Using mathematical skills to measure the probability and risk of future events, and the financial impact
Actuaries work in a very niche industry with only approximately 450 qualifying each year. The actuarial profession however is still a diverse sector, working in the areas of insurance, pensions, healthcare, investment and the growing area of financial risk management. The role, responsibilities and exams that are required as an Actuary require individuals to stretch their abilities to a very high level. Actuaries use mathematical skills to measure the probability and risk of future events, and the financial impact on a business and/or individuals.
Actuaries are highly regarded professionals who are both problem solvers and strategic thinkers and have a deep understanding of financial systems. Actuarial teams analyze data, build mathematical models to evaluate financial risks and communicate the output to non-specialists. The majority of actuaries work for insurance companies (life, health or general) or for financial or pensions consultancies. Insurance company actuaries typically work in areas such as pricing and product development, reserving, capital modeling and risk management. Work for insurance consultancy firms may be in similar areas but more varied on a day-to-day level. Amongst other things, pensions consultants advise private and public pension providers and trustees about the funding levels in their schemes and the contributions required to meet future pensions. They may also help their clients understand and manage the risks they face. However, an increasing number of actuaries are working in less traditional fields such as banking, investment management, corporate finance and anywhere where financial modeling is deemed useful. Actuaries are required to act in the public interest and must therefore maintain the highest standards of professional conduct and competency; upholding ethical behavior and integrity at all times. An actuarial apprenticeship is a professional career route supported by the Institute and Faculty of Actuaries (IFoA). The apprenticeship will result in a breadth of knowledge, skills and behaviors, bringing wide and varied opportunities within this leading financial profession.
Summary of standard