Actuaries use their outstanding analytical and mathematical skills to forecast financial futures and solve complex problems. For graduates with superb numerical aptitude and an ability to think logically, joining the actuarial profession could be the perfect career.

THE FUTURE'S BRIGHT

REALW.MAR09.ACTUARIAL.indd 44 27/2/09 18:15:09

o become an actuary you first need to

join the Actuarial Profession which is

governed jointly by the Faculty of

Actuaries in Edinburgh and the Institute

of Actuaries in London, which lay down a

code of conduct for their members to

ensure that the interests of the public are

protected. They also set exams which all

new entrants must pass before becoming qualified members.

Dr Trevor Watkins, head of learning at the Actuarial

Profession, comments: ‘The qualification process blends

concepts, principles and techniques gleaned from academic

disciplines such as mathematics, statistics and economics with

insight into actuarial practice, and the development of business

skills such as communications. There is also a need to undertake

work-based skills which ensures that qualifiers have gained a

range of relevant practical experience.’

You might not realise it, but actuaries play an important role

in everyday life. For example, when you take out general

insurance actuaries calculate premiums and what reserves the

insurance companies need. Likewise, for life assurance they

calculate how long someone is likely to live and how much

they will need to pay in. An actuary’s role also includes

providing commercial, financial and technical advice

underpinning pension funds and other financial institutions,

helping them and the public at large to make financial sense

of the future. Watkins says: ‘Actuaries have significant expertise

in risk management using their numerical skills to help

businesses to understand risk better and to take action to

reduce their exposure and to turn risk into opportunity.’

He adds: ‘We are in turbulent times and those planning their

careers after graduation face a very difficult time in seeking

employment. It is difficult to forecast which type of job has a

positive future. Starting a career as a trainee actuary has more

going for it than many other career paths. The global credit

crunch is likely to result in more regulation in the financial

services sector and stronger risk management skills.

‘Training as an actuary builds on mathematical and

statistical abilities and combines them with enhanced business

understanding providing a professional approach to risk

management which should be highly valued by employers in

these uncertain times.’

It is estimated that 40 per cent of actuaries are in the

pensions area, but with so many final pension schemes closing it

is all too common to see headlines such as ‘Warning over final

pension schemes’ and ‘Pension scheme deficits balloon’.

However, until the final pension schemes actually close there is

plenty of work for actuaries in this area to undertake and as Dr

Watkins points out tighter regulation for financial services means

greater demand for actuaries in other areas. Big City firms such

as investment banks and consultants are increasingly employing

actuaries to help inform future investment and to ensure that all

risks, big or small, are calculated.

Watkins concludes: ‘The skill-set of qualified actuaries seems

highly appropriate in today’s uncertain business climate, and it’s

a career that offers more insurance against the recession than

many other financial services based options.’

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actuaRial | CAsE stuDIEsRW

‘the actuarial profession is very well regarded globally, which is reflected in the pay and job security.’

Shyam Gharial

Sonali Perera

»

Job title: assistant consultant (actuarial)Employer: Quantum advisory (Qa), londonDegree: PG Diploma actuarial Science, cass Business School

When and why did you choose an actuarial career? after i had finished my BSc in Maths i went travelling for 15 months, hoping that along the way i might figure out what to do with my life. i’d never heard of an actuary until i met an american actuarial student, who was visiting at the ranch i was working on in australia. Since we both enjoyed maths (and she was very attractive) i thought i’d research the profession. i visited actuaries.org.uk, liked the sound of the profession and decided i needed to study further if i was to have any hope of getting in as i had found it difficult to get on to a graduate course with a 2:2 grade from my undergraduate course.

Briefly explain what your work involves, practice area, etc. i started at Qa, an employee benefits consultancy, in May 2006. Since joining i have been involved in many different areas of work and with a number of different actuaries from the start. actuarial jobs have included creating valuation models; special projects involving cost savings for pension schemes and companies. i am currently concentrating on investment consulting work which involves preparing presentations for clients; manager selection; monitoring and creating market reports. Other areas of work i have been involved in are attending client meetings, tendering for new business, recruitment, research into new aids/tools, and looking at new office buildings to rent.

Which skills do you consider to be essential for your job? i believe it is important to be diligent and hard working, as well as being a little bit clever. For consulting, one should be at ease when you are meeting and speaking to people, and you must not be afraid to ask questions. although it is not essential for my job in particular, i do believe it has been a plus that i have been comfortable with occasionally being thrown in at the deep end and been able to swim!

What do you like most about your job? Being in a small company has allowed me to work closely and regularly with a number of qualified actuaries and owners of the company, who have vast experience between them. i love learning by attending and speaking at client and other meetings although i am mainly based in the office. the owners encourage staff to take relevant qualifications and offer good support.

How do you achieve a work/life balance? Outside of work, i have three months of play at a time and then hibernate for three months when i study. it can be difficult locking yourself away from everyone for long periods but, i find it is better for me to have a blinkered approach in order for me to pass the exams.

Future plans? i am hoping to qualify by 2012. i am enjoying the investment work i am currently doing and hope to gain a deeper knowledge in this field. this would allow me to present to clients and prospective clients as a lead advisor.

Job title: Pensions consultantEmployer: Watson Wyatt, ReigateDegree subject: MORSE (Maths, Operational Research, Statistics, Economics), university of Warwick

When and why did you choose an actuarial career? During a levels when i was going through the ucaS process, my maths teacher suggested i look into the actuarial profession as she believed it would suit my abilities. the actuarial Profession website was especially helpful when researching as it has a section for students, and gave me a genuine insight into what the profession entailed. as i enjoyed maths and wanted a challenging job which would utilise mathematical and analytical skills, and which would involve frequently conversing with colleagues as well as clients, i chose to pursue the profession. as an actuary you get the opportunity to perform the calculations whilst also meeting the clients you are doing them for, which provides the opportunity to see where the work you do fits in the bigger picture. i have found this

aspect to be highly rewarding. in my second year at university i did a summer internship at an actuarial consultancy, which gave me an insight into the day-to-day work involved and helped confirm that this was the right career path for me. the profession is very well regarded globally, which is reflected in your pay package and job security.

Briefly explain what your work involves. i work in the Benefits Practice at Watson Wyatt, which involves working on Pension Schemes for companies across the country. the clients i work on are both large and small and it’s nice to sometimes see a client you’re working on in the newspaper or on the news. Everyday is different, which makes the job interesting. On a daily basis i might be working on calculating the value of an individual member’s pension, valuing the whole pension scheme, developing key pensions software for clients, attending client meetings, assisting with developing presentations for clients, and giving training. at Watson Wyatt you are encouraged to think independently and use your initiative to come up with your own way of getting the answer. training is also a key part of being an actuary, to help develop your knowledge further.

Which skills do you consider to be essential for your job? as an actuary, it is essential to have team working skills. a lot of the work i do is in teams, and it is important to be able to work within the team to get the task completed efficiently and on time. also, you need to be able to manage your time efficiently as sometimes you will be working on a few tasks at the same time with different deadlines, and having to fit study into your week as well. You need to be able to motivate yourself, think independently, and enjoy learning.

What do you like most about your job? it's the people i work with. in the Reigate office i work with people from diverse backgrounds and cultures. they are very approachable and everyone is always willing to take time out to answer any questions i have. the environment at Watson Wyatt is very friendly and there are many socials organised throughout the year. Everyone works hard, but also knows how to enjoy themselves, this makes working here very enjoyable. i also like the fact that you are continuously learning and as a graduate you will be joining with many people who are in the same position as you. n

REALW.MAR09.ACTUARIAL.indd 46 27/2/09 18:15:33

GRADUATE TRAINEE ACTUARIES – CENTRAL LONDON

ACTUARIES IN THE PUBLIC SECTOR FOR THE PUBLIC SECTOR

GAD are committed to equal opportunities. Accordingly, we recruit, train and promote people in all job roles regardless of their race, colour,religion, national origin, gender, age, sexual orientation or disability or any other grounds which are unjustifiable in terms of equality. GAD followsthe Guaranteed Interview Scheme for all applicants with a disability.

The Department’s recruitment processes are underpinned by the principleof selection for appointment on merit on the basis of fair and opencompetition as outlined in the Civil Servicte Commissioners’ Code which can be found at www.civilservicecommissioners.org.uk

The rewards packageincludes a competitive salary+Excellent training and support+Defined benefit pensionscheme+Flexible working hours+Generous study leave andannual leave+Commitment to continuing professional development

=Excellent Opportunity

YOUR REWARDSAt the Government Actuary’s Department weare renowned for the quality of our advice. This isbecause we select only the most promising recruits.

Providing consultancy advice to some of the largestpension schemes in the UK, our work is crucial to thewelfare of millions of people. Our graduates are theactuaries of the future.

As a trainee actuary you will work as part of ateam, with qualified actuaries, to deliver adviceacross a broad range of areas such as valuations,benefit design, investment strategy and governmentpolicy.

In addition to advising government, trustees andemployers, there may also be opportunities to workin UK and International Social Insurance. As yourexperience grows you can expect to have regularclient contact.

To help you qualify as quickly as possible we offersubstantial study support with generous study leaveand paid for tutorials, courses, exam entry andexam counselling. We also provide one of the finest training programs in the industry with a rangeof professional briefings, management and businesscourses to enable you to develop into a leading all-round actuarial consultant.

To applyVisit www.gad.gov.uk/careers for details of how to apply. Closing date for completed on-line application is 30 June 2009.Applicants who applied for this vacancy in the previous 12 months need not re-apply.

For enquiries or if you require the application in an alternative format, please contact VeronikaHeinecke, Personnel Officer, on 020 7211 2734 or e-mail us at recruitment@gad.gov.uk.

actuarial | case study rW

‘THE STUDY SUPPORT IS EXCELLENT AS EACH TRAINEE IS ASSIGNED A QUALIFIED ACTUARY AS A mENTOR, wHO KNOwS wHAT IS REQUIRED .’

Chris Daniels

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CHRIS DANIELS

"My colleagues have been extremely helpful and are always ready to explain ideas and concepts."

PROFILE

Since joining GAD, I have worked on a wide variety of projects from a consolidatory report on the Local Government Pension Scheme (which is broken down into individual funds but taken as a whole has over four million members making it the largest pensionschemes in the country) to assisting on valuations for the Firefighters’ and MP's PensionScheme. I have also worked on individual pension calculations for high profile local government employees.

My colleagues at GAD have been extremely helpful and are always ready to explain ideas and concepts that I have difficulty with. Within the department, there are a large number of actuaries to work with and learn from; in particular, the study support is excellentas each trainee is assigned a qualified actuary study-mentor, who, as a qualified actuary,has been through the exams and knows what is required to pass them.

There is an extensive and personalised training program to ensure that employees are wellversed in technical and and non-technical skills. Recent training courses I have been on havecovered such diverse topics as client service and communication skills to the workings of ouractuarial valuation software.

It is an exciting time to be at GAD as the department continues to grow and expand intonew areas of government.

I was initially attracted to GAD by the unique public sector focus of the department and the important role it plays within government.Since joining I have been equally impressed with the culture, the work-life balance and the range of opportunities available.

DEPARTMENT Occupational Pensions

TIME AT GAD One year

STUDIED AT London School of Economics

DEGREE BSc in Actuarial Science

Degree and university: london School of Economics, BSc in actuarial SciencePosition: Occupational Pensions, Government actuary’s Department

What do you actually do? Since joining GaD, i have worked on a wide variety of projects, from a consolidatory report on the local Government Pension Scheme (which is broken down into individual funds but taken as a whole has over four million members making it the largest pension schemes in the country), to assisting on valuations for the Firefighters’ and MP’s Pension Scheme. i have also

worked on individual pension calculations for high profile local government employees.

My colleagues at GaD have been extremely helpful and are always ready to explain ideas and concepts that i have difficulty with. Within the department, there are a large number of actuaries to work with and learn from; in particular, the study support is excellent as each trainee is assigned a qualified actuary study-mentor, who, as a qualified actuary, has been through the exams and knows what is required to pass them. there is an extensive and personalised training program to ensure that employees are well versed in technical and and non-technical skills. recent training courses i have been on have covered such diverse topics as client service and communication skills to the workings of our actuarial valuation software.

it is an exciting time to be at GaD as the department continues to grow and expand into new areas of government.

i was initially attracted to GaD by the unique public sector focus of the department and the important role it plays within government. Since joining i have been equally impressed with the culture, the work-life balance and the range of opportunities available.

REALW.MAR09.ACTUARIAL.indd 47 2/3/09 13:59:58