1. A computer-implemented method for establishing a plurality of building block mortality derivatives that can be used in multiple combinations to hedge against mortality risk or longevity risk, comprising: establishing a plurality of age ranges and storing the plurality of age ranges in a computer memory; establishing, using a programmed processor, a mortality rate related index to be applied to the building block derivatives; establishing, using the programmed processor, a payout based on the performance of the mortality rate related index; and creating the plurality of building block mortality derivatives, each building block mortality derivative hedging risk for a specified age range; wherein the payout for each building block mortality derivative correlates to the performance of the mortality rate related index; thereby providing a plurality of age-segmented mortality derivatives to hedge risk.