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NEWS UPDATES FROM THE ACTUARIAL PROFESSION
Opinion CEO’s comment
Derek Cribb reports on the work undertaken on the international stage
I’ve spoken before about the global nature of our membership: indeed our international strategy points to China and South East Asia, India and Africa as priority areas owing to the growth in demand for actuaries in these areas. But how are we ensuring that our members are being appropriately served by their professional body?
There is nothing quite like meeting members face to face to get an understanding of their priorities and concerns. As you read this, I will be travelling around China and south-east Asia with David Hare, president-elect and Trevor Watkins, director of education, to meet our members and representatives from local actuarial associations and universities. We will be introducing our contacts to Wen Li, a Fellow of the Institute and Faculty of Actuaries, who we have appointed as our lead representative in Asia. This exciting development will help to ensure our members in the region are fully supported and feel part of our global community.
In April, Trevor and I also visited India. This productive trip highlighted the signifi cant demand from students and employees in the region who could benefi t from our proposed certifi ed actuarial analyst membership category. Local employers in India and the Institute of Actuaries of India are keen to fi nd a way to professionalise many of the actuarial support roles, and also help those professionals that work alongside actuaries but do not wish to take the path to fellowship.
Research we have undertaken indicates that introducing the certifi ed actuarial analyst membership category and associated qualifi cation will meet this demand, not just in India but globally. It will also help us achieve the objectives in our royal charter by ‘promoting matters relevant to actuarial science’ and is in the public interest by bringing such people into a sound regulatory framework.
These changes will help to protect the future of your membership body by ensuring that we remain relevant to the developing needs of the users of actuarial services globally. a
Leaders’ tour of duty
Derek Cribb is the chief executive of the Institute and Faculty of Actuaries
Help shape our website
After listening to members’ opinions, we are now redeveloping the Institute and Faculty of Actuaries (IFoA) website with Precedent, a leading digital agency. There will be opportunities for members to get involved in research and testing sessions throughout the year. If you are interested please contact emma.pegg@actuaries.org.uk. A huge thank you to members who off ered views and comments about the website in the focus groups and telephone interviews held throughout March and April. Those who have taken part are welcome to get involved in further research.
Are your contact details correct?
The IFoA issues regular communications to keep members informed of news, views and general updates. To ensure that you receive all correspondence, please take fi ve minutes to check that your contact details are up to date. Log into the members’ section at www. actuaries.org.uk , or contact our membership team by phone on +44 (0)131 240 1313 or email membership@actuaries.org.uk
RESEARCH EVENTS The research team is putting the fi nal touches to two forthcoming events at Staple Inn Hall, London:
21 May (17.00-19.00) MSc presentations: students from Imperial College
London will present their dissertations on general insurance. See bit.ly/103z5j7 for details and to book.
17 June (17.00-19.00) Mortality Research Seminar Series: Exploring The
Future, Defi ning The Questions will deliver the fi ndings of three research projects funded by the Profession: ● Bayesian modelling of mortality projection uncertainty (University of Southampton and Barnett Waddingham LLP) ● Mortality models for multiple populations using covariates (Heriot-Watt University) ● Genetic risk profi ling for common diseases (King’s College London)
Online booking will be available shortly at
www.actuaries.org.uk/events
Actuarial education fi t for the 21st century
Actuaries of the future will need a wider range of skills than ever before to succeed in a changing fi nancial world. The decline in defi ned benefi t pensions, the advent of Solvency II, competition from other qualifi cations, especially in investment, and the growth of the risk management function all mean that actuaries need more than technical skills, important as these are.
Business skills, especially communication, and teamworking with non-actuaries will be needed, along with professionalism and ethics. So how do we ensure qualifying actuaries are fi t for purpose in this challenging environment?
The qualifi cation process, whereby The Actuarial Education Company (ActEd) provides tuition and the Institute and Faculty of Actuaries (IFoA) provides assessment, is well regarded, as shown by the growing number of student members joining the IFoA from around the world.
In the fi nancial year to the end of February 2013, a record number of students joined, topping 2,400. We now have some 12,000 students in all, with more than half from outside the UK – around 100 countries are represented. The apprenticeship model is not the only model for training actuaries. In France, for example, actuaries undertake undergraduate and then specialist masters programmes in one of a few highly-rated universities, followed by practical experience, before being considered fully qualifi ed.
In the UK, following the Morris report in 2005, we introduced an accreditation process for universities that could demonstrate excellent actuarial education to give high performers exemptions from our examinations. We now have 17 accredited universities.
Employers now have more choice; they can hire numerate graduates with up to eight core technical exemptions from undergraduate programmes or from one-year conversion masters programmes, including a distance learning option from Leicester University. Exemptions from two core application and two specialist technical subjects are available from four UK Universities.
Of these, the Imperial College Business School course is off ered only on a part-time basis and plays to its strength in actuarial fi nance and risk management. It has been developed in conjunction with some of the leading consultancies who have found it to provide rounded actuaries with the business capacity to contribute signifi cantly to their business both before and after qualifi cation.
We know that employers are more accepting of exemptions granted through university programmes, because the average number of exemptions per new student member continues to increase.
We are conducting a benchmarking exercise with the Society of Actuaries to compare the skill sets of qualifying actuaries. Interestingly, many of the skills cover a range wider than mere technical ability.
There is no defi nitive answer to the ‘correct’ content of the qualifi cation process and the balance between technical and other skills. It is a matter of continual development based on feedback from stakeholders, especially employers, to make sure we meet their needs.
New membership proposal for analysts
An innovative proposal to introduce a new membership category is being developed by the Institute and Faculty of Actuaries (IFoA). The certifi ed actuarial analyst membership category will off er a career route for those with an interest in the fi nancial sector and the work actuaries do, but who do not wish to become actuaries themselves.
The IFoA Council, which has endorsed the strategy, believes the new membership category would help achieve the objectives in the royal charter by promoting matters relevant to actuarial science, through bringing people working in support roles into a sound regulatory framework, in the public interest.
The qualifi cation would make the profession more accessible and relevant to those looking at a career working alongside actuaries. It would expand the range of potential candidates, helping to equip those in fi nancial roles around the world with a broad range of skills acquired from a respected membership body.
Six modules would need to be passed, focused on the technical aspects of actuarial science. The fi rst module will be open to non-members, just as CT1 is for the Fellowship pathway.
The membership may be suitable for post A-level students with strong maths skills who are looking at alternative options to university, as well as those who have left university and are looking for a career in the fi nancial sector.
It will particularly suit employees in support functions or those who are not working in the mainstream actuarial function, both in the UK and internationally. Often there is demand for a formal qualifi cation for those working in technical roles, particularly in locations such as India, where many of these positions are based.
Students would secure a prestigious association with the IFoA, which would give them an internationally recognised qualifi cation and enrich their skills and CVs. One attraction for employers is that it gives a challenging but attainable professional qualifi cation for those for whom Fellowship is not appropriate, and would develop skills and expertise.
The new qualifi cation is specifi cally designed not to compete with Fellowship, which will continue to be recognised and promoted internationally. Certifi ed actuarial analysts would receive benefi ts similar to other IFoA members but will be non-voting members.
To introduce the new membership category there will need to be a change to our byelaws, which will require a vote from our members. Therefore the proposal will be put to the membership this summer. If members vote in favour, the amendments must then be approved by the Privy Council, opening the way for the new membership category to be launched towards the end of this year.
In advance of this vote, we want to give members an opportunity to get a better understanding of the plans and to put across their views.
We are therefore running an information-sharing exercise (including a survey) via the IFoA website over a three-week period.
This is your opportunity to fi nd out more about the IFoA’s plans, so we would encourage you to get involved.
NEWS UPDATES FROM THE ACTUARIAL PROFESSION
What’s in a name?
Philip Scott reports
Presenting the Institute and Faculty of Actuaries (IFoA) – our new brand. In 2010, the Institute of Actuaries and the Faculty of Actuaries merged, creating the Institute and Faculty of Actuaries. At the time of the merger, it was agreed that for marketing purposes this newly merged, chartered professional body would retain the trade name ‘The Actuarial Profession’, in place since 2000. Following a major rebranding project, in 2013 we are adopting the Institute and Faculty of Actuaries as our formal brand or trade name, or IFoA for short.
Why are we doing this?
The answer is brand. A brand can be defi ned as ‘a trademark or distinctive name identifying a product or a manufacturer’, but it is much more than this. A brand is about the personality of a business, product or service, which is represented by a logo and embodied by the brand name. But it is also about a brand promise, which states who the company is and what it stands for, and it is about values and the tone of voice used in communications with stakeholders.
Strong brands elicit emotional responses. It is the cornerstone of all marketing activity, because it represents the thoughts, feelings, and psychological relationships between a business and a customer.
In the years since the merger, research with our key stakeholders has shown that there is a great deal of confusion about the identity of the Institute and Faculty of Actuaries and how the IFoA relates to the Actuarial Profession. Many fi nd ‘Profession’ a broad term that defi nes the membership as a whole, rather than the body that governs the membership.
Since merging in 2010 a great deal has been happening at the Institute and Faculty of Actuaries. New teams have been put in place to improve services and re-engage with our members and our volunteers. Work has been undertaken to improve our standing in the public aff airs arena and raise the profi le of the important work and high professional standards that our members undertake and adopt among peers, employers and policymakers. We have taken the time to understand better the challenges that our members face.
In an increasingly globalised fi nancial services market, it is perhaps unsurprising that 40% of our members live or work outside the UK. They work in a range of roles and industries globally. The traditional areas of pensions and insurance remain, but there are new roles in healthcare, public policy, global policy, regulation, fi nance, investment and risk management.
The challenges that our members face diff er across sectors and regions. However, they share a high level of professionalism, reinforced through continual professional development and the code of conduct to which all members must adhere. This professional focus is what makes our members stand out and highlights the value they bring to their work and to their employers. This is what our new brand represents.
The Institute and Faculty of Actuaries has recently appointed a permanent representative in China and the south-east Asia region. Wen Li (pictured right), a Fellow of the Institute and Faculty of Actuaries, will be based in Beijing and Hong Kong but will also be looking after the profession’s interests in Singapore and Malaysia. Commenting on the appointment, Derek Cribb, IFoA’s chief executive, said: “I am delighted to welcome Wen Li onto the team. She brings a wealth of knowledge and experience that will help us to deliver on our strategic objectives in the region.”
Li said: “I have always been very proud that I qualifi ed with the IFoA, even more so in this part of the world. We are an actuarial profession of the longest history; an international body whose training and professional standards are
China representative boosts regional aims
The Institute and Faculty of Actuaries aims to be recognised globally as a chartered international professional body whose word can be trusted, whose members are wise and act with integrity, and as a body that collaborates with others to progress the profession, to infl uence and inspire. By association, a member of the Institute and Faculty of Actuaries embodies these values.
Our brand personality can be defi ned as classic with a modern twist. As you can see from the new logo, there is a blend of the traditional and the new. This is a refl ection of the legacy that the IFoA draws from both the Institute of Actuaries and the Faculty of Actuaries. What really counts are the values that the new brand represents. By dropping the trade name of the Actuarial Profession, we will be removing confusion and improving clarity among the people we wish to infl uence.
recognised for excellence. Now, with the help and support of my colleagues, I want students, employers, actuarial associations, regulators as well as the stakeholders in China and south-east Asia to know about us – to know about our education standards, our technical abilities, our professionalism and our willingness to share.
Li’s immediate priorities include working with the IFoA’s director of education, Trevor Watkins, to develop links with universities in the region; encouraging a vibrant member community and supporting students, as well as seeking opportunities to build links with employers and local regulators. Wen will also play a key role in ensuring the strategy of ‘proactive engagement’ is delivered through member support, education, regulation and public aff airs.
Heart of the matter: member communications
As the new brand and values of the Institute and Faculty of Actuaries (IFoA) are launched, we meet the member communications team, who helped develop them.
So, who works within the team?
Barbara Beebee, head of member communications and brand, and Alison Jiggins, communications leader, manage all aspects of marketing and communications. Jenni Hughes, careers marketing leader, manages promotion of actuarial careers to potential members. Stephen Little, head of digital services, and Emma Pegg, digital editor, head up the digital team that manages the IFoA’s digital strategy.
The new brand launched on 29 April, but what was the purpose of the change?
Our trade name, the ‘Actuarial Profession’ has been in existence since the year 2000. Recent research indicated a lot of confusion between this and our Royal Charter name, the ‘Institute
Left to right: Alison Jiggins, Barbara Beebee and Jenni Hughes
and Faculty of Actuaries’. By adopting the Royal Charter name as our new trade name, we focus attention on the UK institution that operates in the public interest to educate, develop and regulate actuaries on an international scale.
What does the new logo represent?
The brand is fundamental – not only to achieve audience recognition but also to build a good reputation and a set of standards that an organisation should strive to maintain or surpass. The new logo aims to refl ect our brand’s personality – ‘classic with a modern twist’ – by combining a simplifi ed version of the IFoA’s armorial bearings with the professional body’s name in a modern Gotham font. The intention is to refl ect a young profession with a modern, progressive image, while retaining its traditional heritage.
After the launch, what key challenges will the communications team face?
The brand roll-out will not stop after the launch on 29 April. There is plenty for the team to do, from mapping the brand out into a slightly diff erent look and feel for careers material, to implementing changes on the website, to how we are seen at events and conferences and in the many publications that the IFoA publishes each year. The brand marks an exciting stage for the team and the profession and we look forward to seeing how the brand can be implemented next.
EVENTS AND CONFERENCES 2013
Health and Care Conference 2013 15-17 May
Celtic Manor Resort, Newport For further information and to book your place, visit: bit.ly/10ztfgb
Pensions Conference 2013 5-7 June
Celtic Manor Resort, Newport This conference covers a broad range of current issues, technical matters, business skills and professionalism topics. The minister of state for pensions, Steve Webb MP, will close the conference and take questions from the fl oor. For further information and to book, visit bit.ly/11mhvYN
General Insurance Pricing Seminar 2013 11 June
Risk and Investment Conference 2013 17-19 June
The Grand, Brighton The premier conference for actuaries with an interest in risk and investment management. Speakers/topics include: ● Professor Eddie Oberg ● Communicating risk ● Tim Harford, the FT’s Undercover Economist ● Actuarial discipline
● Liquidity in economics, risk and investment ● Credit spreads.
For more information on the programme, sponsorship or to book your place visit: bit.ly/14zbRtO
Reserving Seminar 20 June
Grange Tower Bridge Hotel, London For more information and to book your place visit: bit.ly/11DteF0
Master Class: Develop your Presence – How to be More Memorable, Have More Impact and Create Stronger Relationships 28 June
Staple Inn Hall, London For more information and to book your place visit: bit.ly/175YEX7
