What does an actuary do? Learn from the experts.

I’m Stephen Buechler, the Chair the
Department of Applied and Computational Math and Statistics at Notre Dame. Students, when choosing a major, will
often ask us, “What can somebody do with a degree in math,
applied math, and statistics?” We know that many of our graduates have
gone on to very successful careers in actuarial science. Like many faculty, I know the math and
statistics that an actuary uses, but not the types of problems they’re
solving in the business world or the companies in which they may work.
One such alumni is Mr. David Delahanty, fellow of the Society
of Actuaries and retired managing partner at Aon
Hewitt Associates. Recently, Mr. Delahanty, his son and
daughter-in-law, all three actuaries, offered to host a
seminar at which they answered the question “what does
an actuary do?” So this evening, we’re very pleased to
welcome back to Notre Dame Mr. David Delahanty, class of ’86 senior consultant at Towers Watson,
and Miss Nicole Delahanty, senior consultant at Jeff Slocum &
Company. They will answer the question: “what does
an actuary do” So to start off, I always start off mathematics presentation with
numbers. People see, to like them. So, 1986 was the year that I graduated from
the University Notre Dame with a degree in mathematics, and there were 14 math majors that
graduated that year. Three of us went into actuarial science. Now you can see, that’s a fourteen,
now I understand that’s almost a hundred students majoring in some form of
mathematics, whether it’s major or minor or whatever it is. So that number has just grown dramatically.
The number one, in addition to the ranking of the
football team. In 1986, US News and World Report came
out with the ranking of the top jobs in the United States and actuary was
the number one job rated in the United States and it
continues to this day to be ranked in the top 10 best jobs based on level of stress, pay, knowledge
speciality, and things like that. So it’s still a very high-ranking job, very well respected.
60,000 is around a ballpark of what the starting salary
is of actuaries who come out on a school with an exam or two. So it’s a very well paying profession as
well, we’ll actually get into that a little bit more in the future. And 0, as I’m sure you know is the total number of combined losses for the
2012 Notre Dame women’s basketball team and the 2012 men’s football program. So I better see all of you in 2013 at the
championships in New Orleans and Miami. Go Irish! So the title of this
presentation is Oh the Places You’ll Go, and it’s one
of my favorite doctor Seuss book that was actually published in 1990. And there’s a line that I really like that talks a
little bit about what actuaries can do. It says you have brains in your head, your feet in your shoes, you can steer
yourself any direction you choose. So today we’re going
to talk about directions that you can take with an actuarial degree. And the place where this really started was
the Society of Actuaries in 2003 and 2005 it did public surveys of how actuaries were viewed across a
whole broad spectrum of people. At that time, what they found is that
actuates were viewed as being very narrow, very technical, and without good business
communication skills. They were viewed as being not promotable
to senior management. They were reputed as being too technical. Since then,
The Society of Actuaries, another actuarial body, have taken it upon themselves to
change that perception. And the two things they did that were very profound:
one is they actually developed a tag line for the Society of
Actuaries, and the tag line now is “Risk is Opportunity.” Sounds kinda cool, risk and opportunity
going together as opposed to just bad things happening to people and
actuaries figuring out how often it’s going to happen. The other thing they did was change
examination structure so that it’s much more real-world, much
more web-based, more course based, so it became much more practical in
terms of what’s being taught and the type of education you come out with at the other end when you become an actuary. So what are the three things that sort of define what an actuary does? The first concept is probability, P of S. The number is somewhere between zero and one for every future event. So the first thing actuaries do
is they predict future events. How they predict them? Well they have
different sources of data. They might look at past data, they may look at historical experience– what’s
happened before. They might simulate the future. You might look at past data, you might look
at something in the future, then you might make assumptions about how the past is different from now, or how the future might be different than it was in the past. You’re combining all those things into
a probability that something is going to happen. So here are the examples; these
first two are pretty low probability. A Hurricane almost got to South
Bend when superstorm Sandy came through it did not quite get here. However you could get you car stolen so you would have to pay for that. Or the
big probabilities, actually the probably one is that I, for example, broke my finger freshman
year the first week on campus. The probability of that was one, and I have never again played
softball. That’s a probability. The second thing we do
is take probabilities and try to determine what that financial
impact of that probability is. So we take a probability of
something happening and figure out what the financial
consequences of it happening. So it’s easy for some of these things, you figure out okay, well there’s a probability (1st example) that
your car get stolen. The financial consequences, well what’s your car worth and you multiply those two together and you get some sort of insurance premium. Right, that’s pretty
easy. But then you start to talk about things like auto insurance on the liability side and collision side. So you get into a car accident like this poor guy did, and all the financial consequences are down
below. Your car’s damaged. Right, so now we have to pay somebody to
fix your car. You may need a rental car. There’s cash going out to a rental car
company. You could be injured, so you might have medical bills that got
you covered. You might injure somebody else, so I’ve got a claim of liability, and I’ll also have to pay for their injuries. You might hit a stop sign or fire hydrant, so now you have property damage. That person or that person’s car might be damaged. So
there are a lot of different pieces that actuaries need to figure out.
Probabilities, and then predict the financial outcomes,
and turn those into premiums or risks to try to figure out
how to mitigate those risks. The third concept, actuaries deal with the probability, financial consequence, and then present value. Actuaries are really the only profession where
you have all three of these things. So accountants deal with pieces of it, statisticians deal with pieces of it, economists deal with pieces of it, but no one else deals with all
three of these things. So if you think about some of these things, the first example is pretty easy, not a lot of present value of money
involved there. But one of the broad categories that
actuaries practice in is pension plans. So in a pension plan, you get
hired into a company at age twenty-five, you can work for them until you are
sixty, and they would pay you in an annual payment
every year until you are ninety. You are talking about sixty-five years of
projection. And they are projecting out what you will earn every year, what your
likelihood to terminate any given year, things like becoming disable or passing away, when you are going to retire, what inflation’s
going to do to your benefit. What’s the state of social security in that time?
So it’s a very complicated calculation when you start looking the present and you
have to discard all that back to today’s date, and figure out what’s that worth. Well, so that’s the third piece that not a lot
of other professions get into. It’s the present value piece of what actuaries do. This is also why actuaries don’t play the lottery very often. Because in the lottery, let’s say your odds of
winning a lottery is 1 in a 100 million. If the payout is 75 million,
That’s generally paid over 30 years. 2.5 million dollars a year. To actuaries, that’s
not worth $75 million dollars, it’s worth thirty-five or forty billion dollars and
they pay taxes on that so you’re taking a 1 in a 100 million chance
to win maybe fifteen or twenty million dollars. For an actuary that’s something that they probably wouldn’t do
very often. So I always called the lottery not a tax on the poor, but a tax on the actuarially- challenged. So that’s what an actuary does, now Nicole is going to talk a little more about how to turn this into something happy. I know it sounds so depressing, we got death, we got dismemberment, a car gets stolen, it seems this is what we deal with day in and day
out. But that’s really not true, there’s really two sides to the story.
There’s you helping people insure the risk,
whether that’s their own physical well-being or their financial
well-being. Creating products to help people really manage their livelihood and
then the other side helping institutions make money, a profit of that, and understand. Really it’s our job to to
figure out which risks we want our companies to avoid, to manage,
to try to reduce or put some guardrails around or
transfer to somebody altogether. Ok that’s really a big a big part of our
jobs, we can play in the individual world, helping
individuals manage risk. Or in the institutional world, helping a
number of different companies with those risk-based decisions. So let’s first talk about first traditional opportunities. Dave mentioned before that historically
actuaries have been working in the traditional framework. They did surveys about what
actuaries do today, and they reported back that around ninety
percent work in traditional roles. Health insurance, life insurance,
property insurance or pension plans. Understand how to help companies
structure programs so that their employees can retire in an orderly fashion with enough
money to sustain their standard of living. All
those workers are pretty traditional, but even within them there’s a ton of innovation that you can see: all the way from developing new products
through marketing and sales of those ideas all the way through to
senior executive roles. So actuaries might start in a technical
capacity, but can really bring a fair amount of creativity to the
development of products, the marketing, or the running of the overall
business. So typically in traditional rules you’re
seeing career opportunities in three different areas: Employee benefits firms that virtually every
company in the United States and globally will hire to help them figure
out how we structure our rewards program for
employees, how do we recruit and retain the right people and put employee benefits
into place so they can feel secure that they’ve got health insurance, life insurance, and retiree benefits
throughout their career. Or insurance companies that actually
take on risk on the behalf of other companies. And the third being academia. Well of course
there’s a a huge effort in staying current and training that
next generation of actuaries. So, in addition to those traditional
opportunities, I always like to talk about
non-traditional opportunities. Only about 10% of actuaries claim this space, this is sort of my area, my passion. I started out at a
very traditional role and actually dabbled in a number these
different areas. It really gets to the point that you can apply those principles of
understanding risk, understanding how to quantify
that risk financially, and then figuring out what that means in
today’s dollars. To figure out do you wanna trade that risk or take it on. Let’s take the example of executive pay. So every company has a big c-suite, a bunch of executives, the CEO, the CFO, the chief
administrative officer that have huge pay packages. And a big
part of them is typically stock options. So stock options are valued based on how that stock might move over a period
of time, the volatility of that stock, how long that executive might hold those
shares, and how to belly that into value terms. Actuaries are in a fantastic
position to figure out how to value that combining it with compensation programs
and other benefits to figure out is that the right structure that we
should be giving our CEO, our CFO or the other senior
executives that we want to recruit? There’s other areas like weather
forecasting. And you think back to up what Dave talked about earlier about
how do we figure out what’s going to happen in the future?
Oftentimes starting with what happens in the past. So predictive modeling could play
a huge role in figuring out weather patterns or
weather-related events to then predict those events– what
might happen whether or not you’re going to ensure against them or whether that’s
just a matter of informing the public about public safety. Currency is another area. Most companies today are multinational. You have operations and revenue being generated around the globe.
Typically as revenue is made across the
globe, it’s then getting transported back into US dollars. That’s a risk that
companies in the US have. Actuaries can be in a position to help companies hedge against
that risk and figure out how to
really solidify the dollars that they
might be pulling back in US terms. Finally from an individual
standpoint, so while we help companies broadly
manage Chris particular pay packages figure out how
to hedge whether its currency risk or interest
rate risk. Individuals themselves have sort of a mini- set of
those risks. We really see the future of financial planning being, not just around helping people figure
out we’re kinda stocks and bonds and shares they need to buy, but the idea of a personal actuary helping
you figure out how long you might live. How do you
figure out how to transport? How are you figure out what you need it to
live in retirement and transfer wealth to to future generations and manage that
process over a period of time? I’ll talk about one as well: the
supply chain and logistics idea the very last one. One of my clients is a firm called Conagra Foods, and they make all kinds of consumer packaged
food products. One of the foods that they make is Slim Jims. They make Slim Jims in one plant
our North Carolina. You may have read in December 2009 that plant
had a small explosion. An ammonia leak caused part of the plant to blow up, which was a problem for Conagra Foods because the Slim Jim is only made in one place. They have insurance
that allowed them to hedge for the business interruption of not having Slim Jims on the shelves so that every
convenience store in the United States would be able to carry their product. They
had insurance to be able to allow them to mitigate the
risk of that happening, which allow them to only have them put together in one plant so they could run their business
more properly. But they have the risk mitigated which helped them with their
own supply chain. One wouldn’t think that Slim Jims are that important but apparently bad things happen when people can’t get their Slim Jims. Very important risks to insure against. To take that further, where might you work? You know, originally we talked about tradional roles being employee benefit companies, insurance companies, or
academia, but really every company out there across a multitude of industries can benefit from an actuary in one capacity or other. We talked about currency
hedging, our managing the interest-rate risk of debt that company
may hold or loan portfolio. It’s huge area in banking. Banks come in to help banks figure
out how to manage those risks. You think about transportation and
managing a logistics operation. You can see the use of an actuary in trucking
or even in airline management. Figuring out how to
hedge fuel cost. Manage that risk while at the same time
understanding seasonality and how to maximize the price per seats and the risks that come along with that.
I’m going to talk in a second about hospital. I’m going to take you through a day in the life. Virtually every industry all
the way up through to government, given the massive pools of assets that are set aside to help with managing social security and
Medicare Medicaid and understanding how aging demographics, cause people age and we start all look
like Florida. The stress that that’s going to put on the
system and how those programs can be funded. That’s just a really is a huge actuarial problem on a massive scale. Let me take you through a day in
the life of the actuarial. I wanted to give you a sense of, we’re
gonna leave this presentation today and and drive back in Chicago, and I’m gonna
meet with with one of my larger clients which is a hospital system. Then I am going to spend a day with them doing strategic
planning. You’ll see we are pulling from a
lot of different areas, but what we do we will sit down and start with their business plan and look at, for five year period, what
might their revenues look like. What will the Affordable Care Act’s
Obamacare do to their top line revenue in terms of revenues that they might get from
patients, from the insurance industry, for Medicare and Medicaid, and we’ll project
that out. Then we’ll look at their balance sheets
about a billion dollars in assets that are set aside to help manage the operation of that hospital in cargo to pool to make sure that
we’ve got enough cash in hand to manage the daily operations of this
organization for a period of time. We will look at what do they want to
do in the next five years? Are they looking to acquire hospitals? Are they looking to build
out or on getting new technology for certain
areas that they are expanding in certain areas of medical
technology? We will structure the investment pool
to try to meet a targeted return to help
them grow that investment pool to manage those types of expenses over a period of
time. So it’s true its its asset-liability
modeling in the context of the hospital system that has liabilities that they have on their
balance sheet, debts. They have an uncertain top-line revenue
stream, everything that’s going on from a regulatory standpoint and then a huge pool of assets to help figure
out how to best manage those liabilities and manage towards the growth of the
company. Then we do what we love to do best:
we model, we stress test, we try to figure out what
happens if another 2008 event now rolls around. Will we have enough cash in
our liquidity pool to meet operations that are
happening on a daily basis? Keeping the doors in the hospital opened.Help with the pool that we have targeted for growth. They’re gonna be invested far more
aggressively if we layer on those scenarios. Will we be able to hit our growth targets
or acquisition targets? We’re looking for combinations of
assets and looking at risk that the top line the company try to secure with as much with as much
certainty as possible that we can keep the hospital running. Then hit those
growth targets for long time. I think, you know, well that
is an exciting day, knowing that you’re helping a company with
a strategic plan that has seen a far-reaching or affects a community from a health
standpoint. Probably the biggest challenges is then
stepping back from all the numbers and then helping that team of executives go
to their board and get sign of and buy in for all the
strategies that we have put in place and translate everything that we do from a
technical standpoint. All the modeling, all the stress testing
somehow in layman’s terms that makes sense to a
very diversified board. Some that might not be at all into the
numbers or know what it actually does or what a financial engineering
consultant does. So, full-circle we wanted to give you a
sense of the different types of risks, how
their managed modeled in a real-world setting,
and how we use our background and experience. We try to help our clients think through those
and present them to their various stakeholders within those organizations. Does anyone have any questions right now? We’ve got more slides, but we have been talking for a while and I thought
you might want to ask questions. If anybody has a anything. No, good, okay. Thank you. So now that Nichole told you where she goes and what she’s doing, what
will you do? If you decide to become an actuary? So you can see the first bullet here. The every business could
benefit from having an actuary on staff. We are unique in what we do, we’re combining
skills no other profession actually combines,
which makes us special. In a world of being able to figure out what a company or business or
enterprise needs to do and then translating that into how they can grow,
and how they can protect themselves, and how they can make their businesses better. Someday,
in theory, just like everybody had every company has an account that report up to controller that manages the whole county
function what the theory is within the society of actuaries is that at some point
every company could have a chief risk operator that would help to manage.
Their chief risk officer at that would help to manage all the risks of a
business, all the risks from any
organization, so a credit card fraud in a retail organization, you could think about risk of the supply
chain things that we talked about, of worker shortages, any threats or risks
there will be somebody there to manage and monitor exactly what’s going
on. I mentioned earlier did that the new model for society the actuaries raises risk as
opportunity. I always think of that instead of those words, is change is good. So anytime there is a change in legislation, or demographics, or
in companies, it’s good for actuaries. For example,
I don’t really care what your politics are on the whole health care reform in
Obamacare and all that, but it’s been a huge boon for consultants
trying to help interpret what it means for all of our clients, trying to figure
out if they should continue to offer benefits their employees or just pay
somebody else to take on those benefits, whether they should move all their
employees under these new health care exchanges in 2014 or continue to offer benefits like they
always have. That sort of change to the external creates pressure on our clients.
They come to us, and we help them solve the problem of what they should be doing. So the change is good. If you are
interested, there is actually video on YouTube video on the Society’s
website. There are several videos about the competitive advantage. This is actually the one that I like the best. If you want to watch it they will talk
about actuaries and how the role of an actuary has a competitive
advantage over all the different professions that you might be considering as you
go through your your career search. If you think about some of
the benefits are becoming an actuary, I think there are a lot of them. The first one is sort of
interesting which is as an actuary you start after you are an undergraduate when you graduate you could be working June, July, August
right away. And you’re making money you’re not going
to law school. You are not paying money to go to law school, MBA school. You’re not in a school where you not making
getting a job. You actually getting paid to study. You’re getting paid. You’re employer will pay to take your exams. Everything is paid for. They give you time off to study. This is just
awesome. They also give you increases
and bonuses when you pass your exams. This is just like, why wouldn’t I do
this? Right? I mean they are paying me to do it, and they are paying me to take time off to study, and everything is for growth of my career and my credentials. It is called earn while you learn. The work is very interesting. I think
Nicole has described for you what her day is like. There are a variety avenues to choose from, a
lot of different things you can do. I’m I don’t know if you have seen it. There was a movie out about fifteen years ago called About Schmidt and Jack Nicholson actually played an
actuary man. Jack Nicholson, I mean, he’s cool, right? I don’t know. So, there are lot of new things that go on. If you are reading anything
about the legislation that is going through in health reform. You hear people in actuaries are projecting
anything on social security. Social Security and where that’s going,
you read about actual testimony, you read expert witness testimony. It’s just a very developing and growing area. It also is
an actual career where the services are
protected from ups and downs. Even a downturn
is a need for actuaries to help employers prevents and protect their
risks. So it is a lot of demand no matter what and
the Department of Labor actually predicts that having an actuary is going to continue to
increase by 24 percent by 2016. So what it is that four percent a
year? There’s a lot
of the man actually going forward. The next slide actually shows some
other benefits. Even the internet agrees there are several web sites out today that
tell you that the actuarial career and actuary professions are very positive and very in demand. Actuaries really seem to
enjoy their jobs. So what are the benefits? You would start at a fairly high level and
that would increase as you pass exams. You can see it starts in a fifty, sixty
thousand dollar range and would increase fairly quickly over
time. The benefits in becoming an actuary start
right after graduation, start early on your career. You’re doing interesting work, you’re in demand, and you can make decent money too. I know that when we talked
about the actuary work earlier and how it was highly technical and that people weren’t very good with communication. I think a lot of that has reversed, and it has become very hot right now. Taking a step further, how do you become one? You get here obviously taking the first in a
effort to come to our presentation today. Great job there. You
want to plan a pretty heavy course load in math, stats, our own actuarial science, and really we
would recommend expanding that further, taking some business courses, public
speaking, communication. Even if you’re in a highly highly technical
area of the actuarial professional, you still need to figure out how to
communicate those ideas even if it’s just to an internal audience. We recommend really well
well-rounded curriculum. I have had the the pleasure of doing recruiting for
Towers Watson for ten years and so that the a lot of different students and sat down with some of the other folks across
the country to figure out what is the profile that we are looking for? Very smart, they’re good at math, they know how to
pass exams whether that’s in school or in the actuarial
program. What are some of the other things? The intangibles
that we are looking for? I would say you guys probably all
did something special to get into the University of Notre Dame. Whether it was through volunteer work or
something else, you really need the same thing as that edge
to get into a great company or a
consulting firm. Start with great
coursework, expand that with some business classes, and then figure
out what’s your passion and show some commitment and dedication. It goes a really long way in recruiting
process, as well as passing an exam before you
actually get into a company that’s going to support you through that exam structure. Typically for an intern position, we like to see one exam or at
least an understanding of the process. By the time you’re
applying for a full time position at least one exam, if not two. We really like to see a commitment that
you understand what that with the program’s like and that you’ve made some progress towards it.
Then, of course, find a mentor friend. Find somebody out in
industry in an area that you’re interested in and don’t be shy. Google stock them. Figure out how to
connect with people in the area. I think you’ll find that the
actuary community is really open. I wanna see people progress and be
committed to the area. There’s also some great websites: bean actuary.org is one of them. I think they have got scholarship forms an
additional information. The society of actuaries, soa.org, is a
great resource although that’s tailored little bit more to professionals that have been working for
a long period of time. The site theriskisopportunity.net is a bit more more a
promoting site, getting into what are all the areas that actuaries can practice in. Again, bean actuary.org is a good resource for you. We sort of started this conversation talking
about all the places you’ll go and my favorite
quote about having brains in your head and your feet
in your shoes and you can go into any path that you choose. My two favorite quotes: so once you’ve
decided what your gonna do you with today get it going is no reason
to wait. Started your actuarial future by as Nichole said talking to mentors, figuring more out about the professions, and going on the web sites and develop your your passion just
like we did. That’s all we have for prepared
materials. Any questions? Yep, here. I’ll repeat the question and you can answer for us. So, the question is When we were in school did we know we
wanted to be actuaries right off the bat? You can answer first, and then I’ll answer. Well, I have an embarrassing
story and am slightly terrified that this is being taped, but I believe in
honesty so I’m gonna share it with you. I was a sitting in my guidance
counselor’s office and I went to school in Canada, this is grade
11 or 12, and they had this big book jobs. It’s alphabetical and one page for
each career. The bottom right hand corner
there’s the projected salary. So, I flipped through this book until I got
to a number, and I was just through the a’s and oh actuary. You need to be really great at math, you like statistics, you like to problem
solve, and I thought wow that sounds really great. So I gave it a shot in the first year, and I never
looked back. I took kinda the opposite approach. I come from a family actuaries. My father’s actually an actuary as well. So for me there wasn’t
much of a search. I didn’t go through looking for
astronaut, actor, okay actuary. I knew I was going to be good at
math and that I was gonna go into it. When I started here at Notre Dame, I
actually started in electrical engineering. No, I did not enjoy it as much as I
thought I would and so switched over to math my sophmore year
and just loved it ever since. I had an actuary tell me that the exams were like second job. Do you agree with that? That’s a great question. So, how did you
view exams, was like a second job? What was that like? It was a lot of work, definitely, but its also it’s an extension of your
college life a little bit. Because you’re coming into
an organization typically with a number of different actuaries that are going
through with you, you get time off typically
get one we got one day a week of about three months up to leading up
to the exam. Then usually you take the week off before
the exam, and so it’s a little bit like crunching for finals and
studying for school. While getting that support, but it
is a big commitment, and it take some time the to get through the ASA program. It’s
typically three to four years and then you know the couple years to go all the way through to the fellowship.
You are usually there with people that are going through it with you, so I look back on it fondly. As you’re going through it’s probably a
little bit more work than what I remember it. I would agree. There are generally
two exams per year so there may be one in
November so the time from say March, April, May you’re cramming and then September, October, November
you are cramming. You have six months out of the year when your work is
really hard, so it is also like working two jobs at that point but there are
six months of the year when you have just got your regular job as well and you can do all the things you
like to do during those times. We’ve got a friend that actually at one
point said to that taking exams was like wearing a pair of cowboy boots which were three
sizes too small has appeared at the taking off and it just feels so good to be
done. Okay and it something you work
through but as opposed to law school or MBA school, you’re getting paid while
you’re doing is, you’re learning in your career, you’re growing as a
professional as well while you are taking the exams. That’s what we like. So, I like
that about it. I think you know any career where you’re going to be driven
and you really want to fast-track your career you’re gonna be working hard whether you self study a great
deal, or do a lot of reading, or just work a lot of late nights, this is a substitute for that and it’s
in more of an academic framework with learning through going to the courses and then combining that with
the practical experience that you get. Good question. How many hours of work do you have per week? Fair question. I would say it depends on the type of firm you go to
work for. Nichole outlined employee benefits for insurance consulting firms in academia. I don’t
know what it will be like because I’ve ever worked there but we both work for insurance companies and because of term insurance companies
tend to be low 40s. So 42 43 44, consulting would be 45 to 50. Like we said, you have to study on top of that too.
Like Nichole said, you get a day off per week to study up to the exam. You get time off before
and during the exam to study as well so it can be demanding if you
choose a benefits field. If you choose the insurance route it’s a little bit
easier but you still get more time to study as well. Typically in an insurance company
you have a far more structured day. Whereas, when you’re working in
consulting you’re a little bit at the mercy of your client. When your clients are going
through a merger acquisition it’s all hands on deck. You’ve
gotta be more flexible with your time, better with time management, so it’s all
really a big part of what do you like to do you? Do you like to be
with people? Do you want more of a flexible, dynamic work
environment or do you need more structure? That might lend it to those two factors. Yes. You said that you started as an electrical engineer and then you switched over, I’m just wondering if you have to start right away or could you, like you did in your sophomore year? I took the electrical engineering classes my first semester of
sophomore year and switched over the second semester, so I
don’t know about the curriculum here. It’s very easy to switch to one of the other sciences into math or ACMS the sophomore year. You are taking calculus, you are taking the same classes. It’s not a hard transition. Do you take people from different backgrounds? Do we prefer math and finance students or do we take people from different backgrounds? That’s a great question.
I think you know a lot of the firm’s wants to
see that commitment to the exam program, so provided you’ve got that having a
more diverse background could actually be an advantage because everybody kinda looks the same and is coming from the same place. That’s what we said. It’s great to go and get some others
other courses to round out your experience. I’ll tell you that one of the
people that I manage that got a 1600 on her SATs and had two exams coming in was in nuclear physics. Thats what her degree was in. But she kinda found her way to this
profession and it was a very unique way to get there. This is one example getting there in a
nontraditional way. But you know I think we would the
whole firm that showing commitment to the exam program is probably the most important
thing in crossing that line getting employed. Yes. How long did it take to get through
the exam process? I did not make it all the way through the FSA. I got to
the ASA and became enrolled. This is like being three quarters of the way done. It took me a two exams and them when I got out of a college three years. Yeah and I was done. I went through
an ASA to an FSA and also another certification called an enrolled
actuary. It took about six and a half years. There are stopping points. If you
want to get through the first level of the exams your will do very well, although you won’t do as well. Although Dave is being very modest. I think he got to an ASA and he was already running the office, so he was of too busy to continue on with the
exam process at that point. I can gripe because he’s my husband. If there aren’t any more questions
we actually have a on some pamphlets from the society
of actuaries that explain a little bit more about what it’s like to be an actuary. um both a day in the life and then start
talking about preparation for becoming an actuary. It will hopefully get some the
questions around how can you prepare? What do you think
about? All that sort of thing. I feel free to grab these as you are taking off. Thank you so
much all for coming. As you can tell we are very passionate about the career,
and I hope that we can instill that in you as well.

58 Replies to “What does an actuary do? Learn from the experts.

  1. Damn, those guys are amazing! I'm dying to get into actuary and do those exams!!!!!

    Thank You for uploading the clip, very helpful and inspirational!

  2. If I have a Bachelor's in Finance and have passed Exam P and Exam FM, is that enough to began applying for actuarial positions?  Is there a separate program I need to go through?

  3. To anyone reading this: Do you or anyone you know want to form an online study group for Exam FM or Exam C? If so, please email me which exams you are studying for at [email protected]
    Tags: online study group for Exam FM, online study group for Exam C

  4. The actuary job is growing into one of the best career paths in America. High pay with high job satisfaction sounds like a winning combination to me! If anyone is interested in the type of math needed or is studying to be an actuary, check me out:

  5. so i am currently studying applied mathematics and mathematics, what should i do to get to actual science? after my degree

  6. … what is the mathematical probability that out of the the tens of thousands of maths graduates around the world most will end up working at Kentucky Fried Chicken?

  7. I did pursued my degree in actuarial science hearing that it is the best job in America, and it has a 0% unemployment rate. I graduated with a near 4.0 GPA, and passed 4 actuarial exams, only to find myself unemployed. I was lied to, there is only a 0% unemployment if you had 5 -10 years experience. This field is impossible to break into with no experience. I switched to another career and had much success, but I still regret wasting 4 years of my life on this useless degree.

  8. im studying a degree in mathematical statistical and actuarial sciences, if i pass them all will i still have to take more exams to be an actuary?

  9. actuaries…the people that crunch the numbers for our greedy corporations that make life a living hell sometimes. sweet!

  10. I'm doing mathematics, physical sciences, life sciences and geography in high school. Can i do actuarial science at university?

  11. In regards to the lottery comment, what's the odds you will make 15-20+ million in your lifetime as an actuary? Not to mention in 1 lump sum. People throw away more on premium coffee and cigarettes or alcohol with very little value added.

  12. Is it necessary to have experience or a degree in a specific field, such as healthcare, insurance, etc or is that just something you learn as you work the business (specific field)?

  13. So dull. If have a maths degree better go for a masters in finance or real estate investment with something like CAIA or CFA for a more interesting career path.

  14. Very informative. After watching this, I may just want to major in Actuary Science. Luckily, the university where I live locally has this degree. 👍

Leave a Reply

Your email address will not be published. Required fields are marked *