Actuarial Science and Risk Management presentation - Queen's ...
Actuarial Science and Risk Management presentation - Queen's ...
Actuarial Science and Risk Management presentation - Queen's ...
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BSC in <strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong><br />
<strong>Risk</strong> <strong>Management</strong>
BSC in <strong>Actuarial</strong><br />
<strong>Science</strong> <strong>and</strong> <strong>Risk</strong><br />
<strong>Management</strong><br />
• Presentation by<br />
Mark Farrell<br />
(<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong><br />
Programme Director)
What is an Actuary?<br />
Someone who uses<br />
mathematics to solve<br />
business problems<br />
An actuary is a business<br />
professional who deals<br />
with the financial impact<br />
of risk <strong>and</strong> uncertainty<br />
Actuaries apply financial<br />
<strong>and</strong> statistical theories to<br />
solve real business<br />
problems.
What is an Actuary?
What does an actuary do?<br />
• Employed to quantify financial risks<br />
• Looks at past experience<br />
• Models experience using statistical<br />
models<br />
• Projects the model forward into the<br />
future.<br />
• Estimates the timing <strong>and</strong> amount of<br />
future cashflows<br />
• Puts a “price” (present value) on those<br />
expected future cashflows<br />
• Advises the client on how to fund for, or<br />
mitigate against those risks.
Career Opportunities for Actuaries<br />
• <strong>Actuarial</strong> pensions consultancies/firms<br />
• Insurance <strong>and</strong> reinsurance industry<br />
• <strong>Risk</strong> management in finance/banking<br />
• Public sector/government agencies
Where do actuaries work?<br />
• The majority of actuaries are based in<br />
London<br />
• Edinburgh, Manchester, Birmingham,<br />
Glasgow also have many actuarial firms<br />
• Bristol, Cardiff, York have more than a<br />
h<strong>and</strong>ful of firms<br />
• Northern Irel<strong>and</strong> has 6 actuarial firms
Actuaries in Northern Irel<strong>and</strong>?
Actuaries in London?<br />
Aon Consulting Limited<br />
APR LLP<br />
AXA UK<br />
Barnett Waddingham LLP<br />
BDO Stoy Hayward<br />
Buck Consultants<br />
Deloitte LLP<br />
EMB Consultancy LLP<br />
Financial Services Authority<br />
GAAPS <strong>Actuarial</strong><br />
Genworth Financial<br />
Government Actuary’s Department<br />
Grant Thornton UK LLP<br />
HSBC Actuaries <strong>and</strong> Consultants<br />
Limited<br />
Hymans Robertson LLP<br />
Jardine Lloyd Thompson plc<br />
KPMG<br />
Lane Clark & Peacock LLP<br />
Lucida plc<br />
Mercer Limited<br />
Milliman Limited<br />
Munich Re UK Life Branch<br />
Nigel Sloam & Co Actuaries<br />
& Consultants<br />
Pearl Group<br />
Punter Southall Limited<br />
Prudential<br />
Royal London Group<br />
Towers Perrin<br />
Watson Wyatt Ltd<br />
Xafinity Consulting Ltd
Salary Rewards<br />
• On qualifying as an actuary salaries are<br />
in excess of £45,000 <strong>and</strong> can be as high<br />
as £60,000 depending on location.<br />
• Five years post qualification salaries<br />
can be in excess of £100,000<br />
• Job Opportunities in London,<br />
Birmingham, Manchester, Edinburgh,<br />
Belfast, Dublin<br />
• Internationally recognised qualification –<br />
job opportunities worldwide
<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> – Key Features<br />
• Degree commenced September 2007<br />
• Original name was <strong>Actuarial</strong> Studies<br />
• Four year degree (3 years at<br />
university; 1 in an industrial placement)<br />
• A broad based intellectually<br />
dem<strong>and</strong>ing degree which includes:<br />
– mathematics, statistics, probability,<br />
actuarial modelling, finance,<br />
accounting <strong>and</strong> economics
<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> – Entry Grades<br />
• For entry in September 2013 A-Level<br />
requirements will be AAA plus a fourth<br />
A at AS-level<br />
• One of the A-Levels must be in<br />
Mathematics<br />
• Likely intake in September 2013 is 40<br />
home based students.<br />
• Further Mathematics is not a<br />
requirement but is recommended.
<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> – Year One<br />
• Semester 1<br />
– Financial Reporting <strong>and</strong> Analysis<br />
– Probability<br />
– Microeconomics<br />
• Semester 2<br />
– Statistics<br />
– Macroeconomics<br />
– Financial Institutions <strong>and</strong> Markets
<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> – Year Two<br />
• Semester 1<br />
– <strong>Actuarial</strong> Methods in General Insurance<br />
– Investment Analysis<br />
– Placement Learning<br />
• Semester 2<br />
– Principles of <strong>Actuarial</strong> Modeling<br />
– <strong>Actuarial</strong> Mathematics<br />
– Mutual <strong>and</strong> Pension Fund <strong>Management</strong>
<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> – Year Three<br />
• Combines academic theory with<br />
industry relevant focus<br />
– Year 3 is spent in a high quality <strong>and</strong><br />
salaried actuarial placement<br />
– Examples of placements will<br />
include:<br />
– Spence & Partners, Kerr<br />
Henderson Hewitt, Buck<br />
Consulting, Allstate, AXA, several<br />
Lloyds syndicates....<br />
– Located in, London, Edinburgh,<br />
Manchester, Birmingham, Bristol,<br />
Dublin Belfast <strong>and</strong> overseas.
Placement Year – The Student Perspective<br />
“The placement year has<br />
been the best experience<br />
of my degree so far.<br />
Moving away from home<br />
<strong>and</strong> working in London has<br />
really opened my eyes to<br />
what is out there.”<br />
“Great to be able to see<br />
insurance module being put<br />
into practise <strong>and</strong> also learning<br />
new terminology. Structured<br />
learning – good incorporation<br />
of class <strong>and</strong> work based<br />
learning. Very friendly team<br />
<strong>and</strong> company.”<br />
“Placement is a good stepping stone<br />
for the final year. I particularly liked<br />
putting my underst<strong>and</strong>ing of the<br />
pensions module into practice. I Feel<br />
I have a better underst<strong>and</strong>ing of what<br />
an actuary does which will help in<br />
other modules <strong>and</strong> future career<br />
decisions.<br />
“The first two years of<br />
university has given a useful<br />
broad base of economics,<br />
maths <strong>and</strong> finance <strong>and</strong><br />
actuarial however being here<br />
has really given insight to<br />
what to expect in future”
<strong>Actuarial</strong> <strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> – Year Four<br />
• Semester 1<br />
– Stochastic Processes<br />
– Capital Markets<br />
– Time Series Financial Econometrics<br />
• Semester 2<br />
– <strong>Actuarial</strong> Modelling<br />
– Financial Engineering<br />
– Fixed Income Instruments
Accreditation – What’s it all about?<br />
• The <strong>Actuarial</strong> Studies degree at Queen’s has<br />
been accredited by the Institute of Actuaries<br />
– Exemption from subjects CT1 – CT8 of the<br />
professional exams<br />
– Students must achieve 65% or more to get all 8<br />
exemptions<br />
– Achieving less than 65% can still entitle you to<br />
some exemptions (at discretion of the IOA)
After your degree<br />
• Enter paid employment <strong>and</strong> undertake<br />
professional examinations as offered<br />
by the Institute of Actuaries.<br />
• Professional examinations will take<br />
around a further 3 / 4 years to<br />
complete.<br />
• Enter paid employment in a risk<br />
management setting but not<br />
progressing to become an actuary<br />
• Continue in education <strong>and</strong> study the<br />
Msc in Finance or the Msc in <strong>Risk</strong><br />
<strong>Management</strong>
Checklist when choosing your degree<br />
– Does the degree subject material match<br />
my strengths?<br />
– Is the degree structure interesting?<br />
– Is the university offering the degree of<br />
good quality?<br />
– Are the academics teaching on the<br />
programme engaged in high quality<br />
teaching <strong>and</strong> research?<br />
– Are the students leaving the degree<br />
employable <strong>and</strong> in rewarding careers?
Who is this degree for?<br />
• Enthusiastic about Mathematics?<br />
• Going to achieve an A at A-level<br />
Mathematics without any problems?<br />
• Want a career where numerical skills<br />
are highly regarded?<br />
• Want a professional career which is<br />
highly regarded around the world<br />
• For more information about <strong>Actuarial</strong><br />
<strong>Science</strong> <strong>and</strong> <strong>Risk</strong> <strong>Management</strong> visit the<br />
website: http://www.qub.ac.uk/mgt/