Dave Kester said:
On 4/15/2009 8:55:23 AM
To determine whether an ROP product is in compliance with Actuarial Guideline 45 (AG CCC), you must pass the smoothness test. The key is to determine a set of nonforfeiture factors (NFF) that create basic cash values that will be "smooth". The definition for "smooth" is that the basic cash values will be near the actual cash values within a given tolerance. The process for determining the NFF's is an iterative process that can be very computer intensive. The Actuarial Auditor has been designed specifically for this iterative process so that it will determine the NFF's if they exist.