Actuarial studies 2015 brochure

Undergraduate information

Actuarial Studies Actuarial modelling Actuarial statistics Financial mathematics Models for insurance and finance

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Commerce major in Actuarial Studies

Actuaries evaluate and manage risk. They weigh up the probability of adverse events, find ways to prevent them, and minimise the impact of events that do occur.

Is the actuarial studies major for me?

Are you naturally curious? Do you enjoy finding solutions to complicated problems? If you love numbers and want to use your maths skills to provide practical business advice, actuarial studies might be the major for you.

What will I learn?

Am I a good fit?

Actuarial studies will give you a firm grounding in the traditional actuarial skills set: mathematics, statistics, demography, finance and economics.

To be a great actuary, you need to be persistent, articulate, comfortable with computers and good with numbers. You should have strong analytical skills and a love of learning.

Why choose Melbourne?

One of only six fully-accredited programs in Australia

Ranked 10th in the world for graduate employability#

With full accreditation from the Actuaries Institute, you can be sure that our actuarial studies major is the best possible preparation for work as a qualified actuary.

Our graduates are known for their perceptive understanding of business issues, skilful communication and strong leadership.

Exciting student experience opportunities

Over $2M in exclusive Commerce scholarships

There’s more to uni than lectures, assignments and exams.

Get involved outside of the classroom – there’s something for everyone.

Be rewarded for your hard work in high school and at uni, through one of Australia’s most generous scholarship programs.

QS World University Rankings 2013

#

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I chose actuarial studies because I was interested in applied maths, economics and financial markets. The core subjects for the major were relevant and well structured, and the technical skills I developed allow me to add value in my workplace.

Viola Chan, BCom Hons 2011, now works for Deloitte

Core study areas Financial mathematics covers topics that are particularly important in the finance sector, including the theory of interest, investment mathematics and stochastic models for asset returns.

Life insurance mathematics aims to produce valuations of life insurance policies, using probability models of human mortality and morbidity along with financial models.

Actuarial statistics is most prominent in general insurance, or any insurance that is not on a human life. For example, actuarial statistics is used calculate premiums and no claims discounts for car insurance policies.

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Studying the actuarial major

The University of Melbourne is known for its actuarial program, and our Centre for Actuarial Studies offers the widest choice of actuarial subjects in Victoria.

The Bachelor of Commerce consists of 24 subjects, usually taken over three years of full-time study. As part of the BCom, you must complete at least one major.

Sample course plan – Bachelor of Commerce1 Major in Actuarial Studies Meets honours entry and professional accreditation requirements

The Bachelor of Commerce major in actuarial studies is the shortest pathway to becoming a qualified actuary. To meet Commerce course requirements as well as accreditation requirements for the actuarial profession, you must complete a specified sequence of subjects.

Introductory Microeconomics

Accounting Reports and Analysis

Free elective

Accelerated Mathematics 1

Semester 2

Introductory Macroeconomics

Introductory Financial Accounting

Introduction to Actuarial Studies

Accelerated Mathematics 2

Semester 1

Probability

Organisational Behaviour

Financial Mathematics I

Business Finance

Semester 2

Statistics

Intermediate Macroeconomics

Financial Mathematics II

Free elective

Semester 1

Actuarial Modelling I

Actuarial Modelling II

Financial Mathematics III

Free elective

Semester 2

Contingencies (double subject)

Actuarial Statistics

Models for Insurance and Finance

Year 1

Year 2

This sample course plan names compulsory subjects in the BCom and all subjects required for actuarial accreditation. In total, subjects required for the actuarial studies major comprise 21 of 24 subjects in the degree. These subjects also fulfil honours entry requirements for the actuarial discipline.

The actuarial studies major incorporates subjects across Commerce disciplines, as accreditation requires studies in accounting, economics and finance.

Free electives in the degree offer further opportunities to explore other disciplines, whether it be other commerce areas or subjects outside the degree. Note that two of these electives must be used to complete non-maths breadth subjects.

Semester 1

Year 3

Compulsory subjects (including quantitative subjects counted as breadth) Commerce subjects required for actuarial accreditation Free elective subjects2 Breadth subjects required for actuarial accreditation 1 2

This is a sample course plan only. Subjects offered may change from year to year.

You will be advised of current subject offerings prior to subject selection and enrolment.

You must use two of your three free electives to complete non-maths breadth subjects.

I love that my subjects have the perfect balance between theory and application. There’s a lot to learn, but it’s interesting and relevant in the real world. I can already see that what I’m studying will be useful when I finish uni.

Harry Breidahl, major in Actuarial Studies

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Becoming an actuary The University of Melbourne is one of only six institutions in Australia with full accreditation from the Actuaries Institute, the professional actuarial body in Australia.

Pathway to associateship

Pathway to fellowship

International recognition

If you complete relevant subjects at the University of Melbourne – and perform sufficiently well – you will be recommended for exemption from the corresponding subjects offered by the Actuaries Institute. Should you receive the maximum exemption, you will be exempt from both Part I and Part II by the end of your Honours degree.*

To become a fellow of the Institute of Actuaries of Australia (FIAA), you must undertake Part III of the Institute’s professional exams. Part III is directly administered by the Institute.

Examinations are held in May and October each year and are undertaken after you graduate, while you are working full time.

Overseas actuarial bodies give recognition for the qualification of FIAA, subject to some supplementary training. There is also partial recognition for exams passed (or obtained through exemptions) under the Actuaries Institute.

Successful completion of the Institute’s Parts I and II exams, the three-year practical experience requirement and the Institute’s Professionalism Course leads to your designation as an actuary and an associate of the Institute of Actuaries of Australia (AIAA).

The length of time taken to qualify varies from student to student. The FIAA qualification can be achieved in a minimum of five years, but the average time to gain full accreditation is between seven and eight years.

This estimate includes completion of the four year Bachelor of Commerce (Honours) degree.

*If you do not obtain the mark needed to achieve exemption, you do not need to repeat the subject. As long as you achieve a pass mark or above the subject will still be credited towards your Bachelor of Commerce degree.

Options for further study The BCom major in actuarial studies is only the first step towards being an actuary – an Honours year might follow, and further research if you’re interested.

Honours

Graduate research

If you intend to qualify as an actuary, we recommend that you do an honours year. An honours year provides advanced knowledge in actuarial studies and fulfils all the requirements for Associateship of the Institute of Actuaries of Australia (AIAA).

If you are interested in pursuing high-level research in actuarial science, you can go on to do research programs offered through the Centre for Actuarial Studies at the University of Melbourne.

Established in 1992, the Centre is internationally recognised for its research in insurance, superannuation, financial mathematics and related areas.

In this fourth year of study, usually taken immediately after completing the Bachelor of Commerce, you will take advanced coursework in the areas of risk theory and financial mathematics.

You will also produce a research essay or undertake a set of research projects in under-explored areas of actuarial science.

Graduate research programs offered through the Centre include the Master of Commerce in Actuarial Studies and the PhD in Actuarial Studies.

Many of our graduates enjoy international careers in global financial centres like New York, London, Hong Kong and Singapore.

for non-actuarial graduates The Commerce major in actuarial studies is the most straightforward way into the actuarial profession, but it’s not the only way to become an actuary.

The Master of Actuarial Science, offered by Melbourne Business School, is specifically designed for graduates who have mathematical or statistical specialisations – such as mathematics, physics or engineering.

The course will equip you with the skills to work as a trainee actuary, and possible exemption from Part I of the professional requirements of the Actuaries Institute. www.mbs.unimelb.edu.au

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Actuarial careers

Our graduates receive high-level training in actuarial science, combined with exposure to complementary disciplines and opportunities for development outside the classroom. They enjoy excellent career outcomes, including high starting salaries, outstanding job satisfaction and exceptional employment rates.

Where do actuarial graduates work?

Some of our recent graduates are now working at: Allianz

Medibank

AMP Limited

Mercer

ANZ Banking Group Aon Benfield

Ping An Life Insurance Company of China

CGU Insurance

PricewaterhouseCoopers

Deloitte

QBE Insurance

Ernst & Young

Quantium

Finity Consulting

Suncorp-Metway

Jardine Matheson Holdings

The Warranty Group

KPMG

Towers Watson

Career progression in actuarial Sample job titles Your first job:

Analyst Associate Graduate

In 5-10 years:

Manager Actuary Consultant

In 15-20 years

Chief Executive Officer Chief Financial Officer Partner

I’ve secured a graduate role at Quantium, and will join a team that specialises in retail strategy and customer analytics. The position requires knowledge of statistical techniques and how they can be used in the commercial environment. That is essentially what we learn in the actuarial major.

Saurav Acharya, major in Actuarial Studies

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Where could the actuarial studies major take you?

Erika Lee Actuarial consulting, Singapore

Joyce Au-Yeung Insurance, Auckland

Kimberly Fraser Actuarial consulting, Melbourne

Elijah Mayr Investment banking, Sydney

Daniel Tram Management consulting, Melbourne

Dinuka Jayasuriya Commercial banking, Melbourne

Yvonne Wen Consulting and data analytics, Melbourne

Zezan Tam Technology and innovation, Melbourne

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www.bcom.unimelb.edu.au

University Information Course Search web site: http://coursesearch.unimelb.edu.au Call the University Information Centre: 1800 801 662 13MELB@unimelb.edu.au www.bcom.unimelb.edu.au

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Actuarial Undergraduate Information brochure Authorised by: Provost Published by: The Faculty of Business and Economics Photography: Joe Vittorio CRICOS Provider code: 00116K Intellectual Property: For further information refer to www.unimelb.edu.au/Statutes Copyright: Copyright University of Melbourne 2014. Copyright in this publication is owned by the University and no part of it may be reproduced without the permission of the University.

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