Actuaries vs analysts
The impact of AI
CPD with a difference
Need for CCOs?
PhilipLongonupskilling
Leadership tips
Shiny and other apps
Best business books
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18 Learning: Remote control
Online training isn’t just convenient, says Jeremy Keating – its benefits go far further than that
20 Software: Polished product
Aristides Zenonos and Phanis Ioannou on the power of the software tool Shiny
22 Training: An ethical renaissance
Actuarial education has changed a lot over time, says Colm Fitzgerald – where to next?
24 CPD: Grow, not groan Helen Wright on how to change your approach to the CPD ‘chore’
26 Actuaries vs data scientists: Stand out by standing together
We needn’t see data scientists as a threat, says Jack Harrington
28 Company culture: Charging up With our whole approach to working life revolutionised, being your own boss is key, says Cathy Desquesses
30 Work experience: Startership enterprise
Newbies can feel like aliens when they start work – three South African actuaries launched a helpful scheme
33 AI: Master the genie
Artificial intelligence isn’t going anywhere, warns Zhixin Lim – so how can we become indispensable?
Did you know you can read The Actuary magazine on any tablet or Android phone? Click through to read more online, download resources, or share on social media via our links in the app. It’s an exclusive free benefit for our members. Download on the App Store at: www.theactuary.com/ipad Visit: www.play.google.com
34 AI: The great big giveaway? Mark Farrell asks: are we in danger of making the ultimate sacrifice to the ever-more sophisticated machine – our brainpower?
37 C-suite: The case for CCOs
We need chief climate officers, say Cillian Williamson and Jack Harrington, and actuaries fit the job
38 Leadership: Team tactics
Julia Lessing shares advice for those stepping up to a management role
41 Extra-curricular
Playing the church organ has helped actuary Alex Martin to feel part of his community
42 Soft skills: Shelf improvement
Greg Jarvis on the business books that could give you the edge
44 Student
It’s helpful to remember there’s a difference between correlation and dependency, says James Reeder
46 People/society news
The latest updates and events
47 Puzzles
See additional content, including actuarial news, at www.theactuary.com
Sign up for our weekly email newsletter at bit.ly/1MN3bXK
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Socrates said “education is the kindling of a flame, not the filling of a vessel”. While it may feel as if, to be successful in today’s world, we need to cram our brains with as much information as possible (actuarial students will certainly feel this at times…), true advancement comes from a wide range of things, not least experience and self-knowledge. And, of course, where would we be without inspiration?
I hope this special issue, devoted to education, can inspire you in your actuarial career. Whether you prefer to learn from listening to leaders or from a book, we aim to provide something here for you.
Perhaps you will, like our interviewer Ruolin Wang, want to find out more from Swiss Re’s group chief actuary, Philip Long, about the scheme he set up to help his team stay skill-fresh (p12)? Or, if you consider CPD something of a ‘chore’, maybe Helen Wright can offer you a new perspective (p24)? Or why not read why pricing actuary
Jeremy Keating is such an advocate of online training (p18)?
Technology, of course, is an area in which we are all learning on a daily basis. On pages 33-36, we delve into the role of artificial intelligence – what’s its place in actuarial education, and how will actuaries make sure they’re not eventually done out of a job? Some are already feeling their territory encroached upon with the rise of the data scientist. Jack Harrington isn’t shy of the debate (p26).
Since the last issue of the magazine, yet another bank has collapsed: First Republic Bank. There is more of a need than ever, in the financial services arena, for highly trained, professional actuaries – the better we all are at our jobs, the better off the world will be.
Ifirst became aware of the actuarial profession while attending a careers advice day at school when I was a teenager. From time to time, I’ve wondered what direction my career might have taken had I not attended that careers session. Who knows? What I do know is that I’m immensely grateful for the career I’ve had within the actuarial profession. It has offered me the opportunity to work with some superb people, been intellectually stimulating, allowed me to contribute back to society and, perhaps most importantly, meant I met my wife, who is also an actuary!
I mention this because in May I attended a number of new qualifiers events, both in the UK and in China. It’s always a privilege to meet the new generation of actuaries coming through and to have the opportunity to speak to them about their hopes and ambitions. Without exception, everyone I speak to is positive, enthusiastic and excited about the opportunities that lie ahead. I find it humbling and it gives me confidence that the profession is in safe hands.
I always planned to mention the new qualifiers events in my column this month but it also ties in nicely with the theme of this issue: education. I am passionate about the importance of keeping our skillsets up to date. If we look back over just the past 10 years, the speed of change has been breathtaking – and is only going to get quicker. We have to embrace these changes and ensure that we’re not left behind – none of us can afford to stand still.
When we’re busy with work and life commitments, it can sometimes feel hard to find the time to focus on our longer-term personal career strategies, but I urge you to do so. Qualifying as an actuary is in itself a significant achievement, but I also believe we have a responsibility to continue nurturing and cultivating that achievement throughout our career. I hope you will find a few minutes in your day to look through the articles in this issue. I’m sure you will find something that will inspire you and get you thinking about your own personal development.
Matt talks about the importance of individual learning and I want to endorse his sentiments on the importance of carving out time to focus on your own personal strategies for growth and career development. However, I believe that as an organisation we also need to keep learning, which is why we have been working hard behind the scenes to further strengthen our member-focused culture, using the feedback you gave us in our member surveys as a foundation on which to build. We have also been making big strides in key initiatives, of which our members will soon see the benefits. Our priority is to run the IFoA efficiently, with a clear focus on providing value for money in everything we do.
I’m finding it hard to believe that we’re already in June. While I’m pleased with our work and progress so far this year, we have plenty more to do. In the coming months, we will continue to develop our member offering to ensure it is meeting your needs and providing value and professional support.
To sustain public confidence and help us to develop more meaningful relationships with key stakeholders, we will be advancing the work we have been doing to be ‘the voice of actuaries’ and ‘to support, develop and be the voice of our members’. We will also be exploring the implications and opportunities that come from being a global body with UK heritage, and strengthening both our brand and the brand of actuaries.
Last but not least, we will continue to improve our member services and will be embedding a ‘digital first’ organisational model with a set of capabilities that are fit for the long term as we complete a multi-year programme to modernise our infrastructure. There is lots to do, but also lots of energy and enthusiasm to do it.
Our current strategy also closes out next year, so work is already underway regarding what our next one will look like. We look forward to keeping you updated on this work as it progresses.
Book your ticket by 15 June at actuaries.org.uk/ifoaconference23
There’s still time to buy your ticket to the IFoA Conference, taking place in London and online on 26-27 June.
Inspiring speakers
There are five plenary sessions lined up, with a range of high-profile, thoughtprovoking speakers confirmed for the event, including:
Maz Bown, chief risk officer for Aviva Insurance across UK general insurance and Aviva Health UK
Baroness Camilla Cavendish, former head of The Number 10 Policy Unit
Chris Curry, principal of the Pensions Dashboards Programme at the Money and Pensions Service
Leah Evans, outgoing chair of the IFoA Pensions Board and member of the Continuing Mortality Investigation Executive Committee
Peter Hamilton, disability and access ambassador for the insurance industry on the British Insurance Brokers’ Association’s Access to Insurance Committee – reporting to the Cabinet Office’s Disability Unit
Hetty Hughes, manager in the long-term savings team at the Association of British Insurers, responsible for analysis of issues in the retirement market and responding to policy developments in this area.
Heidi Karjalainen, research economist in the retirement, saving and ageing sector at the Institute of Fiscal Studies
Vincent Keaveny, partner at international business law firm DLA Piper, advising on finance and debt capital markets transactions in the UK and Europe
Stuart McDonald MBE, partner and head of longevity and demographic insights at LCP
Greg Thwaites, research director at the Resolution Foundation
Sir Stephen Timms MP, chair of the Work and Pensions Select Committee, and the Prime Minister’s Trade Envoy to Switzerland and Liechtenstein
Ben Westerman, interim executive director at the Aldersgate Group
In addition to the plenaries, each practice area will be running five workshops. These include:
Seeking opportunities from the new Consumer Duty: Karen Brolly, Siobhan Lough, Dharshini Navaratnam and Natanya Taylor, all Hymans Robertson
Solvency II reform update: Graham Cornish and Ellie Hutchinson, Grant Thornton UK
General insurance
Update from the Climate Change (General Insurance) Reserving Working Party: James Orr, Bank of England; Alex Marcuson, Marcuson Consulting; Steve Patfield, Hiscox
Future-gazing – Insurance in the fourth industrial revolution: Edward Plowman, Hitachi Vantara
Pensions
Sole trusteeship – where do we go from here? Donna Matteucci, LCP; David Fairs, The Pensions Regulator; Hilary Salt, First Actuarial
CDC spotlight: Global insights for UK action: Barbara Sanders, Simon Fraser University (Canada); Simon Eagle, IFoA CDC Working Party and WTW
Finance and investment/ risk management
LDI Another Day: Michael O’Connor, NatWest Markets
How do actuaries impact levelling up and net zero?Introducing New Capital Consensus project on the investment system: Peter Scolley, M&G; Nick Silver, Callund Consulting
Healthcare
Advanced approaches to analyse income protection experience: Zoe Woodroffe and Louis Rossouw, Gen Re
Next generation critical illness: Jason Eaketts, Swiss Re; Szymon Marszalek, VitalityLife
Earth Jenga – can actuaries learn to play by new rules? Sandy Trust, M&G
Net zero for asset owners – how to meet targets while considering your fiduciary duty: Niamh Boyle, EY
The Actuarial Mentoring Programme (AMP) is a global cross-company mentoring initiative that aims to improve diversity within our profession. Supported by the IFoA and sponsored by the Pension Insurance Corporation, it has been run by Moving Ahead since it launched in 2017.
Initially set up as a scheme for female actuaries, it has expanded to include actuaries from a broad range of backgrounds and now has the wider aim of creating an inclusive culture.
With its focus on retaining and developing people from diverse backgrounds within the profession, the AMP has supported more than 800 mentors and mentees from over 25 organisations since its foundation. This year, it has welcomed 160 participants from 14 organisations.
As part of its commitment to increase diversity in the actuarial profession, the IFoA Foundation has
helped the AMP to further widen participation, last year funding 10 mentee places – find out more at bit.ly/IFoA_mentoring_matters
This innovative approach opened the programme to any recent actuarial graduate, anywhere in the world, to support early-career actuaries. AMP mentoring was previously only accessible to participating employer organisations.
AMP mentoring is primarily geared at overturning personal barriers to progression within the actuarial profession. It aims to empower mentees by encouraging a growth mindset and boosting connections, helping them to challenge their own ideas about success.
“A big part of why I came on the programme was to figure out whether there was space for someone like me to progress in the actuarial profession,” said one AMP mentee. “There certainly should be, and it has shown me there are similar perspectives in other companies.”
In addition to providing space for mentees to focus on their careers, the AMP sets out to build their
confidence in themselves and their talents, while equipping them with both the skills and permission required to network and self-promote.
Another AMP mentee said: “It was great to hear about someone else’s career story and be able to share daily challenges in my role, as well as to discuss the wider picture of where my career is heading.”
The AMP provides a framework for addressing both systemic and personal barriers that prevent the diverse leadership that drives innovation. By facilitating exposure to lived experiences that can alter mentors’ internal biases and instilling a drive for change, the programme lays the groundwork for broader systemic change, driven by reverse mentoring.
As a result, this led one AMP mentor to comment: “[I have] thought more about the flexibility of career paths within an organisation.”
The programme’s goal is to improve diversity within the profession, with an emphasis on mentoring relationships and events, to enact the changes needed to support diversity among actuaries.
The AMP collects data at four points along participants’ mentoring journeys. By using
implicit questioning around self-perception and careers, combined with explicit questioning on the mentoring relationship, it is better able to understand its impact.
Across previous cohorts, an average of 80% of mentees agreed that their mentor increased their confidence and made them feel empowered, while 53% felt equipped to network and self-promote. On average, 46% of mentors agreed that their mentee had helped them see the workplace differently.
At the end of the 2021-22 programme, 65% of mentees had been promoted, expanded their responsibilities or moved role.
At the midway point in the 2022-23 programme, 35% of mentees have already expanded their responsibilities or moved roles since the start, 35% say their mentor has empowered them in development and salary conversations, and 54% agree their mentor has boosted their confidence. Meanwhile, 27% of mentors say their mentee has heightened their awareness of barriers faced by others in the workplace.
The AMP aims to build on its mission next year by recruiting an even wider range of employers. If your organisation would like to join in, email Lubaid Khan: lubaid.khan@moving-ahead.org
In five years, the wide-reaching Actuarial Mentoring Programme has helped hundreds of actuaries develop in themselves and progress in their careers
The Insurtech Innovation and Efficiency Working Party was set up in 2019 to keep the profession informed on developments and trends in the general insurance insurtech space, with a particular emphasis on any impacts on actuarial work.
The working party is now looking for new members from the general insurance community or from the technology side. Membership is open to both members and non-members of the IFoA. Ideally, you will have some knowledge of or exposure to insurtech, but an enthusiasm to learn, research and contribute to the working party is the most important criterion.
The time commitment is around three to six hours per month. There is a formal working party meeting every other month and an informal catch-up in the intervening months. If you would like to have an informal conversation with the working party chair before submitting your application, please contact the Engagement Team at engagement.team@actuaries.org.uk
Interested? For more information, go to bit.ly/IFoA_volunteer_insurtechWP Applications must be submitted by 29 June
After a gap of more than two years, we’re pleased to announce the return of in-person sessional meetings and networking to Staple Inn Hall, London.
Importantly, these events will also be livestreamed, enabling members to attend wherever they are based, and some will still take place via webinar only, due to speaker location or preference.
The IFoA Sessional Research Programme (bit.ly/IFoA_sessional_prog) gives members and other stakeholders the opportunity to present and discuss research that advances actuarial science and complements the IFoA’s objectives. Each paper presented, along with the transcript of the meeting and Q&A, will be published in the British Actuarial Journal
If you have any questions about the Sessional Research Programme, contact Mairi Russell: mairi.russell@actuaries.org.uk
The annual Undergraduate of the Year Awards, hosted by recruitment firm TargetJobs, features a Future Actuary Undergraduate of the Year Award to help aspiring actuaries launch their careers through paid work experience and mentoring opportunities. The award, designed by Aon, is open to students who study a numerical degree such as maths or actuarial science.
Earlier this year, the IFoA joined Aon to welcome 18 undergraduate students to its London headquarters to take part in an ‘Insight and Selection’ event, and 10 students were successful in reaching the final of the 2023 event in London.
“We chose to partner with TargetJobs to launch the Future Actuary Undergraduate of the Year Award,” says Frankie Boateng, early careers recruitment business partner at Aon. “Throughout the process, we were blown away by the engagement, enthusiasm and
skills demonstrated by the participants and look forward to welcoming our winner onto our tailored 10-week paid actuarial summer internship.”
Richard Scott, head of UK, Europe and employers at the IFoA, added: “It was an honour to join Aon at the awards and inspiring to see so many talented young people who are passionate about a career as an actuary. While there could only be one winner, the future of the profession looks bright.”
Moyo Oyebanji, a second-year mathematics and actuarial science student at the University of Leicester, was named the winner. Moyo was born in Nigeria and grew up in London, and has always been determined to make the most of every opportunity. Given her interest in maths, probability and statistics, the actuarial profession seemed like a natural choice.
Here, she tells us about her love of maths and her plans for the future, and offers advice to the next generation of actuaries.
I had seen the emails promoting the event but didn’t think much about it until someone on my course encouraged me to apply. I want to work for Aon after university and this seemed like a great opportunity. It has been a great experience and I have learned a lot about myself. My advice to anyone thinking about applying is – just do it.
When I was applying for university, I didn’t know what I wanted to do. I knew I liked maths, started researching and found out about actuarial work. The course at Leicester also really encouraged me. My advice to people thinking about being an actuary is, don’t be disheartened by what other people say. People
advised me to look at other careers and said that studying to be an actuary was hard – but life is hard, so choose your hard! If you want to achieve something, go for it. Pick something you love – then you can enjoy the journey.
In terms of my future as an actuary, I am fascinated by reinsurance and investment –I am really interested in how money moves around and the risk elements of this. The modules we have done on reinsurance taught us about this and I am keen to learn more.
Before that, I would love to travel – I am eager to see the world. There are so many places to see, and different cultures and languages to experience. When I finish university, I am hoping to go backpacking and see as many different places as possible.
“People said that studying to be an actuary was hard – but life is hard, so choose your hard!”
he IFoA is proud of its heritage and takes seriously its responsibilities to maintain and safeguard its collections, which illustrate actuarial science’s rich history. In early 2023, the Faculty of Actuaries’ historical archives were relocated from the IFoA’s offices to an improved storage facility in Edinburgh. This was possible thanks to near-neighbours Abrdn (formerly Standard Life Aberdeen), which has kindly provided storage space in its own archive facility at Exchange Crescent, Edinburgh.
The move will ensure the long-term stability and survival of the archives, which will be held in a secure and temperaturecontrolled environment. They will remain accessible to IFoA members and all researchers via an appointment and retrieval system. The IFoA is grateful to Abrdn for its help and guidance, with particular thanks to company archivist Karyn Williamson for making the move possible.
The Faculty of Actuaries was founded in Edinburgh in 1856, eight years after the formation of the London-based Institute of Actuaries. In October 1868, the faculty was granted its Royal Charter, the original of which is preserved in the archive. The faculty was separate from the institute until their amalgamation in August 2010 created the IFoA; the institute’s archives are currently held in Staple Inn, London.
The faculty retained full and accurate records of its activities from its inception, and these form the basis of the current collection, which consists of more than 2,000 items –most of them unique and irreplaceable.
Among the most important records is a set of leather-bound Faculty Council minute books covering the years 1856 to 2010. These record faculty business and proceedings and provide a fascinating insight into the faculty’s development and workings over 150 years. Similarly, Faculty Yearbooks covering 1931 to 2002 include transcripts of the annual presidential ‘state of the nation’ addresses, summaries of accounts, AGM reports and exam syllabuses.
Membership records are among the most interesting and popular items, and are of great value to social historians and genealogists whose ancestors were employed in actuarial work. The Faculty Yearbooks contain lists of students and Fellows, including qualification dates and employers. Likewise, Rolls of Faculty Students (1856-1936) and Fellows and Honorary
The faculty and institute archives are managed by the IFoA Library and Knowledge team. Experienced staff have produced collection catalogues, and there are plans for a digitisation programme to increase availability.
The IFoA Library also holds a unique collection of actuarial books, pamphlets and journals, the earliest dating back to the 17th century. If you would like to consult items from the collections, contact libraries@actuaries.org.uk to arrange an appointment.
The Faculty of Actuaries’ archives are a goldmine for those interested in Scotland’s actuarial heritage, and a recent move ensures they should ne’er be forgot