Erik Alm Hannover Life Re Sweden Annual Meeting Helsinki, February 28 20
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Agenda International Education Requirements The
International Actuarial Organisations Groupe Consultatif Actuariel Europeén (GC) European 30 member associations Including Sweden and Finland International Actuarial Association (IAA) International 63 member associations Including Sweden and Finland
Groupe Consultatif Actuarial education requirements Core Syllabus Ten subjects Many topics per subject A discussion on changes is ongoing just now Should number of ECTS per subject be defined?
GC education requirements Preliminary stage Mathematics Probability and Statistics Stochastic Processes Economics Accounting and Financial reporting Formal assessment May be examined before the actuarial education programme
Groupe Consultatif Actuarial education requirements. Mathematics Aim: To provide a grounding in mathematical techniques to support the understanding of the other subjects and to provide an understanding of mathematical modelling. (a) Functions, equations and inequalities (b) Differential and integral calculus (c) Differential equations (d) Sequences and series (e) Linear algebra (f) Introductory measure theory (g) Difference equations (h) Fourier analysis (i) Numerical analysis
GC education requirements Preliminary stage Computing Structures and Legislative Instruments of the European Union Communication Skills Language Skills No formal assessment May be integrated in the education of other subjects
GC education requirements Actuarial Foundation Stage Financial Mathematics Survival Models Contingencies Risk mathematics Finance and financial markets Formal assessment
GC education requirements Generalised Applications Stage Life Insurance General Insurance Pension Living benefits Formal assessment
GC education requirements Country specific and specialist stage Country specific items Specialist items
IAA education requirements Financial Mathematics Probability and Mathematical Statistics Economics Accounting Modelling Statistical Methods Actuarial Mathematics Investment and Asset Analysis Actuarial Risk Management Professionalism
IAA education requirements Specialities Modelling Would normally be integrated in other subjects rather than separate subject Actuarial Mathematics Does not specify life or non-life, one is enough Follows US standard Professionalism Will be added to GC Syllabus
Requirements for membership University exam Bachelor Master Civil Engineer 60 ECTS Mathematics (basic) 60 ECTS Mathematical Statistics (basic) 30 ECTS Mathematics of Mathematical Statistics or close subjects (advanced)
Requirements for full membership (Diploma) University exam Bachelor Master Civil Engineer 60 ECTS Mathematics (basic) 60 ECTS Mathematical Statistics (basic) 30 ECTS Mathematics of Mathematical Statistics or close subjects (advanced) 60 ECTS Actuarial/Insurance subjects
Requirements for full membership (Diploma) (cont) University exam Actuarial programme Language Able to understand Swedish insurance regulation Able to read Swedish and English actuarial literature Able to write actuarial reports in Swedish or English A thesis At least 00 hours Could be bachelor or master thesis if relevant Will be presented orally to the education committee Three years of actuarial experience One year Swedish experience One year after studies Professionalism course
Decision on full membership Examination Committee Looks at each application Evaluates studies against requirements Often complicated Foreign studies Technology vs university Old exams Double counting Gives recommendation to the board The board decides (in line with recommendation)
Stockholm University Actuarial Programme Blocks of 7.5 ECP each Life insurance part I Life insurance part II Non-life reserving Non-life pricing General law Insurance law Insurance accounting Financial mathematics Economics
Stockholm University Actuarial Programme Close cooperation with the university Observer in the Education Committee Many subjects taught by actuaries Courses follow syllabus
Literature (examples) Andersson, Gunnar, Livförsäkringsmatematik I In Swedish Alm, Andersson, von Bahr, Martin-Löf, Livförsäkringsmatematik II Partly in English, partly Swedish Ohlsson, Johansson, Non-Life Insurance Pricing with Generalized Linear Models In English
Professionalism One day seminar Mainly case study discussions Some presentations The legal environment The Code of Conduct The disciplinary scheme No exam, active participation in discussions is enough Should maybe first obligatory CPD Participate every tenth year??
Continuous Professional Development Not obligatory in our association We have a policy Follows the policy of the GC Recommends CPD
CPD Why not obligatory? Very complicated to administer complete tracking Or just random checking Some associations have build up a very complicated system for tracking CPD Relevant? All seminars are not relevant for all actuaries Much relevant CPD is hard to measure Signing a list of attendees does not mean that you have learnt anything (or even actually attended) Is obligatory CPD used to finance the association by making seminars semi-obligatory? Has listening to this speech improved the actuarial competence of the listeners?? Code of conduct requirements You should only accept assignment that you are competent to handle
CPD Obligatory Maybe professionalism Maybe every ten years
Requirements to become appointed actuary Set by our regulator Studies comparable to the present syllabus of Svenska Aktuarieföreningen, or Studies comparable to the present syllabus of IAA Some exemptions are made We do not have enough actuaries who have studied the present syllabus Often temporary Often connected to a study plan Sometimes depending on type of assignment Sometime depending on the person Easier for very experienced actuaries to get an exemption Present appointed actuaries could stay at their assignments But would have to fulfil the rules if changing appointment
CERA Certified Enterprise Risk Analyst In principle an add-on to the actuarial education Good back ground for CRO (Chief Risk Officer) Organised through a cooperation between a number of actuarial associations Has an official syllabus Intention to have a qualification that is recognised globally Sweden is a founding member
CERA Our activities We cooperate with the Royal Institute of Technology Some existing courses (22.5 credits) in financial mathematics and risk management fulfil part of the CERA syllabus. A new course (7.5 credits) in more practical ERM (Enterprise Risk Management) has been developed to fill the gaps. The course will be set up so that it can be taken over one year on a part time basis (50%), and will be open to both existing students at the Royal Institute of Technology and external students who are already in employment We have not yet ascertained if the proposed course covers the CERA syllabus adequately, but the hope is that it should cover enough of the syllabus to be CERA compliant. Over and above this, the association needs to set up procedures around the qualification to comply with the required governance
Thank you for your attention