From the Back Cover
Where do all these numbers come from?
If you have spent any time at all planning for retirement, you have probably come across an assorted collection of numbers. Some of these numbers are very large, like how long you might live, or how much money you will need to retire comfortably. And, some of these numbers are very small, like the interest you are earning in the bank, or how long your money will last if the stock market takes a tumble at the wrong time. But, have you ever stopped and asked yourself: Where do all these numbers come from? Who created the underlying calculations? When were they discovered and how long have they been around? Do they have a proven track record? Well, you might be surprised to learn that the stories behind your numbers may be a lot more interesting than the numbers themselves.
For example, did you know that:
- The value of a pension was first discovered by a comet-chasing astronomer following his father's suspicious death and a plot to kill the King of England?
- The first calculation for how long your retirement nest egg will last was conceived over 800 years ago by an Italian merchant traveler best known for an obsession with rabbits?
- The most famous mathematical model of human mortality was formulated by an Englishman who wasn't allowed to attend university?
- Your stockbroker's very capitalistic plan to help you retire rich is based on an algorithm designed by the greatest Russian mathematician ever, who was a communist and Soviet hero?
Moshe Milevsky, bestselling author and internationally-renowned retirement quant, explains to the rest of us the work of seven scholars--summarized by seven equations--who shaped all modern retirement calculations. He tells the stories of Leonardo Fibonacci the Italian businessman; Benjamin Gompertz the gentleman actuary; Edmund Halley the astronomer; Irving Fisher the doomed stock picker; Paul Samuelson the economic guru; Solomon Huebner the insurance visionary, and Andrey Kolmogorov the Russian mathematical genius--all giants in their respective fields who collectively laid the foundations for modern retirement income planning.
With remarkable narratives that span several continents and 800 years of history, The 7 Most Important Equations for Your Retirement focuses on universal concepts and big-picture concerns, which help you first appreciate and then figure out how to retire while you can still enjoy your money.
Moshe A. Milevsky, Ph.D., is a professor at York University (Toronto). He has graduate degrees in finance and mathematics, and is a fellow of the Fields Institute for Research in Mathematical Sciences, where he is the executive director of the IFID Centre. He has written nine books, published over 60 peer-reviewed research studies and over 200 magazine articles--including a featured story in the Wall Street Journal and a profile in Money Magazine--on the topic of retirement income planning. He has delivered over 1,000 seminars, keynote presentations and training sessions to audiences all over the world. His popular writing earned him two National Magazine Awards (Canada). In 2009 he was given a lifetime achievement award from the U.S.-based Retirement Income Industry Association (RIIA). Moshe grew up in Latin America and the U.S., but currently lives in Toronto with his wife and four daughters.
