TY - JOUR T1 - The Trimmed Bootstrap: <em>An Empirical Simulation Technique for Pension Finance Researchers</em> JF - The Journal of Retirement SP - 77 LP - 95 DO - 10.3905/jor.2017.4.3.077 VL - 4 IS - 3 AU - Brett Doran AU - Graham Bornholt Y1 - 2017/01/31 UR - https://pm-research.com/content/4/3/77.abstract N2 - Different variations of the Efron [1979] bootstrap have become popular tools for simulating retirement outcomes. However, to date, no study has examined their accuracy when they are used to simulate retirement outcomes. We test the accuracy of the competing bootstrap methods through a series of out-of-sample tests. The analysis shows that these bootstraps can be wildly inaccurate. Our concerns with existing methods lead us to propose a new bootstrap: the “trimmed” bootstrap. Its significantly greater accuracy will benefit policymakers, advisers, and fund members.TOPICS: Retirement, simulations ER -