Session 31- Actuaries in Non-traditional Roles Speakers(s)/Conférencier(s) : Nikolina Gateva Minaz Lalani Brent Rutheford Scott Sadler

Transcription

1 Session 31- Actuaries in Non-traditional Roles Speakers(s)/Conférencier(s) : Nikolina Gateva Minaz Lalani Brent Rutheford Scott Sadler

2 THEN AND NOW Concordia University Graduate; FCIA and FSA; 8 years as pension consultant; 5 years teaching part-time at Concordia University; 4 years at Terragon, currently VP Finance Engineering firm that develops simple appliances to treat waste locally, with no environmental damage, and recover valuable resources. End users include ships, military bases, eco resorts, mining and exploration camps, hospitals and many more. A challenging transition but equally thrilling 2

3 THE ACTUARIAL PROFESSION Most CFOs have finance qualifications such as MBA or accounting background. Why? Being an actuary lends credibility in interactions with stakeholders; To companies, remain an obscure, highly specialized profession; Actuaries can be invaluable contributors to industry but have difficulty venturing out of traditional paths. Bridging the perception gap can highlight actuaries varied training and position the profession as the top choice for ERM 3

4 WHY THE SME Clear need that, at present, is generally unanswered: Would benefit from the help of a single versatile professional able to integrate such eclectic disciplines as investment, accounting, forecasting, human resources, business law and governance; Are much more sensitive to fluctuations and rapidly becoming aware of the need for a structured approach to risk management. Offer great platform for professional accomplishment: Touch on every level of business, see the system as a whole, and have a direct impact on company strategy and growth; Numerous employment opportunities. 4

5 ACTUARY S ROLE IN WAR ON TRASH Risks/opportunities inherent in all aspects of business Monitor financial results and risk exposures; Financing activities, negotiations/relationship with banks and investors; Planning and assessment of new technologies; Commercial agreements, employee benefits, etc.; Build on your toolbox of skills Must rapidly integrate new concepts and learn independently; Communication skills essential in daily interactions with professionals having business, science, finance and legal backgrounds. Putting one s skills to work in helping a company grow is extremely rewarding 5

6 MY CONSULTIING SPACE Enterprise Risk Management (ERM) Pension Risk Management (PRM) within ERM Specialty Actuarial Work Capital Accumulation Plan Executive Compensation 6

7 MY CONSULTING SPACE - CHARACTERISTICS Leveraging Risk and Pension Experience Speciality Actuarial - Extend pension methodology (ex: Assessment of environmental liability) Developing new / emerging practice ERM every profession has expertise(challenge) PRM mapping ERM concepts CAP service differentiation (ex: quantifying risk ) 7

8 MY NON-TRADITIONAL ROLE- CHARACTERISTICS Collaborating with non-actuaries Executive Compensation ( ex: executive pensions in total compensation, HRPA accreditation course, Compensation risk in proxy ) Picking select clients Niche consulting - easier to differentiate Minimum competition from major firms Low cost of investment 8

9 BREAKING IN Assurant s Core Business Creditor Insurance Extended Service Contracts Creditor Experience Willingness to Learn 9

10 CHALLENGES Non-Insurance Clients Customer Behaviour Changing Regulations Capital Implications Developing New Products 10

11 PV Concept Cost of Capital Model Building Customer Behaviour Scenario Testing ACTUARIAL SKILLS 11

12 NEW SKILLS Unique agreements Junior staff with more experience Communication 12

13 WHAT DO I DO? I help clients make informed financial decisions Work with producers and their clients to develop tax & estate planning solutions Strategy Analysis Life insurance education (product, company) Plan Architecture Implementation Inforce life policy management 13

14 HOW DID I GET HERE? Traditional actuarial roles 16 years in Head Office Non-Traditional roles (Marketing Actuary) 6 years in Head Office 5 years working with a producer in his Toronto office 3 + years on my own, working with multiple producers Other roles 30 years and counting 14

15 HOW DO YOU GET THERE? Define your Current State Define your Target State Define what you need to move from Current to Target 15

16 THE HEDGEHOG CONCEPT What are you deeply passionate about? What drives your economic engine? What can you be the best in the world at? Jim Collins Good to Great 16

17 SOMETHING TO THINK ABOUT Are you an entrepreneurial actuary? Or an actuarial entrepreneur? 17