Withdrawal Guarantees - A Semi-Static Hedging Approach.

link: http://arxiv.org/abs/1202.0175
Abstract

Withdrawal guarantees ensure the periodical deduction of a constant
dollar-amount from a fund investment for a fixed number of periods. If the fund
depletes before the last withdrawal, the guarantor has to finance the
outstanding withdrawals. We derive an explicit semi-static hedging strategy
which leads to closed form solutions for the guarantee value.