RE: [lmi] An experimental change for withdrawal solves

[Murphy, Kimberly]

Greg Chicares wrote:
> [...]
> > Perhaps the approach used for
> > loans could be made to serve for withdrawals, too.
> 
> Implemented in cvs on 20090209T1605Z.

Consider:  
  F | N | I
  solve for withdrawal - from retirement to maturity,
                         target $0 at maturity
  generic product
  $100,000 specified amount
  individual payment - 1285 retirement; 0
  default values for all other data

The system returns an illustration with no withdrawals. 
However, I did not receive any message to indicate why.

Using 'idiosyncrasyT', I see these results in 
'trace.txt':

   iteration 21 iterand 99.95 value 25343.43
   iteration 22 iterand 100 value -99333.0900000001
   iteration 23 iterand 99.96 value 25343.43
   iteration 24 iterand 99.98 value 25343.43
   iteration 25 iterand 99.99 value 25343.43

It appears that once the system finds the solution falls 
below the product's minimum withdrawal amount, the system 
stops future iterations. The system cannot state "Solution 
not found, using zero instead" because it does find a 
solution, just one that isn't optimal. IMO, the system 
should return some message similar to "Solution found 
violates minimum withdrawal, using zero instead".

If I change the premium just a little:
1423 retirement; 0

I receive: "Solution not found, using zero instead".

---------------------------------------------------------
This e-mail transmission may contain information that is 
proprietary, privileged and/or confidential and is
intended exclusively for the person(s) to whom it is
addressed. Any use, copying, retention or disclosure by
any person other than the intended recipient or the
intended recipient's designees is strictly prohibited. If
you are not the intended recipient or their designee,
please notify the sender immediately by return e-mail and
delete all copies.
---------------------------------------------------------