When I run a Historical analysis, a given Deterministic Savings curve (Baseline or Current) falls in a different percentile range depending on whether the results are displayed in Future vs. Today's dollars. Now maybe there's something I'm not understanding about how the percentile ranges are generated, but it seems to me that both the percentiles and the curves should scale equivalently.
ok, so very helpful feedback from the Pralana staff (not sure whom) has clarified matters. The issue is that the (sequence of) inflation rates applied to the scenario and to the various historical runs (to generate the percentiles) are different, so there's no common set of discount rates to convert Future $s to Today's $s. Currently, as I understand it, Pralana discounts the scenario's results by its own inflation rate to generate the Saving curves (which is why they're the same as when displayed elsewhere), but discounts each historical run by its specific sequence of inflation rates when computing the percentiles. Seems reasonable to me, but it means that, for my purposes, the Historical analysis chart in Future $s is a better reflection of where my scenario falls relative to historical results.
Who would'a guessed? Thanks for posting.
