Faculty of Business and Economics

A closer look at

ACTUARIAL STUDIES
What does an actuary do?
Actuaries apply their skills in mathematics, statistics, nance,

You can study actuarial studies in the: Bachelor of Commerce Bachelor of Commerce Scholars Program Bachelor of Economics Bachelor of Economics Advanced with Honours

What skills do actuaries need?

Actuaries have excellent mathematical and business skills, combined with the ability to think and communicate clearly and logically. They often deal with complex issues and large nances on a daily basis, so they need good judgement skills and lots of experience. Becoming an actuary is much more than being a number cruncher. Mathematics is just the beginning!

economics and business to address problems in a range of elds such as insurance, superannuation, business and nancial services, scientic and social research, and engineering. The actuarial profession is over 150 years old, and is responsible for the design and pricing of products related to future life expectancy. The principle of using information from the past to forecast and price uncertain future events still remains a cornerstone of the profession, although the role of an actuary has extended signicantly in the business world. Today, actuaries can be found in a wide range of areas from traditional pension and life insurance to general insurance, enterprise risk management, fund selection and modelling the risk proles of large businesses. Many actuaries can be found at the very highest levels of employment, as chief risk ofcers or on the boards of large companies. In these varied roles, actuaries identify, analyse and assess risk. They determine the likelihood of economic or property losses such as those that occur during natural disasters, and design ways to lower the nancial implications of these losses. They do this this by using information gathered from historic data, and by applying modelling and forecasting concepts from mathematics and statistics to real life scenarios.
Monash University reserves the right to alter information, procedures, fees and regulations contained in this document. Please check the Monash University website for updates (www.monash.edu). All information reects prescriptions, policy and practice in force at time of publication. Published July 2013. CRICOS provider: Monash University 00008C

Actuarial studies at Monash

Monash Universitys actuarial program is accredited by the Institute of Actuaries Australia, and places a large emphasis on the development of practical, applicable actuarial skills. We engage with actuarial employers on a regular basis to ensure that the skills our students gain are the most relevant to employers, making our graduates highly employable. Students may achieve accreditation from the Institute of Actuaries of Australia for selected actuarial units taken as electives within the Econometrics and Business Statistics major The Monash actuarial program also has a high level of involvement with employers both through guest lectures, internship programs, as well as our employer liaison committee, which ensures our actuarial program is teaching the latest developments in practice. The course is delivered by actuaries who have practical experience in the eld, as well as those at the cutting-edge of actuarial academic research.

www.monash.edu/business-economics

AUSTRaLIa

CHINA

InDIa

ITaLY

MaLaYSIa

SOUTh aFRIca

www.monash.edu/business-economics

Course plan
Typically, students will major in actuarial studies as part of the Bachelor of Commerce. However you can also undertake a major in actuarial studies as part of our Bachelor of Economics degrees.
Bachelor of Commerce Major in Actuarial studies First Year Semester 1 Semester 2 Second Year Semester 1 Semester 2 Actuarial statistics Probability and statistical inference for economics and business Actuarial unit (students choice) Actuarial unit (students choice) Open elective or second major Open elective or second major Open elective or second major Open elective or second major Principles of marketing Principles of microeconomics Business and economic statistics Data modelling and computing Business law Introduction to management Principles of accounting and nance Open elective or second major

Careers in actuarial studies

Actuaries work across many elds of nance and business. People with actuarial qualications are traditionally found in life insurance companies and consulting actuarial rms, offering a range of advice in various elds such as nance and superannuation; investment operations for asset managers, stockbrokers, banks; general insurance; health insurance and the broader elds of risk management. Actuaries also nd work in other industries, such as the mining or telecommunications sector, as well as in government organisations and academia. They work across many different types of projects, from carbon footprint modelling to the mathematics of customer loyalty schemes. In these roles, they apply their mathematical modelling techniques and skills to make sense of future uncertainties, and then communicate their ndings in a clear and concise way. Some of the things you may do as an actuarial professional include: dening, analysing and solving complex nancial and business problems relating to areas such as insurance premiums, annuities, superannuation funds, pensions and dividends examining nancial projections for general insurance companies, nance companies, government and other organisations designing new types of policies, assessing risks and analysing investments in life insurance, superannuation funds, health insurance, friendly societies, nancial markets and other areas formulating mathematical models to simulate processes

Best jobs of 2013

As reported in the Wall Street Journal in April 2013, CareerCast.com, a US-based career website, ranked 200 jobs from best to worst based on ve criteria: physical demands, work environment, income, stress, and hiring outlook. To compile its list, the rm primarily used data from the US Bureau of Labor Statistics and other government agencies. In these rankings, six careers that require econometrics and business statistics skills were ranked in the Top 50 best jobs, including: Actuary (No. 1) University professor (No. 14) Statistician (No. 20) Market research analyst (No. 40) Logistician (No. 46) Management consultant (No. 48) You can see the complete list of jobs at www.careercast.com/jobs-rated

Third Year Semester 1 Semester 2 Actuarial unit (students choice) Actuarial unit (students choice) Actuarial unit (students choice) Faculty commerce elective Open elective or second major Faculty commerce elective Open elective or second major Open elective or second major

Bachelor of Economics Major in Actuarial studies First Year Semester 1 Semester 2 Second Year Semester 1 Intermediate microeconomics Intermediate macroeconomics Probability and statistical inference for economics and business Actuarial Statistics Open elective or second major Open elective or second major Open elective or second major Open elective or second major Principles of microeconomics Principles of macroeconomics Business and economics statistics Data modelling and computing Open elective or second major Open elective or second major Open elective or second major Open elective or second major

The Monash Actuarial Program inspired me to embark on a challenging and internationally respected profession.As actuarial skill sets are being expanded beyond the traditional areas of practice into risk management, climate change and public infrastructure I saw endless career opportunities complementing my interest in mathematics. Having the program overseen by experienced actuaries ensured high quality and relevant course content.In addition, networking opportunities with practising actuaries through theMonash Actuarial Student Society provided insight into actuarial work in various industries. My experience of the actuarial program was very practical and enabled me to acquire the essential skills and knowledge to transition into full-time work as an actuarial analyst at Mercer.

applying models to experimental observations, and adjusting and recasting the models using numerical analysis methods to develop algorithms and perform computations liaising with management and clients to determine the subject or area to be surveyed or examined specifying the data to be collected, and the methodology to be used in collection and analysis evaluating and describing the reliability and utility of source information analysing and interpreting data, and producing relevant statistics to describe and infer particular trends and patterns.

Semester 2 Third Year Semester 1 Semester 2

Fiona Tsang
Bachelor of Commerce

Actuarial unit (students choice) Actuarial unit (students choice)

Actuarial unit (students choice) Actuarial unit (students choice)

Open elective or second major Actuarial unit (students choice)

Open elective or second major Open elective or second major

Studying a Bachelor of Commerce with an actuarial major has been a great experience. Ive always been attracted by the mystery of math, and I knew I wanted to pursue a career in risk analysis, even before I entered university. Actuarial studies is a challenging, unique and rewarding major. I decided to study a major in actuarial studies as I knew it would give me both technical knowledgeand problem solving abilities. Throughout my major I was able to apply creative and out-of-the-box thinking whether I was faced with an in-depth analysis or a large scale problem, I knew I had the skills to solve it. Currently, I am working in a graduate role at Deloitte, which has exposed me to many different industries and elds, including using my actuarial skills within the healthcare sector. The Monash Actuarial Program has denitely helped me get a step ahead in my career. The actuarial major is an integrated major that includes studying aspects of nance, statistics, economics, insurance and commerce. I enjoyed the challenge of studying such a well-respected eld, and loved that it offered a combination of mathematical theory and practical application. As part of my studies I have developed solid analytical skills and in-depth knowledge of the commercial industry, which I know will be benecial when I start working. The fact that Monash offers units that are accredited by the Actuaries Institute of Australia means I have already taken the rst steps to becoming an accredited fellow of the IAA.

The Monash actuarial studies major has been accredited for exemption from professional examinations of the Institute of Actuaries Australia. To achieve the maximum number of exemptions students will have to select specic electives in some cases and are advised to speak with the course director for guidance. Please note: these course maps are samples only. The actuarial units can be selected from a list of available units in the discipline. Your electives/ second major units can be selected from a wide list of majors/units offered by the Faculty, or you can choose to study additional actuarial units or a complementary second major such as econometrics and business statistics or economics. A full list of undergraduate units offered by Monash is available at www.monash.edu/study
Students are advised that, while the course advisors will endeavour to give every possible assistance and advice concerning unit choice, the onus is on students to ensure that units selected meet degree regulations and requirements. Students should refer to the University Handbook for further information on course and unit details.

Alex Lim
Bachelor of Commerce

Yijun Zeng (Jessie)

Bachelor of Commerce