Patent ID: 7590583

Claim:
A computer-based method for determining a set of equity-indexed crediting parameters E for a lifetime-income equity-indexed deposit product provided to a set of owners having a set of dates of birth B, a rider charge C, a lifetime income percentage scale L, a set of profitability requirements R, a principal amount P, and an account value A, comprising the steps of: establishing the values of C, L, R, P, A and E at a time when said deposit product is purchased; generating a set of yield curve and equity index scenarios consistent with valuation parameters; setting a trial value E i for E for said product; calculating the observed distribution D of profitability using said scenarios; comparing D with R; computing a revised trial value E i+1 for E for said product; and, storing the revised trial value, where said steps of establishing, generating, setting, calculating, comparing, computing, and storing are performed by at least one general purpose computer specially programmed to perform said steps of establishing, generating, setting, calculating, comparing, and computing.