Nobel Laureate Robert Merton’s New Retirement Plan: Take ‘SeLFIES’
Nobel laureate Robert Merton has come with an alternate retirement plan that will help reduce dependency on government schemes.
Nobel prize-winning economist Robert Merton has come with an alternate retirement plan that will help reduce dependency on government schemes.
Speaking at the Dr. RH Patil Memorial Lecture at the National Stock Exchange, Merton pitched the idea of ‘SeLFIES’, or Standard of Living indexed, Forward-starting, Income-only Securities bonds that are linked to infrastructure projects. These bonds will only start generating returns after a person retires and will be indexed to inflation at the time of retirement.
According to Merton, the ‘SeLFIES’ bonds will not only help people plan their retirement better but also generate the much-needed cashflow for infrastructure projects.
Watch Professor Merton’s entire speech here: