Undergraduate Studies in Economics Undergraduate Studies in ...

What is an actuary? versatile career oPPortunities
The work of an actuary involves the assessment,
evaluation and management of the financial
risks faced by individuals, households, investors,
companies and governments as they plan for
the future. These risks vary from an illness,
disability or death, to the effects of a cyclone,
earthquake or a major economic or social change.
Hence the actuary’s work is based upon a multidisciplinary
background of mathematics, statistics,
demographics, finance and economics.
As a result of this diverse multi-disciplinary
background and their strong analytical skills,
actuaries serve as financial advisers to a wide range
of commercial organisations including life, general
and health insurance companies, superannuation
funds, banks, other financial institutions and
governments. In most cases, they are asked to
tackle a wide range of financial problems, often
involving future uncertainty. An ability to express
their conclusions in clear and concise language,
both in the written and verbal form, also represents
an essential part of their work.
Actuaries are commonly employed by insurers,
banks and specialist actuarial consultancies.
The work of consulting actuaries, who offer their
professional services for a fee, covers a wide
range of areas and includes:
Y advice on the design and financing of
superannuation funds and other employee
benefit schemes
Y measurement and analysis of the investment
performance of financial institutions
Y valuation of a life insurance company in the
event of its purchase
Y advice to a range of financial institutions,
concentrating on future plans and strategy
Y carrying out financial projections for general
insurance and financial companies and, on
occasions, providing advice to potential
purchasers or sellers
Y statistical and financial advice in many other
areas including friendly societies and
health funds.
In recent years actuaries have developed their
role in banking and finance. The analytical skills of
actuaries are now seen as invaluable in banking
activities including security pricing, valuations
linked to mergers and acquisitions and project
finance, and also the development of enterprise risk
management programs.
The skills that you develop in an actuarial studies
degree are readily transferable and actuaries
are now called upon to provide expert advice in
diverse areas including valuation of students’ HECS
liabilities, providing financial planning type advice
to retirees and people approaching retirement and
providing advice to government through bodies
such as the Australian Prudential Regulation
Authority (APRA) and the Australian Securities and
Investments Commission (ASIC).
Actuaries are playing an ever increasing role in
health and long term care. Actuarial advice has
been sought by private health insurance companies
advising governments on alternatives to community
rating pricing methods.
Why Major in Actuarial Studies?
The main reason for majoring in actuarial studies
is to enter the actuarial profession. Actuaries are
highly respected in all areas of insurance and
superannuation. Actuaries are also called upon to
provide advice and to work in areas of investment
management and finance. By entering the actuarial
profession you will enjoy a very rewarding career.
You will routinely be involved in solving real world
business problems either for management or for
external clients using a unique skill set.
Actuarial studies will give you the ability to apply
mathematical and statistical methodology to
problems that businesses regularly face. You
will develop the confidence to build computer
spreadsheet models and be able to use these to
answer complex questions and most importantly
you will learn how to communicate these results.
The actuarial undergraduate training provides an
ideal foundation for further study in areas as diverse
as finance, econometrics, applied statistics and of
course actuarial studies itself!
Whichever path you decide to take after completing
your actuarial degree you can be sure that your
actuarial skills will be useful and highly sought after.
actuarial
stuDies at the
university of
melbourne
a stuDy choice
With great
returns
4 5