This app – called SIMCO (SIMulation of COnsumption) – simulates the maximum monthly spending capacity for an individual aged 60 and above, based on his/her pension benefit, financial and real assets and his/her cohort's life expectancy. The computation also takes into account the amount one could bequeath. If the consumer is homeowner, the app simulates three possible scenarios, displaying the spending capacity that he/she could reach by making "liquid" (part of) his/her housing wealth without losing the ownership, that is through:
- Bare ownership sale
- Stipulation of a reverse mortgage (RV) with two options, based, in a simplified way, on two products available on the Italian market
This app is a financial education tool with no advertising purposes. It is meant to show, in a very simplified way, how the spending capacity can be increased by exploiting a share of the "illiquid" wealth (without prejudicing the possibility of leaving a bequest).
The app is based on an idea by Mattia Beitone, who wrote his final dissertation on the topic.
The app will be available soon.