underwriting consulting firm serving the life, health and life settlement industries.

Fasano Associates
Mike Fasano, 202-457-8188

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