The Actuary May 2016

MAY 2016 theactuary.com

Interview: David Spiegelhalter The magazine of the Institute and Faculty of Actuaries

Promoting a public understanding of risk

Pensions Asset allocation and the reduction of risk

Investment Challenges in developing ESG software

Risk Decision risk analysis in the oil and gas sectors

STATISTICALLY SPEAKING Bringing data into the spotlight p01_may_cover•FINAL•CT.indd 1

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Contents

MAY 2016

18

“I feel very strongly that there is an ethical duty to provide balanced and clear information, such as the harms and benefits of healthcare treatment”

30

UP FRONT 9

IFoA news The latest news, updates and events from the Institute and Faculty of Actuaries

OPINION 4

5

14

FEATURES

AT THE BACK

18 Pensions: Taming risk

33 Student

Dan Mikulskis examines how changes in asset allocation affected risk levels in UK pension schemes over the past decade

22 Pension freedom: Is it enough?

Editorial

Derek Steeden, Sally Rayment and

Richard Purcell reflects on how actuaries can inform the many big decisions facing society

Francis Chua suggest inclusive

Letters Actuaries discuss appreciation of soft skills, a dream job and Solvency II

projections will help people understand how actions and income affect pensions

25 Life: The growth marches on Costas Yiasoumi examines how MUBAs have affected bulk annuity pricing

7

President’s comment Fiona Morrison considers the next generation of actuarial leaders

8

28 Investment: Hidden complexities The challenges in developing ESG

CEO’s comment

software to value liabilities and hedge

Derek Cribb invites actuaries to use their skills to participate in the EU referendum and IFoA Council elections

interest rate exposure are intricate.

13 Soapbox Martin Potter examines the possible effects of the EU referendum on Scotland and UK financial services

MORE CONTENT ONLINE Additional content can be found at www.theactuary.com

COVER: PETER SEARLE

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Richard Silveira reports

30 Risk: Decisions and uncertainty Pete Naylor talks to Cintia Cheong and Richard Purcell about making business decisions in the oil and gas industry

When it comes to studying, a predictable storyline is best, says Jessica Elkin

34 Books Nick Silver reviews Other People’s Money

by John Kay

35 Puzzles The latest cryptic crossword and Mensa puzzles

36 People/society news 38 Appointments and moves 38 Actuary of the future Sanjay Chandran of EY

ONLINE Alternative longevity insurance Caspar Young explains how longevity insurance transactions are cost effective for a wide range of pension schemes

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Editorial editor@theactuary.com

Decisions, decisions In the run-up to the EU referendum, Richard Purcell reflects on how actuaries can inform many big decisions facing society

(p30) explains how, in other industries like oil and gas, questioning and listening to stakeholders is also vital to effective decision risk analysis.

In serving the public interest, perhaps we should also have a more visible role in the big decisions of our time.

This month, we interview Sir David Spiegelhalter (p14), the incoming president of the Royal Statistical Society, who believes statisticians should have a higher profile in policy, society and the media. Shouldn’t actuaries be working towards the same goal?

After attending one of the IFoA’s EU debates, it feels to me we are very much engaged in this oncein-a-generation event.

What’s more, we can provide some valuable insight on the big issues. Martin Potter, from the IFoA Scottish Board, shares his views on one possible Brexit scenario (p13).

Whatever your views, I hope actuaries continue to engage, inform and give voice to a historic decision that could irrevocably change our society.

When I received my leaflet from the UK government, explaining why it believes we should remain in the EU, it got me thinking about how we help our own stakeholders understand facts and make complex decisions every day. Of course, we have the Actuaries’ Code to guide us.

It prescribes a number of considerations, but one that stands out for me is putting information into proper context.

With pension freedoms offering more options for customers planning their retirement, providing that wider context has never been more important.

In this issue, the Why Retire working party (p22) suggests how rules of thumb and holistic tools can help customers make more informed decisions.

It’s easy to think our role in decision-making is just about presenting the facts, but Peter Naylor

“After attending an EU debate, it feels to me actuaries are very much engaged in this once-in-ageneration decision”

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While every effort is made to ensure the accuracy of the content, the publisher and its contributors accept no responsibility for any material contained herein. © Institute and Faculty of Actuaries, May 2016 All rights reserved ISSN 0960-457X

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THE ACTUARY • May 2016 www.theactuary.com

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Opinion Letters to the editor

Have your say online

More comments can be posted online about news stories published on www.theactuary.com.

Soft skills scuppered Derek Cribb makes some very interesting observations in his article: Through The Actuarial Looking Glass, The Actuary, March (bit.ly/21x1UoI). I share his concerns about promoting the actuarial skillset and getting actuaries into more diverse fields. I can’t help thinking, though, that rather than trying to convince others of our ‘extra-actuarial’ worth, we should start by convincing ourselves of it.

Let’s be honest – actuaries are lousy recruiters. A valuation actuary is great at assessing another valuation actuary’s skillsets and experience, as is a pensions actuary able to assess another pensions actuary. But actuaries that are able to assess others that don’t look and smell exactly like themselves are hard to find. Similarly, there’s no point telling us we need to sell our softer skills to the wider world if we’re no good at spotting them among ourselves. I, for one, am not surprised that the supremacy of ‘traditional’ skillsets perpetuates.

Not so long ago, I was interviewed for a job that said it required international experience (which I have in abundance). I thought that cultural skills, empathy, appreciation of the difficulties of nonnative-English speakers deciphering the gobbledegook most of us speak, and so on, would be vital for the role. I asked the interviewer (who had no international experience) which aspects of international experience he considered the most important.

He replied: “It’s not important at all... they have to do things our way”. His reply astonished me and, needless to say, I didn’t get the job. It’s people like him we should work on first, not HR executives.

In another recent interview with an insurer, I was told that my wider business experience made me valuable and that my being an actuary was “an added bonus” – the fact that the interviewer even felt he had to separate the two is very telling.

Lee Faulkner FIA 29 March 2016

High expectations My daughter recently entered a Royal Mail competition in which she was asked to apply for her dream job. Being the daughter of an actuary, it is not entirely surprising that she chose the job of a chief actuary. However, her letter and her message highlights an issue that is worthy of further development. This is of either no insurance or under-insurance in certain parts of the world. She feels she is one of the lucky ones because we can afford to protect ourselves through insurance.

There were 100,000 entries into the competition and Gabriella made it through to be a regional finalist.

In addition to highlighting a real-world issue, it’s great to see actuarial work being so highly acclaimed. Here is an

MORE LETTERS ONLINE More letters are available online at www.theactuary.com/opinion

extract from the whole letter (bit.ly/1SVaDvX): “I would like you to consider me for your chief actuary role.

This is my dream job because I like a challenge and I love maths. Some of the largest centres for reinsurance are in London, New York and Bermuda, which are my favourite places in the world.

I know that some places in the world are not as lucky as we are, such as the Philippines. They get lots of tsunamis there. I know I can’t stop tsunamis happening.

But I can help people rebuild their lives after these events have happened. I would not like to think what it would be like for them, having to wake up in the morning with the fear that a tsunami could hit the beach at any moment.

I’d be the right person for the job because I care about being sensible with numbers. I am eight years old and I am always questioning maths... I was born in Bermuda and have lived through hurricanes myself, and I know it is a worrying time for people and I would like to give them reassurance in my role as chief actuary.”

Andrew Couper, FIA, group chief actuary and head of risk, Aspen 22 March 2016

Rationale for Solvency II Cathal Rabbitte’s letter (The Actuary, March) was interesting reading for someone who describes Solvency II as yesterday’s solution to the previous day’s problem.

For decades, much of the UK life assurance industry has pursued a business model around products that transfer risk to policyholders. Consequently, most of the industry’s investment risks threaten possible legitimised policyholder detriment but without direct first-order solvency implications. This, unlike detriment from insolvency, is not mitigated by compensation schemes.

In the UK now, life company insolvency is no longer the major potential cause of poor policyholder outcomes.

The risk transfer business model has arguably removed much of the rationale for Solvency II. This inevitably calls into question whether resources devoted to Solvency II were really proportionate to the scale of its relevance within the bigger picture.

Perhaps complex mathematical models of factors affecting solvency are more exciting than considering how to contain the worst aspects of potential policyholder detriment inherent in the risk transfer business model.

But the latter challenge, however seemingly mundane, might be more significant in the overall scheme of things.

Ironically for a designated consumer protection measure, some who worked on Solvency II maintained that less diligence was needed for risks to policyholders than for those falling on the firm. This concept exists at least once in the final product.

Lastly, a possibly naïve question on market-consistent valuations. How to operate the £1 trillion-ish existing UK unit-linked business, including tracker funds, with a different asset valuation methodology?

Peter Morris 15 March 2016

The editor welcomes letters of 300 words or less for print. Longer letters may be published online. The editor reserves the right to edit all letters for publication. Please email editor@theactuary.com. The deadline for the June issue is 16 May 2016.

May 2016 • THE ACTUARY 5 www.theactuary.com

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Fiona Morrison is the president of the Institute and Faculty of Actuaries

President Comment

Climb every mountain

Despite the fact that I had always planned to use one of my articles to focus on inspirational people, I didn’t quite expect to get a eureka moment while ski touring on Petit Mont Blanc in the Alps.

It seems that my passion for this activity is shared with a number of other actuaries, many of whom I have bumped into at other events and locations, ranging from walruswatching in Svalbard, to IFoA volunteer recognition parties in London. While in itself this is not unusual, what did surprise me was that we also shared the same ski teachers or mountain guides.

I suspect you are wondering what is ‘inspirational’ about that? Well, that day in the Alps, I was with a fantastic guide.

My reflections, as I stood there halfway up the mountain, were of the generation of British IFMGA mountain guides (now in their 50s) who transformed their profession from climbing – mixed with a bit of skiing –into one of brilliant skiers and accomplished climbers. Their ability to read the mountain and find wonderful snow to ski is amazing.

Those of you who love ski touring will know that you spend hours climbing up mountains in search of the perfect ski run. These hours of gliding (or trudging) up the mountain are often spent chatting with the guide, and I was struck by my conversations with some of the new generation of guides, in their 30s or early 40s, who are also shaping their profession.

For them, being a great skier is now a prerequisite, and it is their focus which I find fascinating. Accidents will always happen in the mountains. What this new generation of guides is interested in is eliminating the weakest part of the system, or the day.

We chat about professionalism, investigations after accidents, and research – do more ski injuries happen on the last run of the day? I gather that they do. What struck

Fiona Morrison draws some inspiration from the ski slopes when considering the next generation of leaders of the profession me, and has inspired me in my role as president of the IFoA, is that these guides are the leaders of the future, moving their profession forward, adapting in a changing world.

One of the joys of being president is meeting lots of people I would not normally encounter. A group that has stood out, in particular, are those who attended the recent IFoA Awards dinner, where we handed out prizes to the best students, and for the best research papers.

The level of enthusiasm, motivation and ambition from this cohort of actuaries coming through our profession was not only inspiring but also highly infectious.

I left the event reflecting that I had spent the evening in the company of some of the future leaders of our profession, who would seize the diverse business challenges and opportunities that lay ahead.

This also led me to think on what the IFoA needs from its future leaders and whether the people I see now are the only or main luminaries of the future? I suggest not.

Leaders can, and do, have very different attributes and styles. This diversity should

“The level of enthusiasm, motivation and ambition from this cohort of actuaries was not only inspiring but also highly infectious”

and must be encouraged and embraced if we are to succeed as a profession.

What I see in my working life, as part of the IFoA’s leadership team with Colin Wilson, Nick Salter and Derek Cribb, is that each of us has a different set of strengths, based on the ‘Clifton StrengthsFinder’. What this means, in reality, is that we have true diversity on the leadership team and are stronger for that, because we embrace it and use it to maximise our impact.

The challenge we face today is to encourage the next generation of leaders to come forward. Like those young mountain guides in the Alps, we need our younger members to champion innovation and change, to ensure that we, as a profession, adapt and adjust to meet the demands of the evolving world around us.

And what role can you play in this?

To those of you who have strong ideas on what a leader looks like, be open to other types. To those who may be hampered by not seeing yourselves as a future leader, don’t be constrained by self-doubt.

And to all of you, I encourage you to actively engage in the IFoA’s Council elections, either as a candidate or as an informed voter.

I look forward to watching those actuaries I met this year – as well as those I didn’t – progress as leaders within their own industries, and also hopefully as leaders of our profession in the years to come. a May 2016 • THE ACTUARY 7 www.theactuary.com

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Derek Cribb is the chief executive of the Institute and Faculty of Actuaries

CEO Comment

Let’s arm ourselves with the facts

Experience? Knowledge? Fear? Belief?

How do you make choices? Or, perhaps more important, how SHOULD you make choices?

In the Financial Times of 8 January, Martin Wolf commented on the forthcoming EU referendum, stating: “It is inevitable that the referendum will ultimately be decided by fear, hope and, not least, trust.” As chief executive of a public-interest body, I found this horrific. In June, we are faced with a once-in-a-generation opportunity to influence the destiny not just of the UK but also of a fragile European Union, and, by extension, global trade and economics. It is perhaps no surprise that leaders throughout the world have weighed in on the debate.

Our response to Martin Wolf was a letter, published on 15 January, positioning the IFoA as having a responsibility to use its unique skills and position to help inform the electorate: a call to arms not just for the IFoA but for all professional bodies to step up to the plate. Now is the time to stimulate debate and fuel the discussions, and I am personally passionate about ensuring we do our part to ensure that each person understands what they are voting for.

Informing the debate

results of the IFoA Council elections at our Annual General Meeting on that date.

The world is changing, and both skills and demands are evolving. We can choose to become more informed on the slowdown or decline in demand for certain actuarial skills, and work on exposing the opportunities the next stages offer the actuarial skillset, or we can allow our profession to fade away as markets change and develop, and shrug our shoulders – “major changes in demand won’t be in my time, I don’t need to worry”. Without the right people on Council, we may not adapt the actuarial skillset or influence markets sufficiently to sustain and develop the profession. We will run the risk of stagnation, whereby the profession that we are proud of would be unlikely to survive.

Within the IFoA, our Council is responsible for setting the overarching strategy of the profession. With the time to vote in the IFoA Council elections getting ever closer, I urge you to arm yourselves with the facts and vote not by name recognition, looks or employer, but for a

“Now is the time to stimulate debate and fuel the discussions, and I am passionate about ensuring we do our part”

Actuaries can add a unique perspective and trusted analysis, based on experience and evidence. As such, the IFoA has been working to inform the debate to make sure that the electorate is able to act on the complex issues thrown up as part of the EU referendum. We have held sell-out debates in Edinburgh and London, alongside regional events throughout the UK. In the run up to the 23 June election, not only can you exercise your right to vote on the future direction of the UK, you have the same opportunity regarding your profession, as we will be announcing the 8

Derek Cribb would like actuaries to use their unique skills to fully participate in the EU referendum and IFoA Council elections

candidate that will best grasp the opportunities for your profession.

Last year, we were oversubscribed with candidates in both the general and Scottish constituencies. As part of the IFoA’s dedication to informing our members, we understand the importance of sharing in depth what each candidate stands for.

I encourage you to review each of their video clips and manifestos and make a decision based on who you feel can best represent your profession. We are always trying new and innovative ways to reach our members, and as part of the elections this year, each candidate will submit a 100-word manifesto that will feature on theactuary.com, providing them with even greater access to all our voting members.

Make a real difference Last year, I was disappointed to hear, when discussing voting patterns with members, that many cast their votes without even reading the manifestos.

As ethical professionals, it is appalling to think that such an important vote could be cast without a thought or concern as to how this could affect the future.

Your vote is a personal and important chance to make a difference to the profession, which you have worked so hard to be a part of. a

THE ACTUARY • May 2016 www.theactuary.com

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News ARIAL PROFESSION

Upfront What are the diversity ‘elephants in the room’ for the actuarial profession today?

This was the question the IFoA looked to answer at the ‘Elephant in the Room: The Diversity Questions You’ve Always Wanted to Ask’ event on 14 March in London.

Chaired by IFoA president Fiona Morrison, the event boasted a high-profile panel of diversity experts: Jeremy Spira of the Thinking Ahead Group at Willis Towers Watson; Helena Morrissey, chief executive of Newton Investment Management and founder of the 30% Club; and Siobhan Martin, HR director of Mercer UK. All speakers shared their unique views on the challenges and solutions to tackling equality and inclusion.

The member-led IFoA Diversity Advisory Group organised the event to kickstart a conversation about diversity issues in the actuarial profession, in what is

hoped to be a series of events and projects over the next year. The event coincided with the launch of the IFoA diversity strategy, which sets out an action plan to tackle initiatives including a diversity scheme for IFoA boards and analysis of IFoA diversity data.

The IFoA has a vested interest in investigating the challenges it faces in this area. Co-chair of the Diversity Advisory Group Helen Crofts outlined how it investigated IFoA gender data for

the report it published last year, ‘Bringing the Benefits of Gender Diversity to All: First Steps’. “We looked at the ages at which men and women leave the profession, other than through retirement,” she said. “I was pretty horrified to find out that the average age men leave the profession is 53; for women, it’s 40.”

The evening’s speakers took the first step in addressing this.

Jeremy Spira profiled recent research by the Thinking Ahead Group on cognitive diversity, concluding that it can lead to collective intelligence, which in turn leads to positive outcomes for teams and organisations.

Helena Morrissey built on Spira’s foundation by highlighting her strategies as founder of the 30% Club, which advocates that 30% of all board roles should be filled by women. She found that successful campaigns set measurable targets, include those in power at the top, and are

suitably dynamic so they can be changed as priorities evolve.

Siobhan Martin finished the night by highlighting practical actions that organisations can take to roll out strategies in the workplace. Chief among these is ensuring inclusion is part of the mainstream workplace culture.

But the star attraction of the evening was the ample time put aside for a discussion session, providing a rare chance to share experiences and consider how to tackle issues. Subjects ranged from ways to permeate old boys’ networks, how diversity is about more than gender, why women still struggle to progress to the top, and how to deal with a board or director who hinders a diversity campaign.

While much was discussed, it is clear that there is still a lot more to do.

Interested in diversity? Join the IFoA Diversity Forum at bit.ly/1NctEOl

IFoA delegation visits ‘Our Story – Actuaries in Shanghai’ exhibition During a recent IFoA visit to China, president-elect Colin Wilson and chief executive Derek Cribb were invited by Shanghai Municipal Archives to visit China’s first-ever actuarial exhibition, entitled “Our Story – Actuaries in Shanghai”.

With more than 200 photos and documents on display, the exhibition showcased the history and development of the profession in China, especially in Shanghai, right up to current times.

China’s first insurance company branch was set up in Shanghai by Standard Life back in 1853; and its first life table was displayed at the exhibition. In 1910, the firm was incorporated in China, and its life table was split by age and by opium and non-opium smokers. Other valuable original exhibits showing the work of early actuaries in Shanghai were also on display.

The exhibition also looked to the future in its ‘future outlook’ section, where three past-presidents of the IFoA outlined their vision of what the actuarial future holds.

During the preparation of the exhibition, the IFoA library was very pleased to help with research about the first Faculty and Institute actuaries who worked in China at the start of the 20th century. The library welcomes enquiries where the IFoA’s historical archives and books can add illustration to new themes.

Enquiries: libraries@actuaries.org.uk May 2016 • THE ACTUARY 9 www.theactuary.com

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News

IFoA submits evidence on the lifetime ISA On 16 March, the chancellor made his Budget statement to parliament, setting out the tax and spending landscape for the coming year. There were a number of policy announcements that will be of interest to actuaries and that will have some impact on the direction of the IFoA’s ongoing policy and public affairs work. ● Sugar tax – soft drinks firms will pay a levy on drinks with added sugar from April 2018. ● Maths to 18 – Professor Sir Adrian Smith, former Royal Statistical Society president, has been asked to assess the feasibility of teaching all pupils maths until age 18. ● Insurance premium tax – the standard rate will rise from 9.5% to 10%. This will help to pay for new flood defences and maintenance of existing flood defences.

Standards framework reviewed The IFoA has carried out a review of its standards framework and published a report on the conclusions of the Standards Framework Review Working Party and recommendations arising from the review.

Visit: bit.ly/1VMCq6V

IFoA Asia Conference success The IFoA Asia Conference, held in Malaysia in March, welcomed more than 370 delegates from 20 countries, plus 100 students from local universities. Planning is already under way for the IFoA Asia Conference 2017, which will be held on 11-12 May in Hong Kong.

10

● Lifetime version of the individual savings account (ISA) – perhaps the most pressing of the chancellor’s announcements for the actuarial profession was the introduction of the Lifetime ISA (LISA). From April 2017, any adult under 40 will be able to open a new LISA, in which they can save up to £4,000 a year. Savers will receive a 25% bonus from the government on any investments, which can be used to buy a first home or fund retirement (if withdrawn after the age of 60).

In light of this announcement, the Work and Pensions Select Committee has re-opened its auto-enrolment inquiry, taking new evidence on LISAs. The IFoA’s Pensions Board has submitted a response, discussing: ● The potential winners and losers from saving in LISAs, compared with traditional pensions

● How this new savings vehicle might sit alongside the successful rollout of auto-enrolment (AE) to date.

The inquiry, and the IFoA’s response, looks at which groups in society could potentially benefit from an alternative form of saving for retirement, such as the self-employed and lowearners. We have also looked at the impact of the LISA on different rate taxpayers, both during their working lives and in retirement.

Some of our members have analysed the two savings vehicles and concluded that the LISA does offer a tax incentive for saving.

However the tax treatment of the employer contribution is a real advantage of AE and an important component of retirement saving. It is therefore important that the introduction of the LISA, whilst a positive for

some, does not undermine AE. In our inquiry response, we stress that it is important for people to weigh up the pros and cons of both savings vehicles dependent on their individual circumstances and that the risks of both are understood.

The IFoA, along with a number of other interested parties, has noted concerns that the LISA could be used as a stepping stone to a more comprehensive pensions ISA model. This could also lead to a comprehensive change to the pension tax framework, something that was discussed widely prior to the Budget. We have asked government to provide clarity on this point in order to curb some of the uncertainty generated by continual tinkering to the existing pensions framework.

Read the inquiry responses: bit.ly/1No86sB

400 Club reviews membership services

By Memoria Lewis, membership director This is a significant time in the IFoA membership calendar; it is when the 400 Club, your representative group of volunteers, gives its verdict on the progress the Member Support directorate has made over the past year. This is just one of the ways we ask you for feedback on our services.

It was pleasing that the overall satisfaction rate of 83% was on par with last year. One comment proved insightful. The member noted to improve their rating to a ‘very satisfied’, they’d like to receive more targeted /impactful information, alerting them to things in their area of interest.

This is the same conclusion that the IFoA Council taskforce reached, when considering the member support strategy for the next five to 10 years. We will look at technology enhancements that allow us to select materials for members that are more specific to their requirements.

This also coincides with the endorsement of the practice-specific newsletters, as 75% felt that they were effective or very effective in supporting individual constituencies. In fact, open rates for these newsletters has increased to 45%, something that has never been achieved before.

At the top of the communication league table is, unsurprisingly, The Actuary. The magazine is now under IFoA ownership, and, with support from volunteers, will continue to evolve and improve to meet the ever-changing needs of our members.

The majority of our 400 Club members participated in our 120 events over the year. Of course, as learning is now delivered globally, and many sessions are recorded, participation has increased further. Online viewing has increased from 3,000 to 8,500 views over the past year alone.

There is also a desire for the IFoA to produce live webinars. With the new website and virtual learning environment (VLE) in place, we are in a better position to deliver this for members.

This would also support the 400 Club’s desire to make our events ‘greener’ – 79% were keen for us to leverage our conference apps, using hyperlinks for programme information, presentations, joining instructions and research material.

Looking at the new website, 69% thought that it was an improvement, but many said they needed time to get used to the new format. Of those that had used the responsive site on their phones or tablets, 89% deemed this development a great step forward. We will conduct regular research to test functionality as it evolves, including navigation.

We asked if members of the 400 Club would like to see a trial of a ‘Volunteering for the IFoA’ newsletter during 2016. It was encouraging to see that 86% thought this was a good idea. We will deliver a newsletter this year to showcase the work of our volunteers and the benefits it brings them and the profession.

Lastly, 92% said that they were satisfied, more satisfied or much more satisfied than they had been a year before. While we still have much more to do, I am very pleased with this result.

THE ACTUARY • May 2016 www.theactuary.com

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2015/2016 CPD year end is fast approaching As the end of the continuing professional development (CPD) year (30 June) for categories 2-6 is rapidly approaching, we thought it might be useful to remind you of your obligations under the 2015/16 CPD scheme.

Celebrating success and excellence The third annual IFoA Awards Dinner took place on 10 March. Hosted by IFoA president Fiona Morrison, the event celebrated success and excellence in academic achievements and leading research with prizes and medals. Morrison commented: “These achievements not only help to promote the value actuaries bring to businesses, government and society but also to advance the development of actuarial science.”

This year, our prize-winners were joined by some special guests, including Adrian Waddingham CBE, who can be seen above receiving the prestigious Finlaison Medal for his service to the profession. He has had a successful career as a consulting actuary and is a former partner of consulting firm Barnett Waddingham.

We were also joined by IFoA Honorary Fellow, Baroness Sally Greengross OBE, who shared her insights and experience as a member of the House of Lords and chief executive of the International Longevity Centre – UK. We were delighted to be joined by the winners of two inaugural prizes – the Geoffrey Heywood Prize and the Finance Specialist Applications Prize. The Geoffrey Heywood Prize is awarded for a paper or journal article that demonstrates excellent communication and engagement. This prize was presented by Seb Frichot, grandson of Geoffrey Heywood, to the Non-Traditional Investments Working Party. The Finance Specialist Applications Prize was established from a bequest left by the family of former Institute of Actuaries treasurer Arthur Wolfe Joseph. This prize is awarded to the bestperforming students in the Finance Specialist Applications (SA5) exam and was presented by Anthony Joseph, son of Arthur Wolfe Joseph, to Aideen McDaid and Daniel Evans.

Other prizes are similarly the result of the generosity of the wider actuarial community. These include prizes from the International Underwriting Association, Willis Towers Watson and the Worshipful Company of Actuaries. Other prizes awarded on the night were the Peter Clark Prize for Best Paper, which was awarded to the Model Risk Working Party, and the Brian Hey Prize, which was for the first time shared between two winners – the Actuarial Function Working Party and the Getting Better Judgement Working Party. A number of working party members donated their prize money to charities, including the NSPCC, Together for Short Lives, Crisis and Mind.

The Sir Joseph Burn Prize is awarded to UK students showing special merit in completing the examinations and becoming eligible to transfer to the class of Fellow. This prize was presented to Peter Lowth and Pui Shan Mok. Our Changing Future Prize was presented

by Suzanne Vaughan, leader of the Scottish Board, to Simon Jones, Saker Nusseibeh and Richard Werner for their presentation on ‘Sustainability and the Financial System’.

Read more about our prizes and awards at bit.ly/1VMEw6T

If you have any questions about your CPD requirements, visit bit.ly/1ROqiku or email cpd_feedback@actuaries.org.uk Fully regulated Fellows and Associates – category 2 At least 15 hours of CPD ● Five hours must be obtained at external events ● Stage 2 or 3 of professional skills training (PST), as relevant (PST counts towards your overall CPD requirement) ●

Partially regulated Fellows and Associates – category 3 Must comply with the CPD requirements of your primary regulator ● Must also complete either stage 2 or 3 of PST, as relevant ●

Certified actuarial analyst – category 4 At least 15 hours of CPD ● Five hours must be obtained at external events ● Two hours must contribute to your understanding of ethical behaviours in relation to your role ●

Student member – category 5 No technical skills requirement ● Must complete stage 1, 2 or 3 of PST, as relevant. If stage 3 is completed, this must be recorded in your online CPD record ●

Student actuarial analyst – category 6 No technical skills requirement ● Must complete stage 1 PST by the end of your first CPD year ●

Remember, CPD can be easily gained by using our new virtual learning environment (VLE). The VLE has a fully responsive design, allowing for use on smartphones, tablets or desktops.

To access the VLE on the website, please click on ‘my learning environment’ under ‘my account’.

The new CPD functionality allows you to watch a video then click the ‘claim CPD’ button to update your CPD record. When you do this, we will verify the activity for you, making it easier for you if you are chosen for audit.

Boost your CPD with PST webinars If you need to boost your Professional Skills CPD before 30 June, we will be hosting two webinars on 8 June to support this.

Both webinars will cover the same content. You can choose to attend either session: 08.30 to 09.30; or 16.30 to 17.30 (BST).

To book, visit bit.ly/1QGUnke Alternatively, gain CPD hours at our IFoA conference plenaries (bit.ly/1QGUnke), or access our online content (bit.ly/25UutBw)

May 2016 • THE ACTUARY 11 www.theactuary.com

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News

EVENTS AND CONFERENCES PENSIONS, RISK AND INVESTMENT CONFERENCE 2016 WITH AFIR/ERM 31 May-2 June, Edinburgh bit.ly/1Q2VxTB The IFoA is holding the first Pensions, Risk and Investment Conference this month, joining three large practice area events under one roof, with each stream running independently of each other. The Actuarial Approach for Financial Risks/Enterprise Risk

Management (AFIR/ERM) section of the International Actuarial Association (IAA) has also been invited to join this unique event.

Each delegate will have the opportunity to attend a series of cross-practice sessions and topics outside their practice areas and exchange knowledge and forwardthinking ideas with those from different specialisms.

Up to 11.75 hours of CPD learning is available.

GENERAL INSURANCE PRICING SEMINAR 7 June, London bit.ly/1qJz2yw Leading practitioners within the general

reserving to those using the output and insights from their work. A broad range of topics will be covered, making this an important seminar for all actuaries working within general insurance reserving.

INTERNATIONAL MORTALITY AND LONGEVITY SYMPOSIUM 2016 7-9 September, Surrey

GENERAL INSURANCE bit.ly/1YC4DgM RESERVING SEMINAR This three-day symposium draws together an 21 June, London bit.ly/1qiRIVb Attendees for this one-day event will discuss the issues that are facing reserving actuaries, from those performing the

impressive audience of modellers, researchers, epidemiologists, medical scientists and a range of professionals involved in the mortality and longevity

market. With sessions covering trend developments in healthy life expectancy; how the economy affects longevity; and causal models for mortality, morbidity and longevity, delegates will also receive updates on current key developments in the biology of ageing and scientific evidence that we all age at a different pace.

Attending this conference will offer a better understanding of industry advances and the latest research on mortality and longevity from thoughtleaders across all the relevant disciplines. A range of ticket options are available on the website.

IFoA announces first QAS-accredited companies

What the Pensions ECPD Subcommittee can do for you

The IFoA announced on 12 April the first organisations to be accredited to its flagship Quality Assurance Scheme (QAS), (see list below).

The QAS is a voluntary accreditation scheme for organisations that employ members of the IFoA. It has been created for organisations that want to demonstrate their commitment to effective quality assurance at the organisational level that underpins the quality of actuarial work. The organisations receiving awards have all passed a rigorous independent assessment of their working environment, culture and procedures.

For further information on QAS, visit bit.ly/1XqDI6y

With multiple events to plan each year, the Pensions Education and Continuing Professional Development (ECPD) Subcommittee is seeking input from fellow pensions actuaries.

Chaired by Barbara Fewkes of Barnett Waddingham, the subcommittee consists of volunteers and is responsible for the design, management and delivery of CPD for pensions actuaries. This consists mainly of arranging events around the UK, but the subcommittee is increasingly considering the best ways to deliver education opportunities to the actuarial community.

– JLT Benefit Solutions: trustee, corporate and investment consulting divisions – Lane Clark & Peacock LLP – Mazars LLP – Mercer Ltd – Milliman LLP; Milliman Financial Strategies Ltd: life & financial services consulting; property & casualty insurance consulting; and financial risk management practices – Premier Pensions Management Ltd: actuarial function – Punter Southall Ltd; Punter Southall Investment Consulting Ltd – Quantum Actuarial LLP – P-Solve Investments Ltd: river and mercantile derivatives division – Spence & Partners Ltd – Towers Watson Ltd

Current Highlights in Pensions Following our annual conference (31 May to 2 June), we have the Current Highlights in Pensions (CHIPs) events in Bristol (31 October), Manchester (10 November), Belfast (17 November) and London (24 November). These showcase the highlights from the conference and additional current issues.

We are looking for volunteers to chair the CHIPs sessions. As one of the chairs, you will have input to the programme and the organisation.

If you’d like to find out more and apply, visit bit.ly/1RRfthI

– Aon Hewitt Ltd: retirement and investment consulting business – Atkin Trustees Ltd – Barnett Waddingham LLP – BBS Consultants and Actuaries Ltd – Buck Consultants Ltd: retirement practice – Capita Employee Benefits Ltd; Capita Employee Benefits (Consulting) Ltd – Deloitte LLP; Deloitte MCS Ltd; Deloitte Total Reward & Benefits Ltd: actuarial, reward and analytics function – First Actuarial LLP – H&C Consulting Actuaries LLP – Hughes Price Walker Ltd – Hymans Robertson LLP: investment, actuarial benefits and consultancy, risk modelling and consulting practices

12

insurance industry will present and address the key challenges facing GI actuaries today through a series of thoughtprovoking ideas and techniques. This one-day seminar is ideal for qualified actuaries and students involved in the pricing of personal lines, commercial lines or London Market business in the UK.

Looking ahead We are considering whether we need to do anything different to meet the CPD needs of pensions actuaries. We will seek your views later in the year. Meanwhile, let us know if you have any comments on topics you would like covered, how you obtain your CPD or the programme.

Email barbara.fewkes@barnett-waddingham.co.uk or deputy chair john.reeve@premiercompanies.co.uk

THE ACTUARY • May 2016 www.theactuary.com

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Soapbox

Martin Dr Konstantinos Potter is a Drakos memberisof the IFoA associate Scottish professor Board and at Athens partner at University Hymansof Robertson Economic

Opinion

Will UK take the aye road or the no road in the EU referendum?

The EU referendum in the UK will be held on 23 June 2016. By then, reams of print will have covered the implications and arguments ‘for’ and ‘against’ remaining in the EU. The Scottish parliament will, on 5 May, also have its election. Off the back of the Scottish independence referendum in September 2014 and the UK general election in May 2015, it feels like non-stop elections north of the border. You might well expect Scottish parliamentarians to be more focused on retaining their seats than on the EU referendum campaign a few weeks later.

However, there’ll be no avoiding the EU question on Scottish doorsteps. It also raises interesting questions for actuaries and the future of UK financial services.

Bagpipes and bananas Nicola Sturgeon, first minister of the Scottish parliament and leader of the Scottish National Party, has said it would be inconceivable that another independence referendum wouldn’t be triggered if Scots voted to stay in the EU but the rest of the UK voted to leave. Some suggest that, in this scenario, there would be such strength of feeling that a second independence referendum would produce the result of Scotland leaving the UK. There are a lot of ‘ifs and buts’ in all this.

Scottish nationalists won’t want to push for another referendum if they’re likely to get another ‘no’. It is also not clear whether Scots feel differently about the EU than the rest of the UK. Being 400 miles further north, Scotland experiences migration differently to the South. But many other frustrations with the EU are the same in Scotland.

Among these, of course, are some wellknown EU myths. Matching the oft-reported 1994 EU proposal to ban curved bananas, Scots were outraged in 2005 by supposed

Martin Potter examines the implications of the EU referendum for Scotland and the future of UK financial services

proposals to ban the bagpipes – although these turned out to be rules protecting workers using loud machinery.

It does seem odd that a country where 45% recently voted to break one union and seek control of their own destiny would vote more strongly to stay in another union and be happy with Brussels’ controls. But maybe the chance of that second independence referendum could lead to different EU referendum voting in Scotland.

One hopes that the arguments in the run up to 23 June will genuinely help all voters, both in the North and South, decide on the benefits of staying in the EU and the controls they want Brussels to have. As actuaries, we will see this through the lens of the EU markets we operate in and the financial legislation and regulation that comes from the EU.

Going it alone There are various models through which the UK could end up outside the EU. Essentially, these depend on whether we sign up to other agreements – for example, the European Free Trade Association, the European Economic Area, Schengen open borders – and whether we agree to follow other laws to continue doing business with the EU. As an example, Switzerland, which is outside the EU, has more than 120 bilateral agreements with Brussels to secure access to Europe’s markets. Switzerland has also had to sign up to the free movement of people,

for workers and their families, from the EU. Brussels would be wise to the UK trying to cherry-pick only the legislation that it liked.

Going it alone, without lots of deals and agreements, will make trading difficult (just think tax, tariffs and legal barriers) in financial services as much as other sectors.

An interesting twist would be that, in the absence of EU law governing already devolved powers, the Scottish parliament would gain new powers over social policy, the environment, agriculture and fisheries.

However, this probably wouldn’t be enough to avoid another independence referendum if Scots had voted to stay in the EU. With an independent Scotland still in the EU, the rest of the UK would face a dilemma on how to continue trading with Europe as well as its neighbour Scotland. It’s hard to imagine not going down the deals and agreements route with Brussels.

For UK actuaries, this would aim to ensure our markets weren’t restricted and would leave us with much the same legislation and regulation we have today. This feels like a long road, with complications, anomalies and additional hurdles to clear along the way. The alternative of going it alone would require more creativity and compromise from actuaries and others – possibly without the resourcefulness and support of our Scottish cousins. a Martin Potter is on the IFoA Scottish Board and partner at Hymans Robertson

May 2016 • THE ACTUARY 13 www.theactuary.com

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On my agenda features@theactuary.com

Sir David Spiegelhalter, eminent statistician and incoming president of the Royal Statistical Society, talks with Stephen Hyams about promoting a public understanding of risk and his aspirations for the statistical profession

Meet the

performing

statistician David Spiegelhalter has had a long and distinguished career in biostatistics, and has made notable contributions in such areas as hospital performance measurements, and forensic science.

To begin, I ask about his current role as the Winton Professor for the Public Understanding of Risk in the Statistical Laboratory at the University of Cambridge, which he has held since the inception of the role in 2007. It is funded through a donation by David Harding of Winton Capital Management and inspired by the research of Gerd Gigerenzer, professor of psychology in Berlin.

He tells me: “The aim is to improve the way in which numbers, and, in particular, risks, are viewed in society. It is an extraordinary opportunity, unique in the world. People in America desperately want there to be a job like mine.”

With such roles come other opportunities and media appearances, which Spiegelhalter clearly enjoys, and these are an important aspect of his work. “We are incredibly lucky in Britain with the quality of the science coverage by the media compared with other places,” he says. “Two things really stand out, I think. The first is Radio 4’s More or Less, which I have been on many times. It is extraordinary to have a prime-time programme about statistics. We are also very lucky to have BBC 4’s scientific programmes, fronted by

PHOTOGRAPHY: PETER SEARLE

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On my agenda features@theactuary.com

academics. I have presented Tails you Win: The Science of Chance and also Climate Change by Numbers, which has won major international awards, essentially for discussing the statistics of climate change.” He has also put in appearances on World at One and Today. His highlight was appearing on Winter Wipeout in Argentina, and he delights at how the kids love watching him falling off the big red balls, witnessed during his various school visits.

Spiegelhalter’s many published works include the book Sex by Numbers. “It is a statistics book disguised as a book about sex, not an area I have researched before, but one where there are so many poor statistics that it presents a great opportunity to discuss the flaws.” The book was serialised by the Daily Mail and exemplifies his views about the press.

“I have spent a lot of time with journalists discussing the ways in which statistics are discussed in the media,” he says. “I think, on the whole, journalists are very good indeed. My two complaints are news editors who write misleading headlines in newspapers and press releases.”

He explains how the quest for publicity causes confusion. “There have been recent academic studies which show that misunderstandings about science in the media are generally due to press releases, not the journalists. I criticise the scientists for their overblown conclusions, which are not justified from the research, and for the press releases by their own institutions and their academic journals.”

On the mumps, measles and rubella (MMR) scare, for example, he explains: “The science journalists were saying one thing and the news journalists were saying another.

The major lesson here was for the science community, and this was one of the drivers behind the formation of the Science Media Centre, which I think has done a lot to avoid the hysteria that you can get in many other countries about scientific work. It has played a role in making coverage of genetically modified foods a lot more responsible.”

He goes on to explain how scientists have learnt that it is not enough to state the evidence; one has to use multiple sources of communication from trusted bodies.

“The deficit model is key, in that people’s anxiety is due to their not understanding the facts. The Royal Statistical Society now has a journalist training programme that I have helped with and which will only be expanded.”

“I feel very strongly that there is an ethical duty to provide balanced and clear information, such as the harms and benefits of healthcare treatment. It is also a person’s right to ignore it if they want to. Authorities, under pretext of giving information, are often trying to manipulate attitudes and behaviour.” He adds that “there

Authorities, under the pretext of giving information, are often trying to manipulate attitudes and behaviour” 16

is now a wide range of bodies ready to pile in when a naughty number or a shabby statistic is being bandied around, including the Science Media Centre and Full Fact, a UK independent fact-checking charity. All of these developments are very healthy, very exciting and great fun”.

He added that this is an area where actuaries might contribute to the debate on how to communicate risk clearly.

On the public attitude to risk, Spiegelhalter says: “The media are always wagging their finger and telling you about risk. Kids born now face a huge amount of uncertainty about their future in a way that my generation didn’t; we were sure about jobs, pensions and buying a house. In schools, I say it is great to take risks, because something good might happen, or something bad might happen – but don’t be reckless.”

He firmly believes that an emotional reaction to a negative event should not dictate policy; for example, children dying from meningitis B leading to a public demand for mass vaccination, which may have very marginal benefit in relation to the cost.

Probable outcomes Spiegelhalter’s contributions to education include the introduction of expected frequencies into the GCSE syllabus, and the development of the core maths qualification and critical maths curriculum for post-16-yearolds not taking maths A-level, based on real-life problems.

“I am extremely fortunate to be based in Cambridge, where there is a very well-established Millennium

THE ACTUARY • May 2016 www.theactuary.com

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Mathematics Project. I have been involved with it since the start of my job, and we recently published the first book in the Cambridge Mathematics series called Teaching Probability. We hope it will revolutionise the teaching of probability in secondary schools.”

He explains how it adopts Gigerenzer’s ideas of using expected frequencies, which enables one to solve complex problems of conditional probabilities using Bayes’ theorem by means of whole numbers.

“Gigerenzer’s research shows that even quite young children can learn to do these problems.”

Spiegelhalter’s Oxford tutor, Adrian Smith, was an inspiration in developing his career: “I realised that I enjoyed communicating the mathematical connection with the real world,” he says. So a move into medical statistics was a natural one as it was enjoying a boom time, and he was already working on computer-aided diagnosis.

“British medical statistics have been, and remain, extraordinarily strong; a great tradition going back to Bradford Hill and others.”

He has done much work in developing monitoring systems for hospital performance. “The Bristol Royal Infirmary enquiry, along with the Harold Shipman investigation, in which I also participated, brought about a massive cultural change away from the feeling that doctors could self-regulate and demonstrated the role of external monitoring,” he says. He dislikes public naming of surgeons, as they are part of a team, noting that: “Someone must be bottom of the league table, so is that

person worse than expected of the bottom performer?

There are statistical techniques for dealing with that.”

Of his work in forensic science he is equally pragmatic.

“One of the big issues in the UK, and especially in the US, is the use of forensic evidence in court. People can fall into the trap of thinking data is either right or wrong, whereas there is a grey scale in between. So what weight can be given to the evidence when measured in terms of probabilities, and how can we communicate so as to convey the right evidential strength? There is a lot of interest from senior judiciary to make the process more rigorous with agreed guidelines.” He adds that there is always an element of judgment, and sometimes that might be all that is presented in court if the data is inadequate.

Looking ahead to his presidency of the Royal Statistical Society, Spiegelhalter says: “It is time statisticians took a much higher profile in policy, in society and the media.”

He is particularly keen for young members to take a leading role in bridging the gap with the real world. They have an excellent role model in this “public or performing statistician”, as he describes himself. a

Hear more from David Spiegelhalter...

David Spiegelhalter presented at the IFoA’s Spring Lecture in May 2016. To watch the lecture, visit: bit.ly/1VGYWAf

May 2016 • THE ACTUARY 17 www.theactuary.com

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Taming pension risk Dan Mikulskis examines how changes in asset allocation have affected risk levels in UK pension schemes over the past decade and suggests what needs to be done in the future

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THE ACTUARY • May 2016 www.theactuary.com

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Pensions Defined benefit schemes

The past 10 years have been a uniquely challenging, volatile and uncertain period for UK defined benefit pension schemes. How well have they weathered the storm? We found out by analysing data published by the Pension Protection Fund (PPF) in its annual Pensions Universe Risk Profile or ‘Purple Book’, plus other industry-wide data from leading sources.

The asset side of the story, viewed in isolation, seems positive. Total assets have grown from £770bn in 2006 to £1,254bn in 2015, an average increase of around 5% per year, albeit a very significant proportion, possibly 25-45% of the increase, has come from contributions. Over a period that includes several crises, the asset value has had a relatively low volatility (or standard deviation) of about 5% per year.

Total liabilities have grown even faster though, at an average rate of around 7% per year. The increase is from £790bn in 2006 to £1,516bn in 2015 on the PPF’s measure (which, for most schemes, caps benefits and pension increases), or from around £1trn to just under £2trn based on full benefits.

Furthermore, the volatility has been about 14% per year, almost three times that of the assets – largely a consequence of plunging yields on British government bonds or ‘gilts’, which are used as a benchmark for valuing the liabilities.

Asset allocation has changed in two main respects. First, there has been a move away from equities – from 61% in 2006 to 33% in 2015 (see Figure 1) – in particular, a reduction in UK equities. A slightly different dataset

published by UBS shows allocations to equities of over 80% in the 1990s, so the past decade is part of a continuing trend.

As discussed later, this has reduced the level of risk, but it has also reduced the expected future investment returns in excess of the liabilities, by around one-third over the decade. The second trend is an increase in the amount of liability hedging.

When long dated interest rates fall or inflation rises, the value of liabilities increases relative to the assets. This can be hedged by investing in matching bonds, but also by entering into derivative transactions with similar economic properties to bonds.

From a risk perspective, the key statistic is the hedge ratio, which estimates the proportion of liabilities that are effectively hedged (or immunised) against movements in interest rates or inflation. Using data published by KPMG in its annual Liability Driven Investment (LDI) Survey, we estimate that the average hedge ratio has increased over the past 10 years from 15% to around 33%.

At an aggregate level, there have been small second-order changes in asset allocation relating to a greater use of hedge funds and other assets, albeit a more pronounced feature in some individual schemes, and fluctuating levels of cash. Holdings in property of around 5% in aggregate are a fairly constant feature.

Live links on our app! p!

Risk change – a conflicting story To gain insight into the de-risking effect of these asset allocation changes, we ran the data

Figure 1 UK pension schemes average asset allocation and hedge ratio

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SHUTTERSTOCK

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Hedge ratio

Asset allocation

A decade of UK pension scheme asset allocation

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DAN MIKULSKIS is managing director and co-head of asset liability management and investment strategy at Redington Ltd

Figure 3 UK pensions estimated aggregate value at risk (VaR) vs asset size

500

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Figure 2 UK pension schemes average estimated funding ratio at risk

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Source: Underlying data: PPF Purple Book 2015; Calculations: Redington

The solution is to stop viewing investments in terms of fixed buckets of ‘growth’ or ‘matching’ assets and embrace modern-day liability management techniques”

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through our pension risk model. Figure 2 measures risk in relative terms, showing the possible change in funding ratio of assets to liabilities at a given confidence level, often called funding ratio at risk (FRaR) and measured in percentage terms, which is useful to trustees in quantifying how benefit coverage could be affected in an adverse period.

In 2006/07, pension schemes were running an average FRaR of 20%, meaning they had a one in 20 probability of suffering a funding ratio fall of 20% or more over one year.

As expected, it can be seen that the asset allocation changes implied by the aggregate data (a reduction in equities and an increase in liability hedging) have been risk-reducing, with the FRaR having decreased to about 10% by 2015.

These risk levels may seem large, but, to put them into perspective, over the decade funding levels have twice fallen by more than 20% in a one-year period (according to the PPF’s data) – once in the year to April 2009 at the lows of the financial crisis, and once in the year to May 2012 as bond yields fell.

Figure 3 measures risk in another way, in absolute monetary terms, showing the possible change in funding deficit or surplus at a given confidence level, often referred to as value at risk or VaR. This is often helpful to corporate sponsors in indicating how much the pension scheme could affect their balance sheets.

In 2006, the aggregate VaR was around £300bn, meaning they had a one in 20 probability of suffering a combined increase in funding deficit of £300bn or more over one year (this is based on full benefits rather than the lower PPF measure).

While the VaR is influenced by similar factors to the FRaR, it is also affected by the

size of the pension schemes. The overall increase in size of the assets and liabilities overwhelms the de-risking described earlier, resulting in an increase in VaR to £450bn in 2015. Again, putting these figures into perspective, there was one annual period (the year to May 2012) where the combined deficit increased by more than £300bn.

Efficient risk reduction Will the current asset allocation deliver the returns that pension schemes need to be fully funded? We cannot tell from the aggregate data, as each individual pension scheme has its own specific circumstances, such as funding and investment strategy. We can say that, on average, while funding ratio risks are lower today than in 2006, so are the expected future investment returns.

Many pension schemes want to continue to reduce risk. After all, the risk to the funding ratio described earlier, of 10% over one year, is still substantial in the eyes of the majority of schemes and corporate sponsors.

However, they need to generate the same, or increased, investment returns to close their deficits over the next 15 or 20 years.

The solution is to stop viewing investments in terms of fixed buckets of ‘growth’ or ‘matching’ assets and embrace modern-day liability management techniques. This includes the use of derivatives to reduce liability-related risks without needing to invest the majority of the portfolio in bonds, thereby enabling the scheme to invest the remainder in a range of return-seeking assets.

Using the principles of diversification, risk control and downside protection, schemes can generate returns more efficiently –that is, for less risk – than has been achieved previously. a

THE ACTUARY • May 2016 www.theactuary.com

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Pensions Planning for retirement

Pension

freedom

– is it enough?

Derek Steeden, Sally Rayment and Francis Chua suggest that inclusive projections will help people understand how their actions and ‘non-pension’ income streams will affect their standard of retirement

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The three-stage model of education – work – retirement is no longer the norm (see Why Retire? November 2015, bit.ly/1MopoIS).

People are choosing to retire later and more gradually, and this demands greater flexibility from retirement systems. The new pension flexibilities introduced in the April 2015 UK Budget recognise this. However, without an increased level of savings, the benefit from additional flexibility will be limited.

Later retirement is here to stay Improvements in health, changes in lifestyle choices and employment law, as well as pension flexibility, all help reduce the barriers to working later in life. For some people, it will be a choice to continue paid employment, but many more will find they need to continue working to alleviate a large drop in living standards. Indeed, 10% of respondents to a recent survey by HSBC believe they will never be able to retire fully.

Some living costs, such as mortgage payments and supporting children, reduce in later life, so that most people need less income in retirement to sustain a similar standard of living. Replacement rates aim to capture this, measuring the income that a person’s accumulated wealth could provide for the rest of their life as a proportion of average earnings from age 50 to state pension age. As such, they provide a useful input in answering the question ‘how much do I need to save for retirement?’.

Studies by the Department for Work & Pensions (DWP) for example, identify the following replacement rates (Figure 1), as a measure of ‘adequate’ retirement provision, quoted in 2012 gross earnings terms:

Figure 1: DWP’s 2012 gross earnings terms

Pre-retirement income Under £12,000 £12,000 to £22,100 £22,100 to £31,600 £31,600 to £50,500 Over £50,500

‘Adequate’ replacement rate 80% 70% 67% 60% 50%

The report concludes that while state provision is expected to protect the majority of people on low incomes against a sharp fall in living standards, some 11 million people – 40% of the working age population – will have incomes in retirement below these replacement rates.

Making the most of not enough Until recently, the requirement to buy an annuity with pension savings, together with restrictions on when the state pension could be drawn, made it difficult to unlock accumulated wealth at the time or rate at which it was needed in later life. In particular, the tax-free cash element of private pensions could only be taken at a single date and partial drawdown was restricted to the few, leaving most people with the requirement to draw a regular income, which could exceed or fall short of needs in any given year.

As a result, use of non-pension assets to save for retirement has become increasingly common: nearly 50% of people plan to supplement their retirement income with a savings account or ISA, and 17% plan to

Holistic tools would help more people engage with the issues while their choices have a long enough time to make an impact”

JOHN HOLCROFT / IKON

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DEREK STEEDEN is a

SALLY RAYMENT

member of the LDI funds team at Legal & General Investment Management

works in Aon Hewitt’s retirement and investment business

downsize or sell their home to unlock funds, although it is interesting to note that YouGov estimates that only 4% of households in retirement have actually downsized.

The following charts (Figure 2) highlight the variety of sources of retirement income available to would-be retirees aged between 50 and state pension age, and show the significant variance that exists between the flexibility available to low-income households and high-income ones. Why are people not saving more in pensions? When asked by a 2012 DWP survey if they were ‘scared’ by pensions, 28% of women and 27% of the economically inactive – two of the groups most likely to have insufficient pensions – agreed.

Pensions are often still seen as complex.

When combined with not knowing or defining what we want in retirement until much later in life, the consequence is that engagement with pensions only occurs when it may be too late.

There are a growing number of tools and publications that promote greater saving, but very few attempt to illustrate the impact of our current actions on future retirement income in a coherent way. Some striking statistics on the impact of these choices are available, such as the following results from a Pensions Policy Institute report.

The modelling (Figure 3) shows that many factors causing the largest variation in future income are within people’s control (for instance, by starting saving 10 years earlier, retirement income can increase by almost a third), and could be a useful tool for motivating savings.

FRANCIS CHUA is a member of the Aviva pensions investments team.

All three are members of the profession’s Why Retire working group

When help is needed It is reasonably intuitive that contributing a third less to your pension will leave you with a third less income in retirement, whereas the impact of opting out of auto-enrolment is harder to gauge. Many will be more concerned about the impact of fund charges than the impact of not saving at all.

Simple rules of thumb, albeit with their limitations, could benefit many of those whose confusion is prolonging pension procrastination. We found that while ‘pension calculators’ abound, none attempted to combine the ‘non-pension’ routes people are increasingly using for retirement. This makes it difficult to answer questions such as: ● If I can save £5,000 a year, should I pay down my mortgage, put it in an ISA or lock it up in pension saving? ● If I downsize my home in retirement, how much income will this give me? ● Would a lifetime mortgage make up my shortfall, and at what cost?

More ‘holistic’ tools would help answer these questions for those seeking answers. Others would benefit from regular information produced automatically.

We highlight some possibilities: ● Could ISA providers illustrate what income the funds might provide in the future (similar to current statutory money purchase illustrations)? ● Mortgage companies are required to show the total interest cost of a product – could an illustration of the saving that overpayments would generate, and the retirement income

Figure 2 Variety of sources of retirement income

Accumulated wealth for the low individual (20th percentile, £k)

Accumulated wealth for the median individual (50th percentile, £k)

Accumulated wealth for the high individual (80th percentile, £k)

1 30

122 173

65

153 300

179 22

168

State pension

170

Private pension

Housing

Source: ‘Prepared for retirement?’, Banks, Emmerson, Oldfield, Tetlow, 2005

24

398

Financial, business and property

Figure 3 Measuring the impact of various factors on a likely future pension pot

-2% -7%

-18%

-32%

-33%

0.3% fee cap not implemented Receiving the worst annuity rate vs average Retiring earlier (2 years before SPA) No pension savings between 30 and 40 Contributions of 8% of earnings instead of 12% Source: ‘Closing the Gap’, Pensions Policy Institute, bit.ly/flexipension

that saving might provide, help people make more joined-up decisions? ● Would potential buy-to-let investors benefit from banks being required to highlight the tax, servicing, upkeep and sale costs of letting a property as well as the interest cost? ● And could local councils’ distribution channels, such as council tax statements, provide an opportunity to illustrate the impact of, for example, letting out a spare room, on a household’s saving potential?

Benefit projections should also operate in a complementary fashion to promote a holistic view – for instance, they could also incorporate non-pension assets and even include a way for individuals to specify a target income and from that understand a feasible savings plan that would achieve it.

Retirement planning may seem academic for young workers, but holistic tools would help more people engage with the issue while their choices have a long enough time to make an impact. An information gap remains, but it is not unbridgeable. As actuaries, we have an opportunity, together with asset managers, insurers, financial advisers and government departments, to develop the solutions that are needed. a

THE ACTUARY • May 2016 www.theactuary.com

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26/04/2016 09:18

Life Underwritten annuities

Is the increasing use of medical underwriting in bulk annuity pricing now inevitable?

Costas Yiasoumi examines how MUBAs have affected the pensions industry

The article ‘Evolution or revolution’ (The Actuary, June 2014) introduced the innovation of using medical and lifestyle information to price bulk annuities. ‘Slicing and pricing: medical underwriting’ (The Actuary, August 2015) explained how medically underwritten bulk annuities (MUBAs) can be used to ‘top slice’ the largest pensioners in a pension plan to de-risk concentrations of longevity exposure. So, the question is, where to next?

Over that time, MUBAs have grown from circa 3% of all bulk annuity transactions under £100m in 2013, to circa 10% in 2014 and to over 25% in 2015. There have also been two MUBA transactions greater than £100m, one of £206m and one of £230m. Trustees of over 75 pension plans have purchased MUBAs, representing over £2bn of premium since 2013.

Is the increasing application of medical underwriting in bulk annuity pricing now

The

growth

marcheson GARY WATERS / IKON

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inevitable or will it recede into the actuarial history books as an interesting but temporary innovation?

Why does this matter?

MUBA growth has been fuelled by (a) the attractive pricing that has been seen by trustees and advisers, and (b) the ease with which MUBAs can be used to insure small sub-groups of large liability pensioners via ‘top slicing’.

There are thousands of defined benefit pension plans on the road to annuitisation – for many, MUBAs may enable this sooner and at lower cost.

Why does medical data make a difference?

A key ingredient for pricing is life expectancy. The more confident an insurer is in its life expectancy assumption, the lower it can price a bulk annuity versus an equivalent pension plan with the same life expectancy, but with less insurer confidence in that assumption.

That doesn’t mean other data is ignored.

Pension amounts, postcodes, industry type and so on are still used, but medical and lifestyle data adds an extra dimension to traditional pricing methods.

For a single pensioner annuity, the benefit of that medical and lifestyle data can be enormous and probably swamps all other competitive differentiators between insurers. But the impact diminishes as the number of pensioners being insured increases until it is no longer a major competitive differentiator – that is, the ‘law of large numbers’ kicks in.

Without prior knowledge of a pension plan’s health profile, it is 50/50 as to whether the membership is more or less healthy than ‘average’”

26

What number of pensioners is the sweet spot?

There is no definitive answer. Small pension plans are particularly suited to MUBAs for the reasons described above, and will find ready attention from insurers concentrating on MUBAs. Medical underwriting is highly unlikely to be a dominant factor for transactions covering, say, 1,000 pensioners. But the precise biting point cannot be certain. It will depend on factors such as industry type, homogeneity of the membership, member ages, as well as the relative strength or weakness of the other competitive factors for pricing. Even where medical underwriting might generally be expected to offer a better deal versus traditional pricing, that might not always be the case (and vice versa) as the specifics of each transaction will vary.

The largest MUBA transactions have covered a few hundred members – the likelihood is that a practical maximum benchmark size will develop over time within the industry, based on the experiences from actual transactions.

What about top slicing?

Even the largest pension plans have potential to use MUBAs. Most pension plans have a skewed profile of pensioners; the ex-chief executive in a £5 million pension plan representing 20% of liabilities or the 100 largest pensioners in a £1 billion pension plan representing 10% of liabilities.

Does that mean medical underwriting is a 50/50 game?

Yes and no. Without prior knowledge of a pension plan’s health profile, it is 50/50 as to whether the membership is more or less healthy than ‘average’. But, importantly, by virtue of having knowledge of the health profile of the membership, there is more confidence in the resulting life expectancy assumption.

Add these two aspects together and the net result is lower pricing on average – so better than 50/50 overall. Pension plans with poorer health characteristics attain even lower pricing; those with much better health characteristics receive higher pricing. Cross subsidies are reduced, but this means a wider variation of pricing between pension plans.

The healthiest pension plans may have been better off purchasing a traditional bulk annuity, and traditional insurers would be better off not writing such plans.

In this context, health is measured relative to the average for the relevant socio-economic group. So a white-collar pension scheme is ‘healthy’ if that is versus the average health for a white-collar socio-economic group.

Figure 1: Reducing impact of medical underwriting with scheme size

The extent to which medical and lifestyle data is a dominant factor for pricing

For bulk annuities covering small numbers of pensioners, medical and lifestyle data will add value to the derivation of life expectancy assumptions for pricing. This may be a dominant competitive factor in determining price.

MUBA more likely to offer best value

Diagram for illustration purposes only.

Not based on an actual distribution

MUBA may or may not be suitable.

Analysis required

For very large numbers of pensioners, the use of medical and lifestyle data is unlikely to add material extra insights to life expectancy assumptions for pricing.

Other pricing factors, such as the yield on backing assets, are likely to be a more significant competitive differentiator.

MUBA unlikely to be suitable

Number of pensioners

THE ACTUARY • May 2016 www.theactuary.com

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COSTAS YIASOUMI is director of defined benefit solutions at Partnership Assurance

Figure 2: Simple questionnaire used for initial data collection

Figure 3: Choosing between a medically underwritten and a traditionally priced bulk annuity

1. Triage

2. Feasibility pricing

Is the transaction one for which a MUBA might offer good value, eg:

Obtain indicative pricing before seeking medical and lifestyle data

Small number of pensioners Known health conditions

Pensioners complete a simple health questionnaire.

Follow-up data might then be obtained from GPs or via targeted tele-interviews

Industry sector suited to medical underwriting Top-slicing

Very unhealthy

Assess non-price factors at this stage, eg contract terms

Unhealthy

Yes

This phase is typically 10-12 weeks. Active project management can shorten considerably to just sixweeks

This is all very complex – how can trustees decide whether to request medically underwritten pricing? The good news is, there is a way. The decision on top-slicing might be slightly more complex.

This is because, if trustees undertake a top-slicing transaction, they may be asked to supply the underwriting information from that transaction to insurers quoting on subsequent future bulk annuity tranches.

Those insurers may take this into account in their pricing, especially if the period between the transactions is not long.

If that original underwriting data showed that those members were particularly

Figure 4: Future insurer participation in medically underwritten bulk annuities

Insurer participation in MUBA transactions – insurers not currently utilising medical and lifestyle data Response

Why

Market impact

Avoids anti-selection. Otherwise a risk of winning only “healthy schemes”

May put some trustees off choosing the MUBA route if the trustees place a value on having a large number of bidding insurers

Decline very small schemes and schemes where the medical and lifestyle data suggests they are in relatively good health.

Use adapted traditional pricing approaches for those accepted for pricing

Broadens the base of bidding insurers. Removes schemes where anti-selection most likely. Requires an insurer to develop a limited ability to use medical and lifestyle data

Opens up a wider range of bulk annuity opportunities. For medium-size pension schemes, an ability to underwrite the most prevalent conditions (eg smoking) may be sufficient to close the competitive gap to the medical underwriting specialists

Maximises customer outcomes. All bulk annuity transactions are then, in effect, medically underwritten.

The differentiation blurs, just as it did after postcode rating was first introduced to bulk annuity pricing

2. Selective participation

3. Expand underwriting to encompass medical and lifestyle data

Unusually healthy

3. Decision

Obtain medical and lifestyle data from pensioners.

Insurer provides a final MUBA price allowing for that data. Final stop/go decision. Contract negotiation and execution.

1. Decline to quote

Healthy

Pricing based on a range of health scenarios and stresses

4. Data, pricing, transact

Before MUBAs, ‘top slicing’ (insuring the pensioners with the largest pensions) was uncommon.

Medical and lifestyle data offers significant extra underwriting insights to traditional rating factors, meaning a more refined life expectancy calculation. In all types of insurance, more data = less uncertainty = sharper pricing.

A single top slice MUBA or progressive layers of top slicing MUBAs can be an effective way to insure liabilities.

There have been various top slice transactions by small and large pension plans with premiums of up to £230m.

Average health

Typical position today

The future?

Is the range of outcomes attractive vs traditional indicative pricing?

healthy, that may lead to a higher price for subsequent future tranches.

What about insurers that do not use medical data?

This is where things start to get interesting.

At present, there is polarisation between those that use this method for pricing bulk annuities and those that do not. Over time, if medical underwriting becomes more and more prevalent, the differentiation may blur.

The future There is no doubt that the growth in MUBAs has been beneficial to the pensions industry.

Based on the cost savings typically reported to date, UK pension plans have collectively saved tens of millions of pounds in bulk annuity premiums since 2012.

How prevalent MUBAs become in future remains to be seen. However, should the usage of medical and lifestyle data in pricing continue to generate lower premiums, as it appears to have done to date, usage will hopefully continue to rise as it should do in any well functioning market. a

Further reading: ‘The Good, The Bad and The Healthy’, The Pensions Institute, January 2016, www.pensions-institute.org/reports/ GoodBadHealthy.pdf Footnotes are included on The Actuary website May 2016 • THE ACTUARY 27 www.theactuary.com

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26/04/2016 11:54

Investment Economic scenario generator models

Hidden

complexities I th In the context t t off hi historically t i ll llow iinterest t t rates and Solvency II, Richard Silveira discusses the challenges in developing ESG software to value liabilities and hedge interest rate exposure

I recently came across David Comerford’s 2006 article in The Actuary (bit.ly/1RV7w7O) on negative interest rates. He suggested that this possibility could be significantly higher than the market considered. Fast-forward 10 years and we’re there. Want to invest in a Swiss government bond for 10 years? You’ll pay for the privilege.

The reasons we now see negative rates are not precisely those in the original article.

The author cites ‘looming environmental crises’ and the impact on consumption of natural resources as a potential driver towards negative rates. He correctly envisaged the move towards a largely cashless economy as a pre-requisite (see quote).

The arguments make interesting reading and may well still play out. Perhaps the 28

THE ACTUARY • May 2016 www.theactuary.com

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financial crisis and subsequent central bank policy means we have arrived there sooner than expected.

How ESGs are used by life insurers One case where interest rates are of relevance to actuaries is in economic scenario generator (ESG) models. An ESG is a stochastic model for economic variables such as interest rates.

These are used by life insurance companies to value liabilities and hedge exposure to market risks. They are also used in a context, not discussed here, to quantify capital requirements.

Life insurers have long-term liabilities in the form of pension and investment products sold to policyholders. It is sometimes difficult to

invest in assets with similar terms, so life insurers are generally exposed to falling rates.

For example, as rates decrease, the present value of their liabilities increases by more than the present value of their assets, which are of a shorter term.

The valuation of liabilities and assessment of interest rate exposure are key to financial solvency and the day-to-day running of the business. But they are not straightforward.

The policies an insurer sells may contain embedded guarantees that resemble financial options on interest rates. The long-term nature of policies sold combined with the non-linear dependence on rates means that ascertaining the liability value and exposure to rate movements is a complex task.

The established approach is to select a GARY WATERS / IKON

26/04/2016 10:04

Impact of the low interest rate environment Within an ESG, calibration is the process of finding model parameters that replicate the value of market-traded options as closely as possible. It has become increasingly challenging to calibrate interest rate models to market data as interest rates have fallen.

This has featured in the Euro and Swiss Franc economies, where rates have been near to zero and sometimes negative, and could feasibly occur in the UK in the near future. The cause of this difficulty is two-fold. First, low and negative rates are a recent phenomenon, and work is needed to develop models suited to both present and historic market conditions.

The second issue is one of convention – how we express the value of an option.

Interest rates do not behave like stocks Market convention has historically been to quote interest rate options in terms of a Black volatility. This measure of volatility is associated with an assumption that the underlying rate (typically a swap rate or forward rate) is lognormally distributed. It is the same convention used to quote equity options under the lognormal Black-Scholes model. But interest rates do not move in a relative way as implied in a lognormal model.

Movements tend to be closer to absolute in nature – for example, a swap rate may be equally likely to move up or down by 5bps whether the swap rate itself is 5bps or 50bps.

RICHARD SILVEIRA

works for Deloitte’s capital markets group, helping to develop their proprietary ESG software

While rates are positive and appreciably above zero, this does not affect model calibration, since the Black volatilities of interest rate options are defined and of similar magnitude, enabling a good model fit to market data. However, if the underlying interest rate is negative, then the Black volatility is undefined, reducing the number of options available for calibration in the ESG. If the underlying rate is low but positive, the Black volatility may be undefined or take very large values, skewing the calibration in an undesirable way.

calibrate interest rate models against Black volatilities, but there is a shift towards using Normal volatilities, especially for calibrations where the risk-free yield curve is very low or negative in the short term, such as for the Swiss Franc and Euro.

The unintended consequences of Solvency II

In an ESG within the Solvency II framework, interest rate models are calibrated against a non-market yield curve. Through the application of the last liquid point, the ultimate forward rate and interpolation, this may differ significantly from the market yield curve, as illustrated in Figure 2 for the Euro currency at Q4 2015. Why does this matter?

Option volatilities are equivalent to market prices only if the market yield curve is used in the calibration. So calibration to a non-market yield curve with market option volatilities actually uses non-market prices. If using A Normal solution Normal volatilities, the change in option price The solution is simple. The Normal volatility reflects the change in discount factor used can be used in place of the Black volatility for to price the option, and in that sense it is calibration. Under this the underlying rate is intuitive and Normally distributed. reasonable to apply.

There is no Figure 2: EUR market swap and SII yield curves Q4 2015 If using Black requirement for the volatilities, the underlying rate to be 3.5% option price is scaled positive, and volatility 3.0% Market swap curve to the same extent as is measured in absolute SII curve 2.5% the underlying rate. terms. These features 2.0% For a swaption, if the are consistent with how 1.5% underlying swap rate interest rates actually 1.0% doubles then so does move. The Normal 0.5% the price. As an volatility is always 0.0% illustration of these defined for a given -0.5% 0 10 20 30 40 50 effects, for a Q4 2015 option price, and its Term (years) Euro calibration magnitude is similar using the Solvency II across different option curve (Figure 2), a Black (Normal) volatility terms and tenors. It is widely quoted in the calibration would price a 20Y-20Y swaption as market alongside the Black volatility.

1.8 (0.9) times its market value.

When rates are low and/or negative, these There are alternative definitions of what factors combine to give a better calibration than market-consistency means and life insurers is possible using Black volatilities. Several ESG should be aware of the valuation implications providers now include this option in the inherent in their choice of calibration calibration process. Industry convention convention used to calibrate their ESG. a among life insurers remains at present to Zero rate

suitable ESG model for interest rates, calibrate it versus available market data, and generate scenarios that can be used to value the insurer’s liabilities and to quantify the rate exposure through a Monte Carlo approach (Figure 1).

Physical money earns an implicit interest rate of 0% and is the basis of the argument for why interest rates should be floored at zero. In a cashless economy, this option disappears”

Figure 1: Stages of a market-consistent ESG to value liabilities

Implied volatility market data

Initial yield curve

Policyholder (liability) contracts

Calibration routine

Model parameters

Generate interest rate scenarios

Liability valuation and market risk exposures May 2016 • THE ACTUARY 29 www.theactuary.com

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26/04/2016 10:04

Risk Spotlight

Decisions from the

midst of uncertainty Pete Naylor, an expert in decision risk sk analysis, talks to Cintia Cheong and Richard Purcell about the challenges of making business decisions in the oil and gas industry

30

THE ACTUARY • May 2016 www.theactuary.com

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26/04/2016 09:19

Live links on our app! p!

Investing in oil and gas involves many risks and uncertainties. To analyse and manage these, the sector often uses decision risk analysis (DRA), a structured process to help stakeholders optimise their decision making.

Pete Naylor, head of DRA at BG Group, has more than 35 years of experience in applying science and engineering to the energy sector.

Perhaps a physicist at heart, he also has a PhD in chemical engineering, so is a bit of an all-rounder. After six years in the nuclear industry, he moved to oil and gas in 1985 as a project manager at UK Atomic Energy Authority’s Petroleum Engineering Laboratory.

Naylor moved to AEA Technology in 1989 and, after a variety of roles, became a decision analyst in 1999. Fast-forward to 2011, he joined BG Group, now part of Shell, where he is head of DRA.

Can you describe your current role?

We have established a DRA centre of excellence within the company, and my team is involved in supporting business units to optimise their decision-making, taking risks and uncertainties into account. We are also involved in developing appropriate standards and guidelines and training colleagues in DRA. When we are trying to decide how to develop an oil field, there are lots of choices to make. We need to identify the optimum way forward, even though we do not know everything we would like to know. For example, how much hydrocarbon (if any) is underneath the ground? How long is it going to take to build the facilities? How long will this design of well last?

There are all sorts of things that we don’t know well enough, but rather than being paralysed into inaction or, worse still, exposing our company to big risks, we need to optimise the way to move forward.

SHUTTERSTOCK

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What techniques do you use to help businesses make decisions?

There are three key steps. The first is framing the opportunity; what is in scope and what is out of scope? This may involve facilitating workshops, talking to experts, understanding the situation and getting buy-in from stakeholders. This is all common sense, but often people don’t do it particularly well, and rely on intuition when analysis is required.

Having established the frame, we can move to step two, which is: Now we understand the problem, how are we going to optimise the way forward? We have to work out what tools are needed, how much and where we are going to put our efforts.

One of the key skills for a decision analyst is to be able to talk to all sorts of professionals about things you personally are not an expert in, but you need to understand what it is they are saying.

Step three is to do some analysis. Quite often the problem is such that we need to build a quantitative model of the business opportunity. Frequently, we need to build a life-of-asset model, which includes not only the science and engineering but also the constraints in terms of cashflows, legislation, commercial, environment and safety. It is a fit-for-purpose model of the opportunity.

Having built a model, we may need to repeat steps one to three several times to ensure it incorporates the concerns of all stakeholders. This is a crucial ‘consensusbuilding loop’ to get buy-in from everybody involved so we can agree on the optimised decision and are able to clearly articulate why it is the best way forward.

What’s been your most challenging project in your current role?

Each project that we get involved with is

challenging, but that is what makes the job so interesting. A common feature is the need for significant investment before we know what the return will be, so we may be considering investment in a development before we know how much hydrocarbon is recoverable.

It may be possible to drill an appraisal well, but we need to determine whether the information gained from an appraisal is worth the associated cost and delay.

The answer often depends on the decisionmaker’s ‘risk appetite’.

We may need to consider undertaking activities that have never been done before – for example, drilling a high-pressure, high-temperature well with a recordbreaking length. Such challenges can fall into the category of ‘unknown-unknowns’.

These infamous risks or uncertainties are neither ‘identified’ nor ‘quantified’ and the result is that we have great difficulty in estimating how long such a well may take to drill. In such cases it can be helpful to ask: “How long would the drilling have to take before we changed the optimum decision?”

Another challenge is building consensus among stakeholders with conflicting value measures. One party may wish to maximise the local content of a project, while another party might want to maximise the net present value.

One of the benefits of a quantitative model is that it can enable the views of different stakeholders to be represented and help to identify win-win strategies.

What are the biggest challenges in the oil and gas sector today?

A big challenge is that most of the easy-toaccess hydrocarbons have been found and it is a lot harder, and costs more, to find and develop the remaining resources.

May 2016 • THE ACTUARY 31 www.theactuary.com

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Risk Spotlight

If we are to avoid power cuts and potential civil unrest, there are some difficult choices to be made at a governmental level, and I believe DRA is an approach we can use to help optimise energy policy” 32

At the moment, oil is relatively low-priced, so finding economic developments is even more difficult. Another challenge is, of course, climate change. The role of companies is to provide a sustainable return for their shareholders, and so there is a drive towards alternative sources of energy, and oil and gas companies are expanding their involvement in lower-carbon energy sources.

These companies have got the right skills to make them well placed to evolve into broader energy companies.

DRA skills can contribute to developing a sustainable energy future. In my view, DRA is a key tool to help identify a 50-year, cross-party energy policy that will meet the needs of the nation. We need affordable, secure energy, but progress towards this is hampered because pressure groups petition against climate change, nuclear waste and fracking.

If we are to avoid power cuts and potential civil unrest, there are some difficult choices to be made at a governmental level, and I believe DRA is an approach we can use to help optimise energy policy and reach consensus amongst stakeholders with diverse value measures. Perhaps this is my next challenge.

Can DRA be used outside the oil and gas sector?

DRA is a generic process that can be applied

to any decision-making, so, yes, it can be used outside the oil and gas sector. It is already applied in pharma, bio, military, health and telecoms to name but a few.

Wherever you have choices to make and there are risks and uncertainties, my advice is you should be using DRA. It may be sad, but I have used DRA for many personal decisions, albeit in a scaled-down version.

What skills are key for your role?

When undertaking step one (framing), you need ‘soft’ interpersonal skills and to be able to listen and relate to people.

Step two (how am I going to solve this?) involves talking to experts in different disciplines, and you need to be able to understand what they are saying and be able to ask probing questions. So you do need a technical understanding of the tasks.

When it comes to step three (doing some analysis), it is very useful if you are an Excel ‘ninja’. These ‘hard’ analytic skills are also skills I understand actuaries are good at.

People with both ‘soft’ and ‘hard’ skills are difficult to find and we often recruit internally because our people have the technical background.

I think for actuaries looking at the energy sector, it would be key for them to demonstrate that they have that balance of both hard and soft skills and a sufficient technical understanding. a

Hear more from Peter Naylor...

You can hear more on decision risk analysis from Peter Naylor at the IFoA Pensions, Risk and Investment Conference on 2 June 2016 at the EICC, Edinburgh.

THE ACTUARY • May 2016 www.theactuary.com

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26/04/2016 09:20

At the back student@theactuary.com

Student Blockbusting action is all well and good, says Jessica Elkin, but when it comes to studying, a more predictable storyline is probably best

MAY THE FOURTH BE WITH YOU You’re unlikely to be reading this on the fourth of May. But whatever date it is (Revenge of the Sixth?), it matters not. We are now post-examinations and have miles of yellow brick road to skip along, all the way to the next ones in September. A new dawn has broken: you’ve a fresh start and newly sharpened pencils for your next exam subject – when The Force Awakens.

The start of a new study period generally rolls around in the same reassuring and predictable manner as the latest sequel in an enormous Hollywood franchise. It’s familiar to you, but it feels different from the ones before – fresh and exciting; full of promise. Yet you may end up being disappointed anyway. It will most likely go the same route as the ones before. And, in retrospect, you’re not even sure why you are surprised.

Hurtling toward disaster For a start, all the leading characters are written in. There’s Optimism, who seems like a goodie at the outset but will turn out to be a deceptive blockhead, and then there’s Procrastination, and my personal favourite, Blind Panic, who gets drafted in towards the end. The script is full of the same tired old lines, like “This time I’ll start early” and “It’s ages till exams!”… and then, later, “What’s happened to the time?” followed by various outbursts of profanity and blasphemy.

The plot makes a slow start. There’s an overload of dramatic irony as the characters believe they’re safe, although it’s quite clear to any viewer that they’re hurtling towards PHIL WRIGGLESWORTH

p33_may_student•FINAL•CT.indd 33

disaster. They might realise something is awry halfway through, but their attempt to correct things, too late, often doesn’t help.

The whole thing culminates in a fevered yet predictable action sequence at the end.

Optimism gets killed off, just as you knew he/ she would, and Blind Panic takes hold of the reins. It has you on the edge of your seat, even though you’ve been through it all before in different incarnations. Will Panic turn things around just in time?

As the credits start to roll you remember that the franchise is signed up for a further six films. You roll your eyes, even though you’ll inevitably be queuing up to buy tickets for the next one.

Keeping it steady Over my winter break, I was doing my usual Christmas TV-and-film marathon, – the best kind of marathon – and my dad would come in intermittently and scoff at Bridget Jones’ Diary, or Hugo, or one of the many other delights I permitted myself. “Who writes this stuff ?” he has said more than once. I put that down to Grumpy Dad-ness – and cynicism resulting from having had children trample all over his dreams.

However, I concede that he’s sort of right.

The thing is, you need storylines to be a tad ridiculous to make them watchable. I’ll bet you didn’t watch Titanic to find out what happened to the boat, but to watch Rose hacking blindly at Jack’s handcuffs with an axe as freezing water threatened to drown them both. You could rage at the injustice of how she just let him freeze to death in the water while she lounged around on that massive piece of wood. There was clearly room for the two of you, Rose. What’s the matter with you? Talk about selfish!

Furthermore, consider just about any Tarantino film. Reservoir Dogs? Pulp Fiction? The Kill Bill films?

Excellent writing, but ridiculous nonetheless. That’s sort of the point. Or, more topically, the Five-Point-Palm Exploding-Heart Technique.

To put this into context, when it comes to our own lives and study habits, a steadier plotline is normally preferable. The more predictable and calm, the better.

More The Archers than EastEnders – although I hear the aforementioned is becoming increasingly risqué. More Bert than Ernie. More tortoise than hare.

I don’t have any advice here. I crave excitement as much as anyone else. But when you’re next taking a long lunch on a study day, remember what’s in store when signing up to the next chapter in the tired old franchise of your study habits.

How refreshing it would be to pen a different ending. a May 2016 • THE ACTUARY 33 www.theactuary.com

26/04/2016 09:20

BOOK REVIEW

Other People’s Money

by John Kay PUBLISHER: Profile Books ISBN-10: 1610396030 Price: RPP £16.99

What is it all for? John Kay’s excellent book is purportedly an attempt to answer this question, where ‘it’ refers to banks’ enormous balance sheets, the vast volumes of financial activity, the huge rewards on offer in finance and the activities of financial services in general.

But the question is rhetorical, and as the book progresses, Kay repeats the question as a forlorn refrain at the pointlessness of it all.

“In the City, they sell and buy. And nobody ever asks them why. But since it contents them… they might as well.” The book argues that it does matter to the rest of us, because the City diverts resources to itself, does not do what it is there for and generally mis-allocates capital.

Professor Kay’s methodology is to examine financial services as he would any other industry and judge it by how well it provides to end-users. When Kay was growing up in Edinburgh, a typical male bank manager’s skill was chatting to clients at the 19th hole of the golf club. He has been replaced by the highly paid, smart alpha males we know and love today.

However, the job of a bank is to lend money to businesses and individuals, and the stalwart of the 19th hole did that a lot better than the current crop of flash boys, who predominantly trade with each other – now only a shocking 3% of lending goes to firms and businesses.

The book starts with a history of how we got where we are, documenting de-regulation, the economic and technological trends that created opportunities for financial intermediaries, and the generally malign consequences of financialising on the economy. The middle section analyses how financial services meet the needs of the economy, and the last section proposes how finance could be reformed.

One of Kay’s main culprits is the rise of trading culture, with its “I’ll be gone, you’ll be gone” ethos replacing long-term relationships.

He dismisses the often-cited reason for increased trading volumes. “People who applaud trades for providing liquidity to markets are often saying little more than trading facilitates trading – which is true, but of little general interest.”

The book is an extension of the Kay review of equity markets, which was commissioned by the Department of Business, Innovation & Skills and then universally ignored. The review was criticised because its recommendations did not match the scale of the problem.

Other People’s Money devotes nearly 100 pages to policy. The main focus of the section is 34

The system Kay describes is becoming history, its excesses, which he documents, the seeds of its undoing” addressing culture and, in some ways, attempting to turn back the clock; regulation should be simpler, but we should move away from trading and back to a long-term stewardship culture. Kay does not mention it, but the IFoA provides a possible model – the Actuaries’ Code and disciplinary scheme is a methodology for facilitating a culture of professional standards.

Yet this is the book’s weakest section.

Memorable phrases, witty aphorisms, and wonderful anecdotes occur in the first two sections. Here he is not that interesting; the

switch from defined benefits to defined contributions transfers risk to the employee; Kay’s generation is lucky and an increased retirement age would be a good idea. Not quite thought leadership.

Kay would argue that his recommendations are not backward-looking, as the financial system we have today is not what we need.

We do not need all this complexity and we would be better off without the highly paid intermediaries.

However, I think he is backward-looking in another way. The system Kay describes is becoming history – its excesses, which he documents, the seeds of its undoing.

The current financial service providers do not serve the end-user, which makes them vulnerable to new entrants. They are already here; crowd-funding, peer-to-peer lending platforms, digital currency exchange and a thousand others, most of which cut out the middleman. This is the future of finance, not a reformed version of what we have.

The book is worth reading, it is wry and wise and witty, a summation of the author’s considerable thinking on the subject. And it does raises an awkward question, which we really need to address – is what we are doing of any use, and if not, how can we make it useful? ● Nick Silver is a director of Callund Consulting Ltd

MORE ONLINE Latest reviews at www.theactuary.com/opinion

THE ACTUARY • May 2016 www.theactuary.com

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26/04/2016 13:28

At the back

1

2

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5

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7

21

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Coffee break 8

iQ

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11

10 12 13 15

TRIPLE JUMP

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BY NYLFIA

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24

25

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In this puzzle, 18 is to 5 26 of 8 as 2 is to 21 25 as 17 is to 23 21. All are to 23 11 and 13.

Clues may lack definition components

© Nylfia

Across 8 Candidate is running for this station (6) 9 French settler spotted with Iron Cross (4-4) 10 Lawyers take lead in observing length it moves under pressure (9) 11 Stockings worn by everyone used to protect (5) 13 Challenge men with emphatic argument (11) 17 Dressing essential to Tory (7) 18 Food taken about noon with drink, all sent back by magic, perhaps? 7) 20 Vegetable pulp a base for a cereal (5,6) 23 Northern European chess player? (5) 24 Record I represent on unknown study of inscriptions (9)

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28

27 More than one listener thanks revolutionary bearing anguish (3,5) 28 Attempt to carry snack in compact (6)

7

Senior OBs discovering chemical measuring device (9)

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Over not from this direction (5)

14 Revolutionary converted from Taoism (6)

Down

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1 2 3

Boycott warmonger from military transport (5,4)

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Not penned in rut – went beastly (9)

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Coppers with sanctimonious detective sergeant show teeth? (7)

21

Main component found in the spring (5)

Lights terrible for the audience (5) Starkers?(5) Exercise class given by the French footballer (4) 4 Rapsheets altered, Times Roman initials missing? (7) 5,26 Old script retrospectively found in note specifies leasehold (6) 6 Confused tenor with liberal gents joining in?

(9)

Water wonder Mensa puzzle 657

22 Butler, perhaps, confused the stuffing in flipping Turkey (5) 25 Moveable barrier to paying attendees (4) 26 See 5dn

Musical moves Mensa puzzle 658

www.mensa.org.uk A fire engine travels five miles to a fire at a speed of 45 mph. Its tank holds 500 gallons of water but has been leaking throughout the journey at a rate of 20 gallons per hour.

If the fire engine needs 496 gallons of water to put out the fire, will it succeed, and, if so, how many gallons of water will it have to spare?

K C A E O

L S M A H

A U I C K M D O B O O L R Y

A knight is positioned on the shaded (MIDDLE) square of this chessboard.

Move the knight to each square once only, collecting letters to spell out the names of three well-known musicals.

What are they?

FOR PUZZLES SOLUTIONS – May 2016 Answers and more can be found online.

Please go to www.theactuary.com/puzzles

May 2016 • THE ACTUARY 35 www.theactuary.com

p35_may_crossword_puzzles•FINAL•CT.indd 35

26/04/2016 09:21

News NEWS UPDATES FROM THE ACTUARIAL

People & Society

SAS: breaking boundaries

By John Watret, communications director, Student’s Actuarial Society The Students’ Actuarial Society (SAS) at Heriot-Watt University welcomed several distinguished guests to their conference on Wednesday 10 February.

The conference is an important event organised by the society to help students find out more about the profession and gain insight into particular topics current to the world of actuaries. It is not exclusively for students; indeed, many qualified actuaries, professors and academics regularly attend, with a total attendance this year of over 100.

The conference was entitled ‘Breaking boundaries’, summing up the fact that actuaries are facing ever-more demanding challenges, and must try to push past current limitations.

Yuki Sun, the conference director, started proceedings by introducing the speakers. Melissa Koay, the vice-president, then opened with a rousing speech on the role of the SAS, and reflected on the excellent work members had done throughout the year.

The first speaker, Dr Gordon Woo, from Risk Management Solutions, presented on aviation risk insurance. He spoke about the history and current risks in the industry, including terrorism,

36

cyber attacks, innovation and natural phenomena.

Naomi Burger, from Deloitte, followed and spoke on mergers and acquisitions (M&A).

She discussed the new corridors of cashflow opening up between Asia and Europe. She also highlighted the increase in M&A deals over the past year, and how they have hit record levels, with currency fluctuations and cost of debt to blame for increased interest in European countries.

The final talk from Dan Jermyn and Rebecca Campbell, both from RBS, was on emerging technologies and big data. Today, data is generated on a phenomenal scale. The variety, volume and velocity of data delivery has changed the way companies respond to issues and problems. They discussed the need for ways to interpret important information, while ignoring ‘noise’ to deliver effective and efficient services.

Gavin Reid, associate professor at Heriot-Watt and a member of the Scottish Board of the Institute and Faculty of Actuaries, thanked all those in attendance and presented the prize for best question, kindly sponsored by the IFoA. This year, the prize was split among three students: Martin Chege, Wihan Botha and Vaibhav Laddha.

SIAS samba success Ten-pin winners

By Bill Harris The Worshipful Company of Actuaries held its eighth annual ten-pin bowling event at the All Star Lanes in Holborn, London, on 8 March.

Eight teams of three bowlers competed for the (rather large and extremely heavy) trophy, and there was keen competition for both best and worst scores, with last year’s winners ‘Glowbowl’ slumping to fifth place.

Aon Hewitt’s two teams battled it out for last place until the final ball of the evening, when ‘Lucky strikes and a box of matches’ with 211, just edged out ‘I can’t believe it’s not gutter’ at 215, for the wooden spoon. The other six teams were closely matched, but this year’s winners were ‘Snakes on a lane’ with a score of 341.

Congratulations to Mike Lawson, Mark Paxton and Nick Dumbreck (who came along as a representative of WCA, and then found himself drafted into the Barnett Waddingham team at the last minute). Second was ExactVAL’s ‘Three blind demolition men’ with 336, and third was Swiss Re’s ‘Size 16 Balls’ with 322.

Top individual scorers were Mike Lawson (146), Amit Patel (142) and Greg Doyle (119).

THE ACTUARY • May 2016 www.theactuary.com

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26/04/2016 12:12

ARIAL PROFESSION

If you have any newsworthy items for these pages, please email social@theactuary.com

Maths boost

By Jennifer Strickland It is a truth universally acknowledged that, to get actuaries dancing, a significant amount of alcohol is required (SIAS ball, ahem!). For the SIAS samba night, however, we decided to defeat this stereotype by doing the dancing first, and the drinking afterwards.

On 25 February, 35 aspiring dancers from the actuarial community met at Guanabara, Drury Lane, for a fantastic evening of dancing, dinner and cocktail drinking (in that order). There were, undeniably, a few pre-samba jitters – “I can’t believe I signed up to this, I can’t dance to save my life!” (me) – but within five minutes of our energetic instructor coming on stage, the dancefloor was in full swing.

The whole session was resoundingly good fun, the music was loud and the focus very much on having a good time rather than getting the moves right. My own personal goal was to wave my arms around as much as possible and not crash into (too many) people, which I achieved. Credit has to go to Willis Towers Watson for the gusto of their many employees (led by SIAS’ own Thomas Leigh-Eldridge), all of whom who were wiggling their hips and enthusiastically side-stepping in true Samba style. After 45 minutes we all returned to our tables, where we were served Caipirinhas and a delicious three-course Brazilian dinner.

By Martin Miles

The final surprise of the night came with the arrival of three scantily-clad carnival dancers, complete with headdresses and, in one case, fluffy green trousers. Eager to show off our new moves, we all flooded back onto the dance floor, proving that, despite our staid reputation, actuaries can have ‘samba no pé’ (literally, ‘Samba foot’).

NWAS the quiz before Christmas

Nominate a charity champion

By Vicky Proctor

Each year, the Worshipful Company of Actuaries presents the Phiatus Award to an actuary who has made an impressive contribution to charity.

There is still time to make your nominations for the 2015 award. The award is not simply for fundraising – although we do want to hear about impressive fundraising efforts – but will recognise all forms of charitable work and activity.

Please do send through your nominations – we want to hear about and encourage actuaries in their work for charity.

These should be sent to the editor of The Actuary at

Once again, the brightest actuarial minds in the North West joined forces at the end of last year for the annual North West Actuarial Society pub quiz, hosted by resident quizmaster Nigel Jones at the Ape and Apple.

A record-breaking 13 teams representing most North West consultancy firms strove to be the deserving recipients of something money can’t buy – actuarial glory.

As ever, the imaginative team names did not disappoint, with examples including Mercer’s ‘Trivial commutes’ and First Actuarial’s ‘Small lumps… ummm’.

The questions covered a myriad of both popular and obscure topics, including X-Factor runners-up, SHUTTERSTOCK / ISTOCK

p36_37_may_soc_news•FINAL•CT.indd 37

triskaidekaphobia and members of the Muppet house band.

The recurring Police Academy-themed question was met with a slightly mixed response.

Well done to the (somewhat surprised) Mitchell Consulting team, ‘MC Hammered’, for beating off the competition and winning the 2015 quiz, putting an end to Mercer’s winning streak.

Congratulations are also deserved for a valiant effort from Michael J Field’s ‘Force Fields’ team, and quiz newcomers Buck Consultants and Co-op.

editor@theactuary.com

On 11 January, a presentation was given at Staple Inn by Dr Matthew Inglis on the extent to which studying advanced mathematics develops general thinking abilities. Dr Inglis is a Royal Society Research Fellow coming to the end of a five-year research project into this topic, which has been sponsored by the Actuaries Livery Company.

Some 70 actuaries were present at Staple Inn to enjoy a presentation on the results of the research, which provides pretty conclusive evidence that continuing mathematics education beyond age 16 is of benefit to all students, not just those specialising in science, technology, engineering and mathematics.

In his recent Budget speech, chancellor George Osborne said that a review would be carried out by Professor Sir Adrian Smith on the merits of compulsory maths in schools until age 18. It would seem he only has to talk to Inglis to reach a foregone conclusion!

In the second half of his presentation, Inglis went on to consider how maths teaching and assessment can be structured to maximise the development of thinking skills. In particular, he explained how comparative judgment (CJ) techniques can be used to assess students’ work more quickly, more consistently and more constructively than traditional mark schemes. Several of the actuaries present tried out the CJ software on some pre-loaded student scripts, before a lively reception.

Through its charitable trust, the Worshipful Company of Actuaries has committed more funds to this project than any previous venture.

Much has been said recently about the dire state that mathematical education in the UK has reached compared with that in many other developed countries. It seems that, at last, some people in positions of influence are listening and that there could be policy changes for the better. Several experts deserve credit for this shift in thinking. Inglis is one of them.

Births Roger Houlihan (Canada Life) and his wife Alison are pleased to announce the birth of their son, James, on 7 January. James is a baby brother to Sophia and George.

We would be delighted to hear from you if you have any newsworthy items for these pages. Please contact Yvonne Wan at social@theactuary.com

May 2016 • THE ACTUARY 37 www.theactuary.com

26/04/2016 09:21

SPONSORED BY

Appointments peoplemoves@theactuary.com

Moves The Government Actuary’s Department (GAD) has announced the appointment of Steve Humphrey to its management board as head of specialist actuarial. Humphrey will oversee the advice that GAD provides to UK and overseas pension and social security policy leads, funded pension schemes and supporting staff transfer exercises. Humphrey joined GAD in 1994 from a private-sector consulting firm.

Tokio Millennium Re AG (TMR) has appointed Andreas Kull (above, right) to the role of chief risk officer. He has over 15

years’ experience in risk management and actuarial roles and joined TMR in 2015 as executive vice-president of the group enterprise risk management team.

Prior to that, he was the chief risk officer of AXA Winterthur. He is a qualified actuary (Swiss Association of Actuaries, German association of actuaries) with a CERA designation.

The International Federation of Health Plans (IFHP) has announced that Keith Gibbs (above, right) chief executive of AXA PPP healthcare in the UK, has been elected president of the leading global

community of health insurance businesses as of 1 January 2016. Gibbs is a Fellow of the IFoA. JLT Employee Benefits (JLT EB) has announced the appointment of Phil Wadsworth (above, right) as chief actuary.

He will be responsible for driving professional actuarial standards and taking the lead in its work with The Pensions Regulator and other trade bodies.

Mercer has announced the appointment of Robert Evans (right) as a principal in Mercer’s retirement business.

Evans will be based in the London office, advising corporates and trustees on UK pension scheme matters. He will also join Mercer’s innovation, policy and research team. Prior to joining Mercer, Evans was a principal at Buck Consultants in London.

Previously, he worked for Towers Perrin in the UK.

Star Actuarial has announced that Margaret de Valois will join its team to grow their presence in the asset management sector.

De Valois, who has worked within investment in the pensions, general insurance and life sectors, takes the company’s qualified actuary count to four Fellows, showing their commitment to having specialists within its team of career advisers.

www.hfg.co.uk

SANJAY CHANDRAN

ACTUARY OF THE FUTURE

Employer and area of work

What is your most ‘actuarial’ habit?

What song best describes your work ethic?

EY, non-life insurance

Always having a margin for error in most things I do.

Eye Of The Tiger.

Favourite Excel function?

I went to Cairo during the 2012 riots for a holiday because there was a good tour deal.

How would your best friend describe you?

I actually messaged him to get his answer.

This is what he said: “A trustworthy, genuine and accepting individual. He is like a brother, but sometimes he deserves a high-five, in the face, with a chair.”

What motivates you?

I am extremely competitive and always strive to be the best. I guess it’s this competitive nature that motivates me.

What would be your personal motto?

Hakuna matata

Name five dream companions to be stuck on a desert island with?

Kevin Hart and Jimmy Carr for comedy. Bear Grylls for survival tips.

Gordon Ramsay for food. Adele for her music.

38

Spence & Partners has announced the appointment of Hugh Nolan, (not pictured) previously JLT’s chief actuary, as director.

He will be based in the London office. Nolan entered the pensions industry in 1989 and has worked for several large consulting firms, most recently JLT / HSBC, where he has been since 2002. He is chair of the DC committee of the Association of Consulting Actuaries.

Sumproduct.

How do you relax away from the office?

I’m quite active, so I relax by being active – going to the gym, playing football, basketball or tennis.

What is the funniest thing that has happened to you recently?

My friend put some cellophane tape underneath my mouse.

I foolishly thought my mouse simply wasn’t working and threw it away without checking.

Alternative career choice?

Professional athlete – either in basketball or tennis.

Greatest risk you have ever taken?

If you could go back in history, who would you like to meet?

I would like to have met Sir Edmund Hillary.

If there was a movie produced about your life, who would play you, and why?

The comedian Aziz Ansari.

If you could be anyone else, who would it be?

I am happy with who I am and wouldn’t wish to be anyone else.

Do you know an actuary destined for greatness?

You can nominate an Actuary of the Future by emailing

aotf@theactuary.com

THE ACTUARY • May 2016 www.theactuary.com

p38_may_AOTF•FINAL•CT.indd 38

26/04/2016 09:22

www.theactuaryjobs.com

Appointments

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ƒ’‹–ƒŽ …–—ƒ”›

͙͋͘͘Â? ÇŚ ͙͙͋͘Â? Â„ÂƒÂ•Â‹Â…ÇĄ ‘Â?†‘Â?

‡”Â?—†‹ƒÂ? „ƒ•‡† ”‡‹Â?•—”‡” ‹• Ž‘‘Â?‹Â?‰ ˆ‘” ƒ Â“Â—ÂƒÂŽÂ‹Ć¤Â‡Â† ‡•‡”˜‹Â?‰ …–—ƒ”›Ǥ This role will report directly into the Chief Actuary (based between London and Bermuda) and will have one direct report. The successful …ƒÂ?†‹†ƒ–‡ ™‹ŽŽ Šƒ˜‡ Í?ÎŽ ›‡ƒ”• ‹Â? ƒ ‘Â?†‘Â? Â?ƒ”Â?‡– ‹Â?•—”ƒÂ?…‡ Ƥ”Â? ƒÂ?† …‘Â?‡ ˆ”‘Â? ƒ •–”‘Â?‰ ”‡•‡”˜‹Â?‰ „ƒ…Â?‰”‘—Â?†Ǥ Š‹• ”‘Ž‡ ™‹ŽŽ ”‡“—‹”‡ ƒ Â“Â—ÂƒÂŽÂ‹Ć¤Â‡Â† …–—ƒ”› ™‹–Š ƒ Â?‹Â?‹Â?—Â? ‘ˆ ‘Â?‡ Â›Â‡ÂƒÂ”ÇŻÂ• ’‘•– Â“Â—ÂƒÂŽÂ‹Ć¤Â…ÂƒÂ–Â‹Â‘Â? ‡š’‡”‹‡Â?…‡Ǥ For more information please contact: ben@hfg.co.uk REF: BH0501

A global Lloyd’s carrier is recruiting in their risk management team.

This role will report into both the CRO and CFO and have direct access to the board. The successful candidate will have a minimum of 5+ years …ƒ’‹–ƒŽ ‡š’‡”‹‡�…‡ ‹� …ƒ’‹–ƒŽ �‘†‡ŽŽ‹�‰ ‹†‡ƒŽŽ› Šƒ˜‹�‰ —•‡† ‡ ‡–”‹…ƒǤ ‘— ™‹ŽŽ „‡ ™‘”�‹�‰ ™‹–Š –Š‡ ™‹†‡” „—•‹�‡•• •‘ •‡�‹‘” •–ƒ�‡Š‘Ž†‡” management is essential.

For more information please contact: ben@hfg.co.uk REF: BH0502

͋͘͜Â? ÇŚ Í‹Í?͘Â? Â„ÂƒÂ•Â‹Â…ÇĄ ‘Â?†‘Â?

A leading Lloyd’s Syndicate have an opportunity for a Part Â—ÂƒÂŽÂ‹Ć¤Â‡Â† …–—ƒ”› –‘ Œ‘‹Â? ‘Â?‡ ‘ˆ –Š‡‹” ‡‹Â?•—”ƒÂ?…‡ Ž‹Â?‡•Ǥ ‘— ™‹ŽŽ „‡ working alongside the Divisional Actuary working across Pricing, ‡•‡”˜‹Â?‰ǥ ƒ’‹–ƒŽ ƒÂ?† ‘–Š‡” ’”‘Œ‡…–•Ǥ ‘Â?†‘Â? ƒ”Â?‡– ‡š’‡”‹‡Â?…‡ ‹• ‹†‡ƒŽ ƒÂ?† ‰‘‘† ’”‘‰”‡••‹‘Â? ‹Â? –Š‡ …–—ƒ”‹ƒŽ ‡šƒÂ?• ƒ”‡ ‡••‡Â?–‹ƒŽǤ For more information please contact: david@hfg.co.uk REF: DC0501

Í‹Í?Í?Â? ÇŚ Í‹Í&#x;Í?Â? Â„ÂƒÂ•Â‹Â…ÇĄ ‘Â?†‘Â? Ž‡ƒ†‹Â?‰ Ž‘›†ǯ• ›Â?†‹…ƒ–‡ •‡‡Â?• ƒ ‡Â?‹‘” ”‹…‹Â?‰ Â?ƒŽ›•– –‘ Œ‘‹Â? ƒ Â?—Ž–‹nj class division. Working daily alongside the Underwriters you will provide high level case pricing support with technical aspects of building new and Â”Â‡ÇŚÂ˜ÂƒÂ?’‹Â?‰ ‹Â? ’Žƒ…‡ Â?‘†‡Ž•Ǥ —•– Šƒ˜‡ ‘Â?†‘Â? ƒ”Â?‡– ”‹…‹Â?‰ ‡š’‡”‹‡Â?…‡ ƒÂ?† ƒ’’”‘ƒ…Š‹Â?‰ Â“Â—ÂƒÂŽÂ‹Ć¤Â…ÂƒÂ–Â‹Â‘Â? ‹Â? …–—ƒ”‹ƒŽ ‡šƒÂ?• ‘˜‡” Â?‡š– Í™ÍšÇŚÍ™Í Â?‘Â?–Š•Ǥ For more information please contact: david@hfg.co.uk REF: DC0502

‹˜‹•‹‘�ƒŽ …–—ƒ”‹ƒŽ �ƒŽ›•–

‘Â?ÇŚ ‹ˆ‡ …–—ƒ”‹ƒŽ ‘Â?•—Ž–ƒÂ?–

Í‹ÍœÍ?Â? ÇŚ Í‹ÍžÍ?Â?ÇĄ ‘Â?†‘Â?

A well respected Actuarial Consultancy are looking for a Part-Qual …–—ƒ”› –‘ Œ‘‹�‡† –Š‡‹” ‡•–ƒ„Ž‹•Š‡† ‡�‡”ƒŽ �•—”ƒ�…‡ –‡ƒ�Ǥ Š‡› ™‘”� ™‹–Š ƒ �—�„‡” ‘ˆ …Ž‹‡�–• ™‹–Š‹� –Š‡ ‘�†‘� ƒ�† ‡�‡”ƒŽ �•—”ƒ�…‡ market. They compete strongly against the Big 4 and there are great opportunities to progress internally.

For more information please contact: david@hfg.co.uk REF: DC0503

‡Â?‹‘” ”‹…‹Â?‰ Â?ƒŽ›•– Č‹ Ž‘›†̚• ›Â?Â†Â‹Â…ÂƒÂ–Â‡ČŒ

ÂƒÂ”Â–ÇŚ Â—ÂƒÂŽÂ‹Ć¤Â‡Â† ‡•‡”˜‹Â?‰ Â?ƒŽ›•–

Í‹Í?Í?Â? ÇŚ Í‹ÍžÍ?Â?ÇĄ ‘Â?†‘Â?

One of the biggest International Insurers are looking for a Reserving Â?ƒŽ›•– –‘ Œ‘‹Â? –Š‡‹” Ž‘›†ǯ• ’Žƒ–ˆ‘”Â?Ǥ ‘— ™‹ŽŽ „‡ –Š‡ ǎ‰‘nj–‘ǯ ‹Â?†‹˜‹†—ƒŽ ˆ‘” ƒ Â?—Â?„‡” ‘ˆ Ž‹Â?‡• ‘ˆ „—•‹Â?॥ ƒŽ‘Â?‰ ™‹–Š –Š‡ •…‘’‡ –‘ ‡š’Ž‘”‡ Â?‡™ ƒ”‡ƒ•Ǥ Reporting directly into the Head of Reserving, you will ideally have a solid ƒÂ?‘—Â?– ‘ˆ ‘Â?†‘Â? ƒ”Â?‡– ‡•‡”˜‹Â?‰ ‡š’‡”‹‡Â?…‡ ƒÂ?† ƒ”‡ ’ƒ••‹‘Â?ƒ–‡ ƒ„‘—– this. For more information please contact: david@hfg.co.uk REF: DC0504

General Insurance - Contract roles Í‹Í Í˜Í˜ ÇŚ ͙͋͘͘͘ ’‡” Â†ÂƒÂ›ÇĄ ‘Â?†‘Â?

This established insurer with global presence is looking for a pricing contractor to help with developing the pricing models, perform ’”‹…‹Â?‰ ƒÂ?ƒŽ›•‹• ĥ ™‡ŽŽ ĥ ƒ••‹•– ‹Â? ‡Â?„‡††‹Â?‰ –Š‡ ’”‘…‡••‡•Ǥ ‘— Â?—•– Šƒ˜‡ ƒ ™‡ƒŽ–Š ‘ˆ ÇĄ ‹†‡ƒŽŽ› ”‡‹Â?•—”ƒÂ?…‡ ’”‹…‹Â?‰ ‡š’‡”‹‡Â?…‡ and be comfortable with working closely with the underwriters.

For more information please contact: rupa@hfg.co.uk REF: RP0501

Pricing Contractor

+44 (0) 207 337 8800

Í‹Í Í˜Í˜ ÇŚ ͙͚͋͘͘ ’‡” Â†ÂƒÂ›ÇĄ ‘Â?†‘Â?

This leading insurer is looking for a contractor to support the business in the validation of the reserve risks, which feeds in to the reserving as well ƒ• –Š‡ …ƒ’‹–ƒŽ ˆ—�…–‹‘�Ǥ ‘— �—•– Šƒ˜‡ ƒ ™‡ƒŽ–Š ‘ˆ ��‘™Ž‡†‰‡ ƒ�† ‡š’‡”‹‡�…‡ ‹� ƒ�ƒŽ›•‹�‰ –Š‡ ”‡•‡”˜‡ ”‹•�• ‹� ƒ ‘Ž˜‡�…›

‡Â?˜‹”‘Â?Â?‡Â?– ™‘—Ž† „‡ Š‹‰ŠŽ› „‡Â?Â‡Ć¤Â…Â‹ÂƒÂŽ ĥ ™‡ŽŽ ĥ ‡š’‡”‹‡Â?…‡Ǥ For more information please contact: rupa@hfg.co.uk REF: RP0502

‡•‡”˜‡ ‹•� ‘�–”ƒ…–‘”•

™™™ǤŠˆ‰Ǥ…‘Ǥ—�

May 2016 • THE ACTUARY 39 www.theactuary.com

ACT Rec May16.indd 39

25/04/2016 17:16

Appointments

PICTURE A SAFER ECONOMY FOR ALL LIFE ACTUARIES (SOLVENCY II) Full and part-time opportunities available • Competitive package • London It is no understatement to say that the work of the Prudential Regulation Authority is pivotal to the future of our economy. Created in response to the financial crisis, it promotes the safety and soundness of over 1,700 financial firms. You will help to shape this crucial work by leading proportionate risk-based assessments of life insurance groups and firms. Not only will this give you a bigger, more complex picture of the industry, it will also mean you get to play a hugely positive role in shaping and protecting its future.

The challenges here are unique and leading edge, and so call for someone with extensive post-qualification experience as a life actuary, including specific Solvency II experience with models and risk capital assessment. Good people skills are vital, too, as you’ll be working in a close team with a wide range of colleagues.

40

This is an extraordinary place in which to develop yourself, and you will get all the training, support and learning opportunities to build a lasting career within the PRA or the wider Bank. Perhaps most compellingly, you can achieve all of this in a way that suits your lifestyle: we offer a range of versatile working arrangements, so if you’re looking for a flexible or part-time role, we’d encourage you to apply.

To apply please visit www.boe-careers.co.uk and search under the ‘Actuarial’ business area to record your interest in job number IRC10035.

For further information about the Bank please visit www.bankofenglandjobs.co.uk If you have any questions please contact Nav Samra at nav.samra@bankofengland.gsi.gov.uk Closing date for applications: 3rd June 2016.

THE ACTUARY • May 2016 www.theactuary.com

ACT Rec May16.indd 40

25/04/2016 17:16

London : Chicago : Hong Kong : Singapore : Shanghai : Zurich

www.theactuaryjobs.com

Pensions Buyout Specialist, London hƉƉĞƌ YƵĂƌƟůĞ ^ĂůĂƌLJ Θ ŽŶƵƐ н ĞŶĞĮƚƐ WĂĐŬĂŐĞ

dŚŝƐ ƐƵĐĐĞƐƐĨƵů ĂĚǀŝƐŽƌLJ Įƌŵ ĂĚǀŝƐĞƐ ƉĞŶƐŝŽŶ ĨƵŶĚ ƚƌƵƐƚĞĞƐ ĂŶĚ ƐƉŽŶƐŽƌƐ ǁŝƚŚ ŵĂƌŬĞƚ ůĞĂĚŝŶŐ ĂĚǀŝĐĞ ĂŶĚ ŝŵƉůĞŵĞŶƚĂƟŽŶ ƐĞƌǀŝĐĞƐ ŽŶ ǁĂLJƐ ƚŽ ƌĞĚƵĐĞ Žƌ ƌĞŵŽǀĞ ƉĞŶƐŝŽŶƐ ƌŝƐŬ͘ dŚŝƐ ŵŝŐŚƚ ƌĞƐƵůƚ ŝŶ Ă ďƵLJͲŝŶ Žƌ ďƵLJŽƵƚ͕ Ă ůŽŶŐĞǀŝƚLJ ƐǁĂƉ Žƌ ŽƚŚĞƌ ŚĞĚŐŝŶŐ ƐŽůƵƟŽŶƐ͘ dŚŝƐ ƐƉĞĐŝĂůŝƐƚ ƚĞĂŵ ŝƐ ůŽŽŬŝŶŐ ƚŽ ŚŝƌĞ ĂŶ ĞdžƉĞƌŝĞŶĐĞĚ ĂĚǀŝƐĞƌ ǁŚŽ ŚĂƐ Ă ƉƌŽǀĞŶ ƚƌĂĐŬ ƌĞĐŽƌĚ ŽĨ ĂĚǀŝƐŝŶŐ ƚƌƵƐƚĞĞƐ ĂŶĚ ƐƉŽŶƐŽƌƐ ĂůŽŶŐ ƚŚĞ ĚĞƌŝƐŬŝŶŐ ũŽƵƌŶĞLJ ĂŶĚ ŽĨ ůĞĂĚŝŶŐ ďƵLJͲŽƵƚͬďƵLJͲŝŶ ƚƌĂŶƐĂĐƟŽŶƐ͘ ĂŶĚŝĚĂƚĞƐ ĂƌĞ ůŝŬĞůLJ ƚŽ ďĞ ƋƵĂůŝĮĞĚ ĂĐƚƵĂƌŝĞƐ ǁŚŽ ŚĂǀĞ ǁŽƌŬĞĚ ĨŽƌ ĞŝƚŚĞƌ ĂŶŽƚŚĞƌ ĂĚǀŝƐŽƌLJ Įƌŵ ĂƐ Ă ůĞĂĚ ĂĚǀŝƐĞƌ ŽŶ ƉĞŶƐŝŽŶƐ ďƵLJŽƵƚ Žƌ ƉŽƚĞŶƟĂůůLJ ĨŽƌ Ă ƉƌŽǀŝĚĞƌ ĂƐ Ă ĚĞĂů ƉƌŝŶĐŝƉĂů͘ ŽŶƚĂĐƚ͗ ĂŶƚŚŽŶLJ͘ĐŚŝƚŶŝƐΛŝƉƐŐƌŽƵƉ͘ĐŽ͘ƵŬ dĞů͗ нϰϰ ϮϬϳ ϰϴϭ ϴϲϴϲ

Senior Investment Consultant, London ƩƌĂĐƟǀĞ ^ĂůĂƌLJ н ĞŶĞĮƚƐ Θ ŽŶƵƐ

KƵƌ ĐůŝĞŶƚ͕ ĂŶ ŝŶǀĞƐƚŵĞŶƚ ĂĚǀŝƐŽƌLJ Įƌŵ ĂŶĚ ĂƐƐĞƚ ŵĂŶĂŐĞƌ͕ ŝƐ ůŽŽŬŝŶŐ ĨŽƌ Ă ;ƐĞŶŝŽƌͿ ŝŶǀĞƐƚŵĞŶƚ ĐůŝĞŶƚ ĂĚǀŝƐĞƌ ǁŚŽ ŚĂƐ Ă ŐŽŽĚ ƚƌĂĐŬ ƌĞĐŽƌĚ ŽĨ ŵĂŶĂŐŝŶŐ ŬĞLJ ƌĞůĂƟŽŶƐŚŝƉƐ͘ dŚŝƐ ƉĞƌƐŽŶ ǁŽƵůĚ ŽīĞƌ ĂĚǀŝĐĞ ŽŶ ƐƚƌĂƚĞŐŝĐ ŝŶǀĞƐƚŵĞŶƚ ƌĞǀŝĞǁƐ͕ ĂƐƐĞƚ ĂůůŽĐĂƟŽŶ͕ ŵĂŶĂŐĞƌ ƐĞůĞĐƟŽŶ ĂŶĚ ƉĞƌĨŽƌŵĂŶĐĞ ƌĞǀŝĞǁ͘ ,ĞͬƐŚĞ ǁŝůů ŚĂǀĞ ĮƌƐƚͲƌĂƚĞ ĐŽŵŵƵŶŝĐĂƟŽŶ ƐŬŝůůƐ ĂŶĚ ĞŶũŽLJ ďĞŝŶŐ ƉĂƌƚ ŽĨ Ă ĚLJŶĂŵŝĐ ďƵƐŝŶĞƐƐ ǁŚŝĐŚ ŝƐ ĂŶƟĐŝƉĂƟŶŐ ƐƚƌŽŶŐ ŐƌŽǁƚŚ ŽǀĞƌ ƚŚĞ ŶĞdžƚ ĨĞǁ LJĞĂƌƐ͘ 'ŽŽĚ ŬŶŽǁůĞĚŐĞ ŽĨ ŝŶǀĞƐƚŵĞŶƚ ĂŶĚ ƌŝƐŬ ƌĞůĂƚĞĚ ƚŽƉŝĐƐ ǁŽƵůĚ ďĞ ĂŶ ĂĚǀĂŶƚĂŐĞ͘ WůĞĂƐĞ ĐŽŶƚĂĐƚ ƵƐ ĨŽƌ ŵŽƌĞ ŝŶĨŽƌŵĂƟŽŶ͘ ŽŶƚĂĐƚ͗ ƉŚƵ͘ŶŐŽĐΛŝƉƐŐƌŽƵƉ͘ĐŽ͘ƵŬ dĞů͗ нϰϰ ϮϬϳ ϰϴϭ ϴϲϴϲ

WƌŝĐŝŶŐ ĐƚƵĂƌLJ͕ ƵƌŝĐŚ ŽŵƉĞƟƟǀĞ ^ĂůĂƌLJ н ŽŶƵƐ Θ ĞŶĞĮƚƐ

KƵƌ ĐůŝĞŶƚ͕ Ă ůĞĂĚŝŶŐ ƌĞŝŶƐƵƌĂŶĐĞ ĐŽŵƉĂŶLJ͕ ŝƐ ůŽŽŬŝŶŐ ƚŽ ƌĞĐƌƵŝƚ Ă ƉĂƌƚͲƋƵĂůŝĮĞĚ ͬ ŶĞǁůLJ ƋƵĂůŝĮĞĚ ĂĐƚƵĂƌLJ ƚŽ ũŽŝŶ ƚŚĞŝƌ ĐĂƐƵĂůƚLJ ƉƌŝĐŝŶŐ ƚĞĂŵ ǁŝƚŚ ƚŚĞ ŵĂŝŶ ĨŽĐƵƐ ŽŶ ŵŽĚĞůůŝŶŐͬƉƌŝĐŝŶŐ ŽĨ ƌĞŝŶƐƵƌĂŶĐĞ ƚƌĞĂƟĞƐ͘ zŽƵ ǁŝůů ŚĂǀĞ ƌĞŝŶƐƵƌĂŶĐĞ ƚƌĞĂƚLJ ƉƌŝĐŝŶŐ ĞdžƉĞƌŝĞŶĐĞ ŝŶ ĐĂƐƵĂůƚLJ ůŝŶĞƐ ŽĨ ďƵƐŝŶĞƐƐ͘ džƉĞƌŝĞŶĐĞ ŝŶ ĐĂƉŝƚĂů ŵŽĚĞůůŝŶŐ ;ZĞŵĞƚƌŝĐĂ͕ /ŐůŽŽͿ ǁŝůů ĂůƐŽ ďĞ ĂŶ ĂĚĚĞĚ ĂĚǀĂŶƚĂŐĞ͘ zŽƵ ŵƵƐƚ ŚĂǀĞ ŐŽŽĚ ĐŽŵŵƵŶŝĐĂƟŽŶ ƐŬŝůůƐ ŝŶ ĂĚĚŝƟŽŶ ƚŽ ĂĐƚƵĂƌŝĂů ĂŶĚ ƐƚĂƟƐƟĐĂů ƉƌŝĐŝŶŐ ĞdžƉĞƌŝĞŶĐĞ͘ ŶŐůŝƐŚ ŝƐ ƚŚĞ ŵĂŝŶ ďƵƐŝŶĞƐƐ ůĂŶŐƵĂŐĞ ƌĞƋƵŝƌĞĚ͘ ŽŶƚĂĐƚ͗ ƉŚƵ͘ŶŐŽĐΛŝƉƐŐƌŽƵƉ͘ĐŽ͘ƵŬ dĞů͗ нϰϰ ϮϬϳ ϰϴϭ ϴϲϴϲ

ĐƚƵĂƌŝĂů ŶĂůLJƐƚ͕ >ŽŶĚŽŶ Žƌ ŽŶƟŶĞŶƚĂů ƵƌŽƉĞ ƩƌĂĐƟǀĞ ^ĂůĂƌLJ н ďĞŶĞĮƚƐ ƉĂĐŬĂŐĞ

KƵƌ ĐůŝĞŶƚ ǁĂŶƚƐ ƚŽ ĞŶŚĂŶĐĞ ƚŚĞŝƌ ƚĞĂŵ ǁŝƚŚ Ă ƐĞŶŝŽƌ ĂĐƚƵĂƌŝĂů ĂŶĂůLJƐƚ ƌĞƐƉŽŶƐŝďůĞ ĨŽƌ ƌĞƐĞƌǀŝŶŐ͘ dŚŝƐ ǁŝůů ŝŶĐůƵĚĞ ƚŚĞ ĐĂůĐƵůĂƟŽŶ ŽĨ ƌĞƐĞƌǀĞƐ͕ ƚŚĞ ǁƌŝƟŶŐ ŽĨ ƌĞƐĞƌǀŝŶŐ ƌĞƉŽƌƚƐ ĂŶĚ ĚŽĐƵŵĞŶƚĂƟŽŶ ŽĨ ĞƐƟŵĂƟŽŶƐ ĨŽƌ ĂƵĚŝƚŽƌƐ ĂŶĚ ƌĞŐƵůĂƚŽƌƐ͘ zŽƵ ǁŝůů ďĞ ĂůƐŽ ŝŶǀŽůǀĞĚ ŝŶ ďƵƐŝŶĞƐƐ ƉůĂŶŶŝŶŐ͕ ƵŶĚĞƌǁƌŝƟŶŐ ƐƵƉƉŽƌƚ ĂŶĚ ^ŽůǀĞŶĐLJ // ƐƉĞĐŝĮĐ ƌĞƋƵŝƌĞŵĞŶƚƐ͘ dŚŝƐ ŝƐ Ă ŐŽŽĚ ĐŚĂŶĐĞ ĨŽƌ Ă ƉĂƌƚͲͬ ŶĞĂƌͲ ƋƵĂůŝĮĞĚ ĂĐƚƵĂƌLJ ƚŽ ǁŽƌŬ ĨŽƌ Ă ŐůŽďĂů ƉůĂLJĞƌ ǁŚŽ ǁŝůů ƚƌĂŝŶ ĂŶĚ ƐƵƉƉŽƌƚ LJŽƵ ĨŽƌ LJŽƵƌ ĂĐƚƵĂƌŝĂů ĞdžĂŵƐ͘ <ŶŽǁůĞĚŐĞ ŽĨ džĐĞů ĂŶĚ s ƉƌŽŐƌĂŵŵŝŶŐ ĂƐ ǁĞůů ĂƐ Z ǁŽƵůĚ ďĞ Ă ƉůƵƐ͘ 'ŽŽĚ ĐŽŵŵƵŶŝĐĂƟŽŶ ƐŬŝůůƐ ĂƌĞ ŝŵƉŽƌƚĂŶƚ͕ ĂƐ ƚŚĞ ƉĞƌƐŽŶ ǁŝůů ŝŶƚĞƌĂĐƚ ǁŝƚŚ ŝŶƚĞƌŶĂƟŽŶĂů ĐŽůůĞĂŐƵĞƐ ĂƐ ǁĞůů͘ ŽŶƚĂĐƚ͗ ƉŚƵ͘ŶŐŽĐΛŝƉƐŐƌŽƵƉ͘ĐŽ͘ƵŬ dĞů͗ нϰϰ ϮϬϳ ϰϴϭ ϴϲϴϲ

>ŽŶĚŽŶ KĸĐĞ͗ /W^ 'ƌŽƵƉ͕ ĞǀŝƐ DĂƌŬƐ ,ŽƵƐĞ͕ Ϯϰ ĞǀŝƐ DĂƌŬƐ͕ >ŽŶĚŽŶ ϯ ϳ: dĞůĞƉŚŽŶĞ͗ нϰϰ ϮϬϳ ϰϴϭ ϴϲϴϲ ŵĂŝů͗ ĂĐƚƵĂƌŝĂůΛŝƉƐŐƌŽƵƉ͘ĐŽ͘ƵŬ tĞďƐŝƚĞ͗ ŚƩƉ͗ͬ​ͬǁǁǁ͘ŝƉƐŐƌŽƵƉ͘ĐŽ͘ƵŬ dǁŝƩĞƌ ͗ Λ/W^'ƌŽƵƉh< >ŝŶŬĞĚŝŶ͗ /W^ 'ƌŽƵƉ ACT Rec May16.indd 41

May 2016 • THE ACTUARY 41 www.theactuary.com

25/04/2016 17:16

Appointments

EUROPEAN CUP 2016 MATCH

GROUP A

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GRRROU GRO GGROU ROOU OUUPP E BE BBEL BELGU EL ELG LGU GUI UUIM IIM M

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GER GGERM GERMA EERRRM RMA MAN MANY MA M AANY NYY N

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Specialising in High Performance Selection

42

ACTUARIAL PRICING ANALYST £45,000 London

RESERVING ACTUARY £80,000 London

ACTUARIAL ANALYST £65,000 London

I am currently looking for a part qualified pricing actuary to work in a pricing reinsurance role. If you have experience of technical pricing and strong academics and would like to gain more exposure to both reserving and capital modelling to become a rounded actuary, I would like to hear from you.

Newly Nearly Qualified Actuary Currently seeking a London market reserving actuary who has completed quarterly reserves in commercial lines.

Progressing through the actuarial exams is a must with a minimum of 2 exam left.

I am currently recruiting for a Nearly Qualified Actuary to join our client’s team on a permanent basis at a senior Analyst level.

Desirable experience Pricing in the reinsurance space with knowledge of reserving and capital modelling.

If you are at the level where you now feel you can manage people and projects, then this is the right job for you.

I am seeking someone who has experience in capital modelling, can produce accurate and timely results for the Internal Model. If you have experience in Capital Modelling and are passionate about progressing into other areas of Actuarial, you would be an excellent candidate for this role.

For more information please contact Bradley on 0207 621 3771 or b.doyle@darwinrhodes.com

For more information please contact Bradley on 0207 621 3771 or b.doyle@darwinrhodes.com

For more information please contact Terry on 0207 621 3771 or t.tumba@darwinrhodes.com

CAPITAL MODELLING ANALYST £55,000 London Currently seeking junior capital modelling actuaries. If you have had exposure to capital modelling or reserving and would like to become a capital modelling expert this could be a fantastic opportunity.

This will be working in a London market organisation on commercial lines.

For more information please contact Terry on 0207 621 3771 or t.tumba@darwinrhodes.com

THE ACTUARY • May 2016 www.theactuary.com

ACT Rec May16.indd 42

25/04/2016 17:16

www.theactuaryjobs.com

Life ή͜​͜ ȋ͘Ȍ ͚͘͟ ͛​͛͟ ͠​͙͘͠ ̻ Ǥ Ǥ

Ƭ

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̹

ή͜​͜ ȋ͘Ȍ ͚͘͟ ͛​͛͟ ͙͚͚͘ ̻ Ǥ Ǥ

Life insurance roles Specialist M&A Actuary

£80k - £110k basic, London

£45k - £50k basic, Southampton

Pricing Analyst

Ǧ Ƥ Ƭ Ǥ ǡ Ǥ ͛ Ƥ Ƭ Ǥ ǣ ̻ Ǥ Ǥ ǣ ͙͘͘͝

Ǧ

Ƥ Ǥ Ƥ Ǥ Ǥ ǣ ̻ Ǥ Ǥ ǣ ͚͘͘͝

£70k - £80k basic, London

Ǥ Ƥ ͙͠ Ǥ

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Management Consultant

Longevity Risk Actuary

Modelling Manager

£500 per day, Edinburgh

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ǡ

ǯ Ǥ ǣ Ǥ ̻ Ǥ Ǥ ǣ ͙͘͘͝

£60k - £80k basic, London

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£500 - £700 per day, Various locations

Actuarial Contractor

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Senior Manager - Insurance Risk

£Competitive London

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£60k - £80k basic, London ǯ Ǥ ǡ Ƥ Ǣ

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Senior Quantitative Risk Analyst/Actuary

Investment Risk Analyst

£40k - £60k basic, London

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Ȁ Ǥ ǡ Ǥ

Ƥ Ǥ ǣ ̻ Ǥ Ǥ ǣ ͛͘͘͝

£65k - £90k, London

Senior Risk Analyst - Lloyd's

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Actuarial Student - Exposure Management

£30k - £50k basic, London

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£30k - £40k basic, London

Risk Analyst

ƥ Ǥ ǡ ǡ ǡ Ǥ Ǥ ǣ ̻ Ǥ Ǥ ǣ ͘͘͜͝

May 2016 • THE ACTUARY 43 www.theactuary.com

+44 (0) 207 337 8800 ACT Rec May16.indd 43

www.hfg.co.uk 25/04/2016 17:17

Appointments

PENSIONS & INVESTMENTS NON-LIFE LIFE & HEALTH COMMERCIAL LINES ACTUARIAL ANALYST/ACTUARY

NEARLY/NEWLY QUALIFIED PRICING ACTUARY

London, up to ÂŁ65k + bonus + beneďŹ ts

London, ÂŁ50k - ÂŁ70k

A leading global insurer are currently seeking a part-nearly qualiďŹ ed actuary to join their commercial lines pricing team. The role will be responsible for pricing, reserving and capital modelling across their commercial lines portfolio, with a speciďŹ c focus on their engineering book. The role will predominantly focus on GLM pricing however it will also be heavily involved in both reserving and aspect of capital modelling (validation/parameterisation). Candidates will be nearing qualiďŹ cation or making good progress through their exams, and have strong experience across either pricing or capital modelling. Contact: james.rydon@eamesconsulting.com | 0207 092 3239

A leading wealth management company are keen to speak to nearly/newly qualiďŹ ed actuaries with product design and pricing experience. The role will involve researching and designing new products to add value and proďŹ t to the brand. Reporting to the head of pricing, this is an ideal opportunity to make a real impact on the wider business and put your signature on new products. The role will involve liaising and maintaining relationships with the wider teams and as such strong communication skills are imperative.

RISK CAPITAL ACTUARY, London, ÂŁ60k-ÂŁ70k

DIRECTOR OF ERM, Dubai

A leading insurer is seeking an actuary to take responsibility for the ORSA and internal model validation. This role will deal with an array of senior management and actuaries across both life and non-life functions. With the aim of improving risk management across the organisation, there will be the opportunity to inďŹ&#x201A;uence the capital held and report on where improvements need to be made in this area. Candidates will ideally be recently qualiďŹ ed but those nearing qualiďŹ cation will also be considered. Some experience in capital analysis would also be useful.

A global business of excellent repute are looking for a risk management specialist for an EMEA focussed role. The position will be leading a team of ERM practitioners and offering support to risk ďŹ nancing and risk engineering professionals. You will be responsible for the strategic direction of the function, including leading client engagement and getting involved in project delivery, with subjects ranging from risk framework design and embedding to insurance programme structuring. The ideal candidate will have a depth of ERM exposure, as well as the ability to see the bigger strategic picture and lead a small team.

Contact: anthony.hill@eamesconsulting.com | 0207 092 3287

Eames listed as the #1 insurance recruitment & search ďŹ rm in the UK in Recruitment Internationalâ&#x20AC;&#x2122;s Top 500 Report

Contact: rowan.mollison@eamesconsulting.com | 0207 092 3289

Contact: andy.cannon@eamesconsulting.com | 0207 092 3262

If you are looking for your next career move or to discuss other opportunities, get in touch with us today for a conďŹ dential discussion.

Contact: actuarial@eamesconsulting.com | 0207 092 3200

London | Zurich | Singapore | Hong Kong

eamesconsulting.com

Jason Sykes Managing Director EA Reg: R1333193 +65 6829 7154 jason@hfg.com.sg

Tong Yu Life Actuarial & Risk +44 (0) 207 337 8853 tong@hfg.co.uk

Shuyu Lim GI Actuarial EA Reg: R1433780 +65 6829 7153 shuyu@hfg.com.sg

Christina Chua Life Actuarial EA Reg: R1546910 +65 6829 7158 christinac@hfg.com.sg

APAC Actuarial Assignments Senior Manager - Valuations

SGD $170k - SGD $190k Singapore

A global Insurer is looking for a Senior Manager to join their local valuations team.

As a senior member, you will manage a team of actuaries, working closely with the Appointed Actuary on local statutory reporting such as RBC and ALM. You should have strong technical knowledge in Valuation and good IT skills such as Prophet.

Should you be interested, please contact christinac@hfg.com.sg REF: CC0501

Non-Traditional Actuarial/Analytics

$Competitive Hong Kong & Singapore

My client is a leading global business with strong footprint in the APAC region. Â&#x160;Â&#x2021;Â&#x203A; Â&#x192;Â&#x201D;Â&#x2021; Â&#x2022;Â&#x2021;Â&#x2021;Â?Â&#x2039;Â?Â&#x2030; Â&#x192;Â? Â&#x2021;Â&#x161;Â&#x2019;Â&#x2021;Â&#x201D;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x2021;Â&#x2020; Â&#x192;Â?Â&#x2020; Â&#x192;Â?Â&#x192;Â&#x17D;Â&#x203A;Â&#x2013;Â&#x2039;Â&#x2026;Â&#x192;Â&#x17D; Â&#x2019;Â&#x201D;Â&#x2018;Â&#x2C6;Â&#x2021;Â&#x2022;Â&#x2022;Â&#x2039;Â&#x2018;Â?Â&#x192;Â&#x17D; Â&#x2122;Â&#x160;Â&#x2018; Â&#x2122;Â&#x192;Â?Â&#x2013;Â&#x2022; Â&#x2013;Â&#x2018; Â&#x2021;Â&#x161;Â&#x2019;Â&#x17D;Â&#x2018;Â&#x201D;Â&#x2021; Â&#x192; Â?Â&#x2018;Â?ÇŚÂ&#x2013;Â&#x201D;Â&#x192;Â&#x2020;Â&#x2039;Â&#x2013;Â&#x2039;Â&#x2018;Â?Â&#x192;Â&#x17D; Â&#x2C6;Â&#x2014;Â?Â&#x2026;Â&#x2013;Â&#x2039;Â&#x2018;Â? Â&#x2122;Â&#x2039;Â&#x2013;Â&#x160;Â&#x2039;Â? Â&#x2013;Â&#x160;Â&#x2021; Â&#x2039;Â?Â&#x192;Â?Â&#x2026;Â&#x2039;Â&#x192;Â&#x17D; Â&#x192;Â?Â&#x2020; Â?Â&#x2022;Â&#x2014;Â&#x201D;Â&#x192;Â?Â&#x2026;Â&#x2021; Â&#x2022;Â&#x2019;Â&#x192;Â&#x2026;Â&#x2021;Ǥ Â&#x160;Â&#x2021; incumbent will need be highly motivated and articulate, and have at least 7 years Â&#x2018;Â&#x2C6; Â&#x2022;Â&#x2013;Â&#x201D;Â&#x2018;Â?Â&#x2030; Â&#x192;Â?Â&#x192;Â&#x17D;Â&#x203A;Â&#x2013;Â&#x2039;Â&#x2026;Â&#x192;Â&#x17D; Â&#x2021;Â&#x161;Â&#x2019;Â&#x2021;Â&#x201D;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x2021;Ǥ Â&#x201D;Â&#x2018;ƤÂ&#x2026;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x203A; Â&#x2039;Â? Â&#x192;Â?Â&#x2020;Â&#x192;Â&#x201D;Â&#x2039;Â? Â&#x2122;Â&#x2039;Â&#x17D;Â&#x17D; Â&#x201E;Â&#x2021; Â&#x192;Â&#x2020;Â&#x2DC;Â&#x192;Â?Â&#x2013;Â&#x192;Â&#x2030;Â&#x2021;Â&#x2018;Â&#x2014;Â&#x2022;Ǥ Should you be interested, please contact shuyu@hfg.com.sg REF: SL0501.

Group Reporting Actuary

44

HKD up to $1m basic Hong Kong

Chief Actuary (Regional)

SGD $300k - SGD $350k Singapore

A renowned global direct insurer is looking for a Chief Actuary to lead their growing Â&#x201E;Â&#x2014;Â&#x2022;Â&#x2039;Â?Â&#x2021;Â&#x2022;Â&#x2022; Â&#x2039;Â? Â&#x2022;Â&#x2039;Â&#x192;Ǥ Â&#x2021;Â&#x2019;Â&#x2018;Â&#x201D;Â&#x2013;Â&#x2039;Â?Â&#x2030; Â&#x2013;Â&#x2018; Â&#x2013;Â&#x160;Â&#x2021; Â&#x160;Â&#x2039;Â&#x2021;Â&#x2C6; Â&#x2039;Â?Â&#x192;Â?Â&#x2026;Â&#x2039;Â&#x192;Â&#x17D; ĆĽÂ&#x2026;Â&#x2021;Â&#x201D;ÇĄ Â&#x203A;Â&#x2018;Â&#x2014; Â&#x2122;Â&#x2039;Â&#x17D;Â&#x17D; Â&#x201E;Â&#x2021; Â&#x201D;Â&#x2021;Â&#x2022;Â&#x2019;Â&#x2018;Â?Â&#x2022;Â&#x2039;Â&#x201E;Â&#x17D;Â&#x2021; for the corporate actuarial and capital management of the Life Insurance business Â&#x192;Â&#x2026;Â&#x201D;Â&#x2018;Â&#x2022;Â&#x2022; Â&#x2013;Â&#x160;Â&#x2021; Â&#x201D;Â&#x2021;Â&#x2030;Â&#x2039;Â&#x2018;Â?Ǥ Â&#x201C;Â&#x2014;Â&#x192;Â&#x17D;Â&#x2039;ƤÂ&#x2021;Â&#x2020; Â&#x192;Â&#x2026;Â&#x2013;Â&#x2014;Â&#x192;Â&#x201D;Â&#x203A; Â&#x2122;Â&#x2039;Â&#x2013;Â&#x160; Â&#x2022;Â&#x2013;Â&#x201D;Â&#x2018;Â?Â&#x2030; ƤÂ?Â&#x192;Â?Â&#x2026;Â&#x2039;Â&#x192;Â&#x17D; Â?Â&#x192;Â?Â&#x192;Â&#x2030;Â&#x2021;Â?Â&#x2021;Â?Â&#x2013; Â&#x2021;Â&#x161;Â&#x2019;Â&#x2021;Â&#x201D;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x2021; who possesses good Asian market knowledge is highly welcomed.

Should you be interested, please contact christinac@hfg.com.sg REF: CC0502

Senior Risk Management (Operational Risk)

SGD $140k - SGD $160k Singapore

My client a direct insurer, is seeking a highly driven and dynamic Risk Manager to take ownership of all operational risk matters which includes Risk management frameworks such as ORSA, BCM, ERM and Outsourcing. The incumbent should Â&#x160;Â&#x192;Â&#x2DC;Â&#x2021; Â&#x192;Â&#x2013; Â&#x17D;Â&#x2021;Â&#x192;Â&#x2022;Â&#x2013; Í&#x2122;Í&#x161; Â&#x203A;Â&#x2021;Â&#x192;Â&#x201D;Â&#x2022; Â&#x2018;Â&#x2C6; Â&#x201D;Â&#x2021;Â&#x17D;Â&#x2021;Â&#x2DC;Â&#x192;Â?Â&#x2013; Â&#x2039;Â&#x2022;Â? Â&#x2021;Â&#x161;Â&#x2019;Â&#x2021;Â&#x201D;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x2021; Â&#x2C6;Â&#x201D;Â&#x2018;Â? Â&#x2013;Â&#x160;Â&#x2021; Â?Â&#x2022;Â&#x2014;Â&#x201D;Â&#x192;Â?Â&#x2026;Â&#x2021; Č&#x20AC; Â&#x2039;Â?Â&#x192;Â?Â&#x2026;Â&#x2039;Â&#x192;Â&#x17D; Â&#x2021;Â&#x201D;Â&#x2DC;Â&#x2039;Â&#x2026;Â&#x2021;Â&#x2022; Â&#x2022;Â&#x2021;Â&#x2026;Â&#x2013;Â&#x2018;Â&#x201D;Ǥ Â&#x2018;Â&#x201D; Â&#x201C;Â&#x2014;Â&#x192;Â&#x17D;Â&#x2039;ƤÂ&#x2026;Â&#x192;Â&#x2013;Â&#x2039;Â&#x2018;Â?Â&#x2022; Â&#x2122;Â&#x2039;Â&#x17D;Â&#x17D; Â&#x201E;Â&#x2021; Â&#x192;Â&#x2020;Â&#x2DC;Â&#x192;Â?Â&#x2013;Â&#x192;Â&#x2030;Â&#x2021;Â&#x2018;Â&#x2014;Â&#x2022;Ǥ Should you be interested, please contact shuyu@hfg.com.sg REF: SL0502

Marketing Actuary

HKD $600k - $700k basic Hong Kong

Â&#x2021;Â&#x2021;Â?Â&#x2039;Â?Â&#x2030; Â&#x192; Â&#x201C;Â&#x2014;Â&#x192;Â&#x17D;Â&#x2039;ƤÂ&#x2021;Â&#x2020; Â&#x2039;Â&#x2C6;Â&#x2021; Â&#x2026;Â&#x2013;Â&#x2014;Â&#x192;Â&#x201D;Â&#x203A; Â&#x2013;Â&#x2018; Â&#x17D;Â&#x2021;Â&#x192;Â&#x2020; Â&#x192;Â?Â&#x2020; Â&#x201D;Â&#x2021;Â&#x2022;Â&#x2019;Â&#x2018;Â?Â&#x2022;Â&#x2039;Â&#x201E;Â&#x17D;Â&#x2021; Â&#x2C6;Â&#x2018;Â&#x201D; Â&#x2013;Â&#x160;Â&#x2021; ƤÂ?Â&#x192;Â?Â&#x2026;Â&#x2039;Â&#x192;Â&#x17D; Â&#x201D;Â&#x2021;Â&#x2019;Â&#x2018;Â&#x201D;Â&#x2013;Â&#x2039;Â?Â&#x2030; submission and engage actively with the senior management team. The ideal Â&#x2026;Â&#x192;Â?Â&#x2020;Â&#x2039;Â&#x2020;Â&#x192;Â&#x2013;Â&#x2021; Â?Â&#x2021;Â&#x2021;Â&#x2020;Â&#x2022; Â&#x2013;Â&#x2018; Â&#x160;Â&#x192;Â&#x2DC;Â&#x2021; Â&#x2022;Â&#x2013;Â&#x201D;Â&#x2018;Â?Â&#x2030; ƤÂ?Â&#x192;Â?Â&#x2026;Â&#x2039;Â&#x192;Â&#x17D; Â&#x201D;Â&#x2021;Â&#x2019;Â&#x2018;Â&#x201D;Â&#x2013;Â&#x2039;Â?Â&#x2030; Â&#x2021;Â&#x161;Â&#x2019;Â&#x2021;Â&#x201D;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x2021; Â&#x2022;Â&#x2014;Â&#x2026;Â&#x160; Â&#x192;Â&#x2022; ÇĄ ÇĄ Â&#x192;Â?Â&#x2020; Â&#x2018;Â&#x17D;Â&#x2DC;Â&#x2021;Â?Â&#x2026;Â&#x203A;

ÇĄ Â&#x2021;Â&#x161;Â&#x2026;Â&#x2021;Â&#x17D;Â&#x17D;Â&#x2021;Â?Â&#x2013; Â&#x2026;Â&#x2018;Â?Â?Â&#x2014;Â?Â&#x2039;Â&#x2026;Â&#x192;Â&#x2013;Â&#x2039;Â&#x2018;Â? Â&#x2022;Â?Â&#x2039;Â&#x17D;Â&#x17D;Â&#x2022; Â&#x2039;Â? Â?Â&#x2030;Â&#x17D;Â&#x2039;Â&#x2022;Â&#x160; Â&#x2039;Â&#x2022; Â&#x2021;Â&#x2022;Â&#x2022;Â&#x2021;Â?Â&#x2013;Â&#x2039;Â&#x192;Â&#x17D;Ǥ For more information please contact tong@hfg.co.uk REF: TY0501

A global leading business is seeking a high calibre Life Actuary with hands on Â&#x2018;Â&#x17D;Â&#x2DC;Â&#x2021;Â?Â&#x2026;Â&#x203A;

Â&#x192;Â?Â&#x2020; Â&#x2026;Â&#x2018;Â?Â&#x2018;Â?Â&#x2039;Â&#x2026; Â&#x192;Â&#x2019;Â&#x2039;Â&#x2013;Â&#x192;Â&#x17D; Â&#x2021;Â&#x2019;Â&#x2018;Â&#x201D;Â&#x2013;Â&#x2039;Â?Â&#x2030; Â&#x2021;Â&#x161;Â&#x2019;Â&#x2021;Â&#x201D;Â&#x2039;Â&#x2021;Â?Â&#x2026;Â&#x2021; Â&#x2013;Â&#x2018; Â&#x152;Â&#x2018;Â&#x2039;Â? Â&#x2013;Â&#x160;Â&#x2021;Â&#x2039;Â&#x201D; Â&#x2013;Â&#x2021;Â&#x192;Â? Â&#x2039;Â?

Hong Kong as Manager/Senior Manager Level. The position holder will stand at the front line of the business, face major players in the APAC region, consult clients on Solvency II, EC and IFRS related tasks as well as other ad-hoc projects.

For more information please contact: tong@hfg.co.uk REF: TY0502

EA Licence Number: 14C7034

www.hfg.com.sg | +65 6829 7153

THE ACTUARY â&#x20AC;˘ May 2016 www.theactuary.com

ACT Rec May16.indd 44

25/04/2016 17:17

www.theactuaryjobs.com

As a professional, you’ll no doubt want to keep up with the latest industry developments, people and news?

That’s why The Actuary’s weekly email alert brings you a handy round-up of only the most relevant news stories and comment, straight to your inbox every Thursday.

Register for weekly email newsletters at www.theactuary.com Browse www.theactuaryjobs.com and www.theactuaryjobsasia.com, the official jobsites of the actuarial profession

May 2016 • THE ACTUARY 45 www.theactuary.com

ACT Rec May16.indd 45

25/04/2016 17:17

Appointments

PLAN YOUR NEXT MOVE

ON THE MOVE

pfJobs

See latest job listings Create job alerts by email Save and email jobs from mobile Apply for jobs by saving your CV to your profile Keep track of your activity

Go to www.theactuaryjobs.com

SENIOR INVESTMENT ANALYST London £40k to £50k + benefits A fantastic opportunity for an Investment Analyst to take their career to the next level at this expanding consultancy. You will get involved in a variety of work and be provided with full CFA/ actuarial study support. In this role your responsibilities will include: • • • • • •

Handling the preparation of performance monitoring reports, including receiving and reviewing data from investment managers to ensure quarterly deadlines are met.

Assisting in the preparation of Statement of Investment Principles and Asset Liability Reviews.

Assisting in completion of asset transfers.

Liaising with clients and investment managers on data and administrative matters.

Assisting in the development of more junior members, by overseeing their preparation of work items.

Staying abreast with applicable regulatory bodies.

Investment Analyst, London (circa £30k + benefits) An ideal role for those with some institutional investment experience. You will have the opportunity to be involved in manager research, performance monitoring, asset transfers and more, all whilst studying towards the CFA or actuarial qualification.

Parvinder Matharu Newton Recruitment t +44(0)1689 862937 e parvinder@newtonrecruitment.com w www.newtonrecruitment.com Contact

46

Business Risk Manager Location: London or Bournemouth Salary: £50,000 - £70,000 base plus bonus and package A leading UK based insurer are currently seeking an experienced risk professional to join their expanding team.

This role will sit within the group risk function and will oŬer a fantastic opportunity to showcase your skills and gain wide reaching exposure from Senior Management, the Chief Risk Actuary and the board. Due to the űat structure of the group function you will also quickly gain excellent understanding and insight into the wider business picture, with the opportunity to view things from both the GI and Life perspective.

Working as a Business Risk Manager within ERM, you will report direct to the Head of Risk and will be involved with a variety of teams including pricing, product development, acquisition and new ad hoc projects. The role will be a mixture of technical work and business management and will require previous experience in policy, ERM or operational risk as well as excellent communication skills and the ability to inűuence.

As a proven professional you should hold either an actuarial, CFA or equivalent qualiŮcation and should feel comfortable challenging senior stakeholders.

For more information or to apply for this position, please visit: www.theactuaryjobs.com/job/49343/business-risk-manager/

THE ACTUARY • May 2016 www.theactuary.com

ACT Rec May16.indd 46

25/04/2016 17:17

www.theactuaryjobs.com

2nd Floor, 32 Cornhill, London, EC3V 3BT | 0207 332 5870 | actuarial@mansionhouse.co.uk www.mansionhouse.co.uk

NON-LIF E SENIOR MANAGER PRICING & ANALYTICS

£130,000 - £150,000 + attractive beneƓts + bonus LONDON

NON-LIFE

Samantha Yee yees@mansionhouse.co.uk

A leading consultancy with a strong Actuarial & Analytics team is looking to strengthen their expanding Pricing & Analytics team with an expert in the market. Project work will range across Insurers, Banks, other Financial Services as well as the Retail industry. Pricing work will be varied and cutting edge, with innovation being the key focus of the team. A strong and inƃuential communicator with excellent relationship management skills along with solid data analytics experience across telematics, Ƃntech or insurance would be an excellent Ƃt for this revolutionary team. There is also ample room to develop into a Director or Partner as the team continues to mature and grow.

Lloyd Seaborn seabornl@mansionhouse.co.uk

£ Competitive package LONDON AND REGIONAL

This position sits within the Risk function of a leading International Insurer. The role will involve managing a team, while taking responsibility for risk management in the following areas: Oversight of Capital Management and Risk Appetite; Internal Model oversight/validation and Solvency II requirements; Independent validation of actuarial function; Design and oversight of Stress and Scenario Testing. Strong communication skills and demonstrable leadership qualities are essential for success. Reporting to UK CRO, senior stakeholder manager is also key.

NEARLY/NEWLY QUALIFIED NON-LIFE ACTUARIES

HEAD OF SPECIALTY PRICING

Global Actuarial Consultancy, providing market leading advisory and software services to Lloyd’s/LMKT and Consumer Lines Insurers, require nearly or newly qualiƂed non-life Actuaries with expertise in either Capital Modelling or Pricing as part of expansion plans.

These roles would suit someone who has the ambition to become a force to be reckoned with in the market and who strives to deliver excellence. This organisation has access to some of the most proliƂc insurers in the market – career progression guaranteed.

A leading London Market Insurer is looking for an experienced P&C Pricing Actuary to lead a team of Actuaries and Data Analysts. To take full responsibility for Specialty lines and relating Pricing projects, develop and maintain pricing tools, build excellent working relationships with Underwriting and senior management to win long term support for pricing tools. Line management experience, plus proven success in leading and developing teams, is highly desirable.

up to £90,000 + bonus + beneƓts FLEXIBLE LOCATION

LIFE

HEAD OF CAPITAL ASSURANCE - EXCLUSIVE OPPORTUNITY

£125,000k + generous bonus and bens LONDON

LIF E & P E N S I O N S LONGEVITY MARKETING ACTUARY £110,000 base + 20% variable LONDON

FRANCE/BELGIUM/LUXEMBOURG Dior Musombo musombod@mansionhouse.co.uk

This position sits within a highly driven and experienced actuarial team with a combination of both qualiƂ ed and nearly qualiƂ ed technical actuaries that possess sound commercial acumen. The appropriate candidate would have natural leadership qualities, with the desire to challenge the status quo, coupled with 5 or more years’ experience as a marketing Actuary within Longevity.

This business is exciting enough to encourage some of the industry’s most inƃuential talent to join over the coming months, which will soon be public knowledge. This business is very culture focused, and boasts a Google style of working environment. Specialities include releasing individual Protection products direct to customer, so current hands on, technical back ofƂce exposure and extensive Pricing skills within the protection arena are required.

DIRECTOR PENSIONS ADVISORY

SENIOR INVESTMENT CONSULTANT

Pensions Director sought for dynamic and growing consultancy. Senior role within highly regarded team that provides bespoke funding, beneƂt, investment and covenant solutions to their international corporate client base.

Global consultancy seeking Senior Investment Consultants to take on and develop their existing portfolio of large corporate clients. CFA or FIA candidates will be considered - technical expertise, practical experience and in depth market knowledge are essential.

£Market leading package LONDON

FRANCE

Elodie Hong Tuan Ha Elodie@mansionhouse.co.uk

Julia Dunkelberg dunkelbergj@mansionhouse.co.uk

ACT Rec May16.indd 47

Up to £180K + bens + bonus LONDON

E UROP E PENSIONS ACTUARY

GERMANY

SENIOR PRICING ACTUARY £115,000 + 16% variable LONDON

Up to €65K + beneƓts BELGIUM Seeking an experienced Actuarial professional with strong knowledge gained within the Pensions sector. An interesting role with vast responsibilities, it is essential you have broad exposure towards the whole Belgian insurance market including monitoring the Belgian regulatory initiatives, with a Pensions bias. A university degree in Actuarial Sciences, or similar, alongside good knowledge of the Belgian Pensions system - second Pillar. Fluent in Dutch, French and English, you will have strong inter-personal skills and will be an active listener and good communicator.

PENSIONS / C&B CONSULTANT Negotiable + bonus + beneƓts FRANCE

Individual with strong expertise in employee beneƂ ts required for a leading worldwide consulting Ƃ rm.

You will be in charge of actuarial valuation of pension plans under IFRS, US GAAP and UK GAAP, be in part of M&A projects as well as be involved in Compensation & BeneƂ t missions such as retention or total rewards.

You must be proactive and have good communication skills.

May 2016 • THE ACTUARY 47 www.theactuary.com

25/04/2016 17:17

Appointments N O N - L I F E LIFE R IS K P E N S IO NS I NVESTM ENT HEALTH HEAD OF SPECIALTY PRICING ANALYTICS

HEAD OF PRICING ANALYTICS

CUTTING-EDGE PRICING

£ excellent package

up to £120k + bonus + benefits

£ excellent package

NON-LIFE LONDON

STAR3183

NON-LIFE MIDLANDS

STAR3044

NON-LIFE LONDON / SOUTH EAST

STAR3154

Global Specialties Insurer seeks qualified actuary with significant speciality or commercial experience, to lead a team developing exposure pricing models.

Our client is seeking a qualified GI actuary to use their significant non-life pricing experience to lead and oversee the development and delivery of a market-leading pricing infrastructure.

Our client is seeking a qualified non-life actuary with a combination of actuarial pricing and project management skills to lead the development and implementation of innovative solutions for the industry’s leading insurers.

PERSONAL LINES PRICING ACTUARY

PRICING LEADERS

DATA & PRICING LEAD

£ excellent package

£ depends upon experience

NON-LIFE LONDON

STAR3142

NON-LIFE BRISTOL

£ excellent + bonus + benefits STAR3131

NON-LIFE SOUTH EAST

STAR3086

Leading professional services firm seeks a qualified non-life pricing expert to provide a high quality advisory service to clients, taking the lead with client engagement teams.

Fantastic opportunity for a qualified or part-qualified non-life pricing actuary to contribute to thought leadership within a growing business at the cutting-edge of the industry.

Leading insurer seeks a qualified non-life actuary with excellent analytical skills to take the lead role in data management, contributing to the formulation of successful pricing and underwriting strategies.

LONDON MARKET PRICING

GI PRICING ACTUARY - PARIS

PRICING INNOVATION

€ excellent

£ excellent package NON-LIFE LONDON

STAR2995

NON-LIFE PARIS

up to £80k + bonus + benefits STAR3115

NON-LIFE MIDLANDS

STAR2972

Leading specialty reinsurer has a fantastic opportunity for a part-qualified non-life actuary with casualty pricing experience to take their career to the next level, working closely with the underwriters.

Leading global insurer seeks a non-life pricing expert with a speciality in governance. The successful candidate will review pricing of large accounts, developing trend and change monitoring processes.

This exciting role will appeal to a candidate with their finger on the pulse of changing market dynamics and the opportunities they present for a market leader to continually develop and improve its pricing capability.

MOVE TO RISK

LONDON MARKET CAPITAL

CAPITAL MODELLING MANAGER

£ depends upon experience NON-LIFE SOUTH WEST

£ excellent STAR3141

NON-LIFE LONDON

£ excellent package STAR3138

NON-LIFE BRISTOL

STAR3106

Our client has an exciting opportunity for a qualified or part-qualified non-life actuary with proven ability to build effective relationships to recommend and implement improvements to its internal model validation methodologies.

Excellent opportunity for a qualified non-life actuary with experience of Remetrica and Lloyd’s SCR to make a difference within our client’s capital modelling team.

Great opportunity for a talented non-life actuary with experience delivering quality model outputs to join the capital modelling team of a major insurance group. Igloo experience advantageous.

RESERVING AND SOLVENCY II

RISK AND REWARD

BUSINESS INTELLIGENCE ACTUARY

£ excellent + bonus + benefits

£ excellent package dependent on experience

€ excellent package

NON-LIFE LONDON

NON-LIFE DUBLIN

NON-LIFE SOUTH EAST

STAR3127

Leading insurer seeks qualified GI actuary with strong experience of Motor and Home lines to undertake internal reserve reviews and produce Solvency II technical provision assessments.

STAR3090

STAR3101

A superb opportunity for a qualified actuary with expertise in non-life risk. This role will reward a technically astute actuary with both a deep technical skill set as well as developed interpersonal skills.

International insurer seeks a qualified non-life actuary to deliver clear business insight into the underwriting performance of a range of Business Units.

CAPITAL AND RISK SENIOR MANAGER

CUTTING-EDGE RESERVING

£ excellent + benefits

£ excellent + bonus + benefits

STARVACANCIES MULTIPLE PRICING CONTRACTS £ contract rates NON-LIFE MIDLANDS

STAR3010

Leading insurer seeks multiple GI pricing specialists to support its pricing transformation project.

48

STAR3173

Global consultancy has a unique opportunity for a qualified actuary with experience in capital modelling techniques to specialise in capital and risk within its non-life team.

NON-LIFE LONDON

STAR3161

Global consultancy seeks qualified non-life actuaries with consulting experience to lead the delivery of a wide range of cutting-edge assignments. Preference for London Market reserving and/or IFRS experience.

Antony Buxton FIA

Louis Manson

Irene Paterson FFA

Joanne O’Connor

MANAGING DIRECTOR +44 7766 414 560 antony.buxton@staractuarial.com

MANAGING DIRECTOR +44 7595 023 983 louis.manson@staractuarial.com

PARTNER +44 7545 424 206 irene.paterson@staractuarial.com

OPERATIONS DIRECTOR +44 7739 345 946 joanne.oconnor@staractuarial.com

Ivan Clarke

Lance Randles MBA

Paul Cook

Peter Baker

ASSOCIATE DIRECTOR +44 7889 007 861 lance.randles@staractuarial.com

A ASSOCIATE DIRECTOR + +44 7740 285 139 paul.cook@staractuarial.com

ASSOCIATE DIRECTOR +44 7860 602 586 peter.baker@staractuarial.com

DIRECTOR - INSURANCE SEARCH THE ACTUARY+44 • May 2016 7870 181 444 www.theactuary.com ivan.clarke@staractuarial.com

ACT Rec May16.indd 48

NON-LIFE LONDON

25/04/2016 17:17

www.theactuaryjobs.com

ACTUARIAL POST RECRUITER OF THE YEAR 2012 . 2013 . 2014 . 2015 BULK ANNUITY QUOTATION MANAGER

BULK-PURCHASE ANNUITY ANALYST

REINSURANCE PRICING ACTUARY

£ excellent package

£ excellent + bonus + benefits

£ excellent + benefits

STAR3174

LIFE PENSIONS YORK

STAR3163

LIFE PENSIONS LONDON

STAR3145

Leading insurer seeks a talented individual with defined benefit / bulk annuity expertise to be responsible for quote delivery and production, and the configuration and running of the pricing model.

Leading insurer seeks part-qualified actuary with client-facing skills to provide support for the preparation of bulk purchase annuity quotations for consideration by pension scheme trustees.

Seeking a part-qualified actuary with strong commercial awareness and a protection pricing background to join the group risk function of a leading reinsurer where you will assist with the pricing and product development process.

SHAPE THE FUTURE

LIFE ANALYST - CAPITAL MANAGEMENT

PLANNING AND FINANCIAL SOLUTIONS

£ excellent + bonus + benefits

£ excellent + bonus + benefits

£ excellent + bonus + benefits LIFE NON-LIFE LONDON

STAR3130

LIFE LONDON

STAR3157

LIFE SOUTH COAST

STAR3095

A unique opportunity for an insurance actuary with good knowledge of Solvency II and a passion to influence regulation affecting the capital management of the Insurance industry.

Leading provider of insurance solutions has a fantastic opportunity for a part-qualified life actuary to provide support for the solvency position under Solvency II on both a Pillar 1 and Pillar 2 basis.

Leading financial services company has an exciting opportunity for a qualified actuary to provide technical expertise and advice in the specialist actuarial area of Planning & Financial Solutions.

DEVELOP YOUR ACTUARIAL LIFE

CAPITAL MANAGEMENT

RESEARCH & DEVELOPMENT

£ depends upon experience

£ depends upon experience LIFE SOUTH WEST

STAR3114

LIFE BRISTOL

£ excellent package STAR3085

PENSIONS LONDON

STAR3123

Are you a junior actuarial student looking for a rewarding long term career move? Our client is looking to hire a personable candidate to join its growing team and established business.

Seeking a talented individual with excellent planning and organisational skills to exploit capital synergies and re-optimise our client’s business on a Solvency II basis.

Entrepreneurial firm seeks a qualified pensions actuary with exceptional technical skills plus commercial acumen to take up a hands-on research and delivery role.

REPORTING ACTUARY

PRICING & STRUCTURING ACTUARY

STOCHASTIC MODELLING LEAD

£ dependent on experience + bonus + benefits

BMD excellent package

€ excellent + bonus + benefits

LIFE NON-LIFE SOUTH COAST / SOUTH WEST STAR3177

LIFE BERMUDA

Our client is hiring a qualified reporting actuary into a high profile and visible role in the business. Varied experience from other specialisms will be considered, whilst knowledge of embedded value reporting is helpful.

Leading international reinsurance firm has a fantastic opportunity for a qualified life actuary to take the lead in the structuring and pricing of reinsurance deals, with a particular focus on bulk annuity and longevity swap transactions.

Global composite insurer seeks a qualified life actuary to lead its Stochastic Modelling team.

With strong leadership skills and MoSes experience, you will have a good command of the French language.

SENIOR MANAGER - ALM

INVESTMENT ANALYST

MARKETING ANALYST

£ excellent package

£ dependent on experience + bonus + benefits

£ dependent on experience + bonus + benefits

INVESTMENT SOUTH WEST

LIFE LONDON

LIFE INVESTMENT LONDON

STAR3064

Global professional services firm seeks a talented indivdual with ALM experience to manage and deliver a wide range of concurrent asset, capital markets, actuarial and multidisciplinary assignments.

STAR3024

STAR3151

Our client is seeking a part-qualified investment specialist with experience of fund performance / risk oversight in an investment environment to carry out performance and risk analysis on its fund range.

FOR MORE VACANCIES VISIT

LIFE PARIS

STAR3103

STAR3137

Our client, a rapidly growing insurance business, is looking for a confident marketing analyst to join its London-based team. You will be making good progress with the CT exams, and the role will offer full study support.

www.staractuarial.com

ERM ACTUARY

CAPITAL MODELLING OPPORTUNITIES

LEAD A DYNAMIC LIFE

£ excellent + benefits

£ excellent + bonus + benefits

£ dependent on experience

LIFE NON-LIFE SOUTH WEST / SOUTH COAST STAR3169

LIFE YORK

Leading insurer has an exciting opportunity for a risk specialist to play a key role in the development of its Enterprise Risk Management framework, responsible for the reporting of financial market and insurance risks.

Major insurer seeks qualified life actuaries with strong knowledge of Solvency II methodology and demonstrable influencing skills to play a key role in optimising the firm’s capital position.

ACT Rec May16.indd 49

Star Actuarial Futures Ltd is an employment agency and employment business

LIFE FLEXIBLE LOCATION

STAR3164

LIFE LONDON

STAR3158

Our client seeks a life actuary with a broad skill set to join its team. Solvency II, risk management and governance knowledge are required, alongside involvement with underwriting, pricing, and product development.

Jo Frankham

JJan Sparks FIA

Adam Goodwin

ASSOCIATE DIRECTOR +44 7950 419 115 jo.frankham@staractuarial.com

A ASSOCIATE DIRECTOR + +44 7477 757 151 jjan.sparks@staractuarial.com

ASSOCIATE DIRECTOR +44 7584 357 590 adam.goodwin@staractuarial.com

Clare Roberts

Carolina Emmanuel

Diane Lockley

SENIOR CONSULTANT +44 7714 490 922 clare.roberts@staractuarial.com

SENIOR CONSULTANT +44 7495 564 958 carolina.emmanuel@staractuarial.com

S SENIOR CONSULTANT +44 7492 060 219 + ddiane.lockley@staractuarial.com

May 2016 • THE ACTUARY 49 www.theactuary.com

25/04/2016 17:17

Appointments OJA Q&A ^P[O!

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Transformation and Growth: The Pensions 4HYRL[ 2L` 6WWVY[\UP[PLZ MVY [OL (J[\HY` 7V[LU[PHS UL^ OPYLZ HYL ZVTL[PTLZ JVUJLYULK [OH[ [OL >PUJOLZ[LY VÉ&#x2030; JL PZ H YLNPVUHS VÉ&#x2030; JL ^P[O SLZZ ZJVWL [V ^VYR HSVUNZPKL IPNNLY JSPLU[Z ;OL YLHSP[` PZ [OH[ [OPZ PZU»[ [OL JHZL H[ HSS YLÃ&#x2026; LJ[LK PU [OL MHJ[ [OH[ [OLYL PZ UV KPÉ&#x2C6; LYLUJL PU V\Y YLT\ULYH[PVU WHJRHNLZ MVY >PUJOLZ[LY HUK 3VUKVU ;OL >PUJOLZ[LY [LHTZ ^VYR VU H ]HYPL[` VM OV\ZLOVSK UHTL JSPLU[Z HUK WYVQLJ[Z HUK [OLYL PZ ZPNUPÃ&#x201E; JHU[ PU[LYHJ[PVU IL[^LLU [OL [^V VÉ&#x2030; JLZ -YVT H WLYZVUHS WLYZWLJ[P]L `V\ NL[ [V SP]L PU H JP[` [OH[ ^HZ YLJLU[S` ]V[LK [OL ILZ[ PU [OL <2 ^P[O [OL WV[LU[PHS [V ^HSR [V ^VYR

;V Ã&#x201E; UK V\[ TVYL HIV\[ [OL VWWVY[\UP[PLZ PU [OL WLUZPVUZ HJ[\HYPHS THYRL[ 6SP]LY 1HTLZ (ZZVJPH[LZ PU[LY]PL^LK *HYSH 3HRL` 7HY[ULY H[ [OL H^HYK ^PUUPUN ZWLJPHSPZ[ WLUZPVUZ JVUZ\S[HUJ` 3HUL *SHYR HUK 7LHJVJR There have been multiple changes in the Pensions market recently. How might these changes present further opportunities for the Pensions Actuary to shape the market in the next 5-10 years? ;OL WHJL VM JOHUNL OHZ ILLU ZPNUPÃ&#x201E; JHU[ V]LY [OL SHZ[ ML^ `LHYZ 0 YL QVPULK [OL (J[\HYPHS Ã&#x201E; LSK `LHYZ HNV" [OL WLUZPVUZ SHUKZJHWL V]LY [OH[ WLYPVK JOHUNLK KYHTH[PJHSS` HUK ^P[O P[ JHTL HU HI\UKHUJL VM PUUV]H[PVU >L»SS ZLL M\Y[OLY JOHUNL TV]PUN MVY^HYKZ -VY L_HTWSL PUZ\YHUJL KL YPZRPUN PZ JVUZ[HU[S` L]VS]PUN HUK ^PSS JVU[PU\L [V IL H NYV^[O HYLH V]LY [OL UL_[ KLJHKL (SVUNZPKL [OPZ [OL YLJLU[ YHM[ VM UL^ SLNPZSH[PVU [OH[»Z ILPUN LTILKKLK PU[V [OL THYRL[ ^PSS JVU[YPI\[L [V TVYL KL]LSVWTLU[ PU [OL HYLH VM 7LUZPVUZ -SL_PIPSP[PLZ HUK -YLLKVTZ 0[»Z HU L_JP[PUN [PTL ^P[O M\Y[OLY KL]LSVWTLU[ PU HYLHZ Z\JO HZ [OL ZLJVUK OHUK HUU\P[` THYRL[ 3PML[PTL 0:(Z HUK [OL )YL_P[ YLMLYLUK\T WYLZLU[PUN NYLH[LY VWWVY[\UP[PLZ MVY HJ[\HYPLZ How do you see the skill set of the Pensions Actuary changing in the next 5-10 years as a result of transformation and growth in the market? ;OL ZRPSS ZL[ VM [OL HJ[\HY` OHZ JOHUNLK HUK ^PSS JVU[PU\L [V JOHUNL" P[»Z PTWLYH[P]L [V OH]L H T\JO ^PKLY K`UHTPJ ZRPSS ZL[ ^P[O L_JLSSLU[ JVTT\UPJH[PVU HUK YLSH[PVUZOPW THUHNLTLU[ ZRPSSZ 0U[LNYH[LK YPZR THUHNLTLU[ PZ HU HYLH [OH[ OHZ YLJLP]LK PUJYLHZLK MVJ\Z HUK ^PSS JVU[PU\L [V KV ZV <UKLYZ[HUKPUN [OL IPNNLY WPJ[\YL PZ H ZRPSS [OH[ HSS HJ[\HYPLZ ULLK [V OH]L TV]PUN MVY^HYKZ" (J[\HYPLZ ULLK [V OVUL [OLPY TVKLSSPUN ZRPSSZ HUK HIPSP[PLZ [V L_WSHPU YPZR UV[ Q\Z[ PU YLSH[PVU [V WLUZPVU ZJOLTLZ I\[ HSZV PU [OL ^PKLY JVU[L_[ VM [OL ZWVUZVYPUN LTWSV`LY»Z WVZP[PVU 6]LYHSS HJ[\HYPLZ ULLK [V IL TVYL Z[YH[LNPJ

50

How do you see a Pensions Actuaryâ&#x20AC;&#x2122;s career progressing in the next 5 years?

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THE ACTUARY â&#x20AC;¢ May 2016

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CURRENT VACANCIES 4VYL SH[LZ[ ]HJHUJPLZ H[

www.ojassociates.com DB Investment Consultant 3VUKVU £60,000 - £70,000

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^^^ VQHZZVJPH[LZ JVT '61(ZZVJPH[LZ VSP]LY QHTLZ HZZVJPH[LZ May 2016 â&#x20AC;¢ THE ACTUARY 51 www.theactuary.com Oliver James Associates

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Appointments www.the-arc.co.uk

The Actuarial Recruitment Company

A fresh approach

Head of Reserving London

General Insurance To £175K plus benefits

GLM experienced actuary/analyst General Insurance Northern England £Excellent

A senior qualified actuary is needed for this major insurer to

This specialist retail insurer based in the north of England is looking

manage a team in London and take responsibility for reserving of the

for a GLM experienced candidate ideally with a household insurance

international business. Prospective candidates should have significant previous reserving experience ideally from within the London Market.

background who is independent enough to be in a standalone actuarial role. The position would report into the MD of the company with a dotted line into a senior group actuary. This is a developing

Strong management skills will need to be demonstrated and a sound

business that would provide the scope to take on more responsibilities

knowledge of the regulatory environment. Ref: ARC26312

and broaden the role over time. Ref: ARC26313

Varied Role London

Reserving Actuary London

General Insurance Competitive Package

This varied role for a nearly or newly qualified actuary reports into an Exec Level Head within a growing London Market insurer. The role will have a main focus on pricing but would also be involved in some reserving and capital work. There would be significant scope to develop with the business and potential for an ambitious individual to move their career in different directions. The client is looking for a self motivated candidate with good people skills and strong analytical abilities. Ref: ARC26311

General Insurance To £80K

A nearly or newly qualified actuary is needed for a reserving role supporting the Head of Reserving within an international P&C business.

The client is looking for someone with existing reserving experience, ideally from either a London Market or commercial lines retail background. They are looking for someone who is technically strong and is happy to take on responsibility quickly and manage workflows.

First class communication skills will be important. Ref: ARC26310

Call us anytime including evenings and weekends on 020 7717 9705 or email enquiries@the-arc.co.uk Andy Clark BSc FIA Roger Massey BSc MBA FIA

0781 333 7891 0781 398 9016

andy@the-arc.co.uk roger@the-arc.co.uk The Actuarial Recruitment Company is an employment agency

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