Actuarial Science: 10 Things I Wish I Knew BEFORE Studying It

[@rachelkim1986]

1:06 1. Most actuaries work in the insurance field 2. 3 main fields actuaries work in: life, health, property/casualties 3. Actuaries on a quarterly basis & life insurance is repetitive while health insurance is heavily regulated while consultant actuaries often work long hours 4. Should learn coding to manipulate data & Excel 5. Finance, business law, accounting, advanced mathematics (calculus) all are a part of actuaries’ jobs 6. Actuaries work more with insurance rather than the technical/mathematical aspects of the field 7. Must take 10 actuarial exams 8. 2 organizations (SOA for life/health insurance and CAS for property/casualty) actuaries must choose from after taking 2 exams 9. Actuarial exams have very low pass rates :( 10. Actuarial science is a very narrow, niche field. 11. Actuarial science is a creative field in the way that new insurance product/calculation innovations can be discovered

[@Jaxksworld]

Thank you!😂🎉

[@Letslearntogetheruzh7]

1:11 6:23 SOA 6:28 CAS

[@thinhpham2373]

I'm a freshman of Actuary major. Thank for your video, i'm known more knowledge. Would love to see more videos

[@Bella-the-Actuary]

Thank you so much for watching! 😁😁 Glad I could help and I’ll be making more videos soon!

[@JohnDoe-bg1cj]

Hey there, good video + was really impressed with the level of research done, especially for someone just starting out in uni. Just some small things to note: - Actuaries would not use calculus on the job, it's largely Excel/R/SAS/Python with models such as reserving triangles which aren't super theoretical - Actuaries don't necessarily work in insurance if that's something people are wary of: areas such as banking (credit loss modelling), risk management (as you mentioned), superannuation, are all great opportunities to work in - For background info (accounting, economics): these are done in introductory courses and never really touched again. You'll need to know the basics (inflation, certain terms), but otherwise it's actuarial based concepts here on out None of this detracts from the quality of the video, and I certainly learnt a few new things from watching it. Excited to see what comes next!

[@Bella-the-Actuary]

Hi John! Thanks so much for watching! I loved hearing your feedback. It is worth noting that not all actuaries work in insurance, thanks for pointing that out! I mentioned that students will need to know calculus, accounting, economics, etc so that 1) they get an insight into what kind topics they will learn about in undergrad and 2) because they will need to know foundations of these topics in order to understand how the insurance industry and any business works. I agree, we probably won't need to do any integrals by hand! Haha

[@johnvandyke-mensah8824]

Would love to see more vids. I was a tech major now switching to actuarial science.

[@Bella-the-Actuary]

Thanks for watching! That's amazing, what made you switch? I'll be putting out another video in the next week or two!

[@johnvandyke-mensah8824]

@@Bella-the-Actuary I feel as if Tech jobs as in software engineering and data science will easily be taken by ai. Coding used to be a coveted skill until ai came along. You can literally fake being a software engineer or data scientist more than ever now. The tech layoffs also contributed to my decision

[@travis6180]

Great video! I’m not sure I agree with needing calculus except for the exams, but a math background as helpful.

[@Bella-the-Actuary]

@@travis6180 Thank you!

[@Bella-the-Actuary]

@@johnvandyke-mensah8824 I can definitely see where you're coming from. Hoping you find better job security in the actuarial field!

[@SuperHeromindNsoul]

Im 33 and felt lost until i found this field❤❤❤❤ thank u for your insight

[@Delulu.is.the.Solulu]

Its going to be my first yr in actuarial sciences and im kinda scared 😭 but it sounds like an adventure so I cannot wait to start my 1st yr😂

[@Bella-the-Actuary]

How exciting!

[@joannastryker7243]

I'm a freshman in high school who is considering going to Madison for actuarial science. Thanks so much for this!

[@Bella-the-Actuary]

I’m glad you found the video helpful! Best of luck in your future endeavors 😊

[@franshaitama336]

Thankyouuu so much for this information 💫

[@Bella-the-Actuary]

Thank you so much for watching! Hope it was helpful 😁

[@mubarak6391]

Very informative video.

[@Bella-the-Actuary]

Thank you for watching!

[@davidwan6112]

I absolutely hated it when studied it… I was fooled by my high school teachers that actsc is for ppl good in math but it turns out to be boring math like annuities. Those exams are also extremely boring and repetitive which requires candidates to practice on the dull manual questions. It’s the opposition of creativity…. The math not really interesting either as it doesn’t touch much linear algebra, ODE/PDE, measure theory. So from either the pure math or applied math curriculum, actsc is pretty shallow. I finished my degree (waisted me years of time) and only took 1 actsc internship and ended up running like hell lol… and end up working as a Quant for many years. (Ofc needed a diff master degree to pull that off)

[@Bella-the-Actuary]

Hi David, thanks for sharing your perspective! I can understand where you’re coming from - some of the math can be tedious, but the application of it can be very interesting. There are so many new and emerging risks in today’s world that require actuaries to reconsider traditional calculations and ways of doing things that creativity is essential to the advancement of the insurance industry. Given your actuarial science background, I am curious to hear what your work as a Quant looks like!

[@davidwan6112]

My work is pricing of derivatives (mainly equity exotic). The math is stoch/ordinary calc and mostly numerical method like PDE and Monte Carlo. 95% of my time is spent in C++. Quants nowadays diverge a lot. My work is the traditional pricing quant (black scholes crap). Now there are other quants specializing in data driven approach either for systematic trading or portfolio optimization/alpha research. That being said however. The job interest me for about 5 years. It was a fun ride. Nowadays I loss my motivation again and don’t care much anymore 😂

[@Sammie551]

People do it for money Pays a lot and on high demand in my country

[@dhruvishah9358]

Do actuaries have to deal regularly with the board of directors directly and does that require good communication skills?

[@Bella-the-Actuary]

Hi Dhruvi! All actuaries should have good communication skills as they have to work with different teams, clients, and people within the company. I’d say it’s usually the more senior actuaries who speak with the board of directors directly. Thanks for watching 😊

[@dhruvishah9358]

Thanks

[@rahuldeendyal4929]

Beauty with Brains 😊. I also wish to pursue Actuarial Sciences with Specialization in General Insurance 👍🏻

[@LynnNight-x5g]

Hey Bella, I’m a sophomore studying act sci but haven’t taken any actuarial science courses yet. The highest math class I’m taking right now is calculus 3 which I believe is a prerequisite for exam p. Are there any other prerequisite courses (math and act sci related) that you recommend taking before sitting for exam FM or P? Also, what resources do you use to study? I notice that coachingactuaries caters more to the SOA actuaries rather than CAS

[@Bella-the-Actuary]

Hi Lynn! So cool you’re already studying to be an actuary. There technically aren’t any prerequisites for FM and P, but I would recommend a corporate finance class or similar finance class (that teaches bonds/annuities) for exam FM. For exam P, I think a general stats class would be good. I talk more about what classes I recommend here: kzbin.info/www/bejne/gme3Z52Dm8eKb5o I’ve actually been using Coaching Actuaries to study for all of my exams so far! While there are more SOA exams on their website, they still have study materials for quite a few CAS exams and often add more. I know a few other popular exam study guides are The Infinite Actuary, Howard Mahler, Actex learning, and ASM. Hope this helps and thanks for watching!👋

[@tien8080]

Hi, I am considering majoring in Actuarial Science. Since actuary is a very specific field as you have said, I am worried about the limited job opportunities as it is quite restricted to insurance or some banking positions. I am an international student, and this might further limit my already low chances of getting an internship and job in the US. I would really appreciate it if you can give me some insights and advice ^^. Thank you so much!

[@Bella-the-Actuary]

Hi! If you are interested in pursuing an actuarial science career but aren’t able to find an actuarial internship in the US, you could apply to internships related to risk management or insurance. These would still give you a lot of good knowledge about the insurance industry and how insurance companies work, which is important for actuaries to know. Even still, you could apply to accounting, finance, statistics, or data science internships, as these encompass skills and knowledge that actuaries use. I’d also suggest applying to internships for companies that hire international students - I believe Corebridge Financial is an example of a company that does. Hope that helps! And thanks so much for watching 😊

[@dhruvishah9358]

Also is an actuary's job always at stake or require constant creativity to retain in the company?

[@Bella-the-Actuary]

I wouldn’t say an actuary’s job is always at stake 😂 That would be very stressful. As long as you are doing your job well, are a good communicator, and are bringing value to the company, you should be in a good spot. Creativity is good for “standing out” among your colleagues and making long-term, valuable contributions to the company.

[@dhruvishah9358]

Thank you!

[@orlando__gamino5163]

Quick question, so do I need to finish all 10 exams before I get a job or are there still lower level jobs available for those who’ve only completed some exams?

[@Bella-the-Actuary]

Hi Orlando! Great question 😊 Let me clarify - most people get their first actuarial job with one or two exams passed. Having all 10 exams passed and becoming a credentialed actuary is a long-term goal that takes years to accomplish. Therefore, you definitely do not need all 10 exams passed to get an actuarial job!

[@dhruvishah9358]

Is it possible to do CFA after being an actuary?

[@Bella-the-Actuary]

Are you asking about CFO? If so, not usually. The highest title possible for most actuaries is Chief Actuary, of whom would report to the Chief Financial Officer. If you’re asking about transitioning from being an actuary to a chartered financial analyst, you would have to go through a different certification process.

[@dhruvishah9358]

@@Bella-the-Actuary thanks for the guidance

[@jonathanguzman8584]

This definitely helped, how's the journey been so far?

[@Bella-the-Actuary]

Hi Jonathan! I’m glad this video helped you 😄 I just recently passed my third actuarial exam, so I’m on a high right now! But I’ve still got a long journey ahead. So far, I’ve enjoyed my actuarial classes and learning a ton about insurance, statistics, and generative AI, and also picking up some coding skills. I’d recommend checking out this video to hear more specifically about my actuarial college journey! m.kzbin.info/www/bejne/fGnUd6aPj799o5o

[@jonathanguzman8584]

@@Bella-the-Actuary Ahh okay will sure check it out. Quick question, if i'm a senior Math student how likely would it be I can find a job after graduation in the Actuarial field ? I haven't taken any of the exams yet but do companies usually take on people wanting to become actuaries and sponsor all exams or would prospect actuaries need a certain amount of exams taken before they get hired ?

[@Bella-the-Actuary]

Most employers do want to see some level of commitment to the actuarial field, so they usually look for at least one actuarial exam passed. Once a person gets hired for an actuarial position, the company will usually pay for 2 exam attempts per exam.

[@stevenmeek9756]

Do you have to study the Bills of Exchange Act 1882. Cestui Que (Vie) act 1666 when doing Financial Predicted Insurance forecasts. Thank you.

[@Bella-the-Actuary]

I am not familiar with these acts, so I cannot say for sure.

[@chasewang6483]

Hi Bella, so which makes more? SOA or CAS? I think the basic entry level salary are about the same for both, what about in the long run?

[@Bella-the-Actuary]

In the long run, CAS actuary salaries are *slightly* higher, but not by much. You can check out the salary data for yourself here! www.dwsimpson.com/about/salary-survey/ (compare the FSA and FCAS graphs)

[@Goku-wr5te]

0:44 Bitter truth😂

[@Ari-bf3pl]

What if i want to be an investment banker or working in finance, be an actuary is going to help me in this area? I don't want to work in insurances

[@Bella-the-Actuary]

Some of the actuarial math is helpful for a career in finance, such as annuities. But I wouldn’t recommend becoming an actuary if you are looking to become an investment banker, as most actuaries work in insurance and actuarial courses focus on insurance applications.

[@elizabethb.]

Hi Bella! I'm a new viewer and while I consider the career track are you concerned about your job security from AI? Do you think that it'll easily be automated or would it be safe to enter?

[@Bella-the-Actuary]

Hi Elizabeth! Thanks so much for watching 😊 Actuaries are still very much needed in the field and won't be replaced anytime soon by Al. A lot of an actuary's work involves critical thinking and human reasoning, which computers cannot do.

[@Bella-the-Actuary]

I just made a video about this if you're curious to learn more! kzbin.info/www/bejne/aZXZeGSlgcuLg5I

[@anashemuzanarwo4423]

Do you require oratory abilities too in actuary??

[@Bella-the-Actuary]

Yes - you should be able to explain your results to your supervisor, colleagues, and external users. That goes for any job.

[@teikioko]

Very informative. Quick Question: can an actuary work in the banking industry? Much love from Kenya 🇰🇪

[@Bella-the-Actuary]

Hi!👋 Most actuaries work in the insurance space, but there are roles that actuaries could work in in the banking industry. They lost likely wouldn’t be working as “actuaries” though. Actuaries could use their coding or financial knowledge to become a data scientist or quant analyst in the banking industry, for example.

[@Hamromerochannel]

Ma’am do you get taught VBA at the job or you are expected to be master at it like you on your video on life as an actuarial intern part 2 - so many lines of codes 😧 ?

[@Bella-the-Actuary]

Hi Sebastian! Thank you for your question 😊 I was given about two weeks at the beginning of my internship to learn VBA on my own, which meant I did a LinkedIn learning course, searched google, and looked at other projects my team used in VBA to really understand how to use VBA and what each line of code was doing. Most internships/jobs do give you some time to pick up a new coding language. One thing I will say, is that it is much easier to learn a new programming language (like VBA) when you have experience in another (like R studio) like I did!

[@shakdas3295]

If I major in math would that lead me to being an actuary?

[@Bella-the-Actuary]

You could major in math! But you can also watch this video to learn more about different major options: kzbin.info/www/bejne/gme3Z52Dm8eKb5o

[@vrutirathwa9665]

Ma'am can I pursue acturial science course without maths subject??? Because in my school maths is not teached

[@Blooeau]

Math is a requirement in actuary

[@Bella-the-Actuary]

Actuarial science is a lot of math and statistics. You’ll definitely need to understand basic math concepts, so I’d recommend teaching yourself if it’s not offered at your school. But something to consider - if you’ve never taken a math class, how would you know you’d like to pursue actuarial science? (Maybe you won’t even like it!)

[@gamera7206]

Can you become an actuary with a bs in accounting?

[@Bella-the-Actuary]

Yes! You can become an actuary with most bachelor degrees if you pass the actuarial exams. However, the exams require previous math, statistics, and insurance knowledge, which are usually acquired from actuarial college courses.

[@TheHaki_Man]

Hi do you need science to do acturial science I've heard no I do advaed maths and pure marsh in school but my science marks anret great and am thinking fo dropping cna I

[@Bella-the-Actuary]

Hi there! No, you don’t need any natural science background to do actuarial “science”. The name is quite misleading 😂

[@TheHaki_Man]

@@Bella-the-Actuary thank you

[@ykim_aes]

Thanks so much for your video. Do you know if this field is in demand for international students? btw I'm in the process of getting a green card if this could specify my status.

[@Bella-the-Actuary]

Hi! Thanks so much for watching 😊 I’m not sure about international students specifically, but I do know that the actuarial career is expected to grow by about 20% within the next ten years (which is huge!) So there’s a good chance you will find a great actuarial job here in the US if you wanted.

[@Sowo67]

How long does it take after high-school and how much GPA do I need

[@Bella-the-Actuary]

It takes anywhere from about 5-10 years to pass all of the actuarial exams! Although having a good GPA is impressive (3.0 or above, unweighted), employers prefer to see that you have passed some of the actuarial exams.

[@Sowo67]

@@Bella-the-Actuary how old are you you look so young though

[@Bella-the-Actuary]

I am a senior in college! I have not passed all of the actuarial exams yet, though.

[@Sowo67]

@@Bella-the-Actuary But how old are yoy

[@joshlazor6208]

Hey Bella, how many actuarial exams have you taken?

[@Bella-the-Actuary]

Hi Josh, thanks for your question! As of August 2023, I’ve passed exams P and FM, and am sitting for my third exam in a couple months.

[@ashrafauzi]

May I know what is pnc?

[@Bella-the-Actuary]

Yes! P&C refers to the Property and Casualty side of insurance. It includes things like auto insurance, home insurance, and catastrophes.

[@sanelesindane4466]

How many years does it take to be an actuary

[@Bella-the-Actuary]

Depending on how fast you complete the exams, it can take most people anywhere between 5-10 years to become an FSA/FCAS!

[@sanelesindane4466]

@@Bella-the-Actuary thanks

[@Bella-the-Actuary]

@@sanelesindane4466 Of course! Thanks for watching ☺

[@AaliyahChowdhury]

Do you get to meet and talk to a lot of people as an actuary? Also would I still be able to be an actuary if I studied maths with actuarial science at university?

[@Bella-the-Actuary]

Hi! Thanks so much for watching 😊 The amount of time you spend talking and meeting with other people depends on the type of role you have. If you’d like to work with people and external clients more heavily, being a consulting actuary is a good option. However, most actuaries do work in teams, collaborate with others, and present their findings to their manager and other business units.

[@FioraStradell]

Sounds like a boring job& AI could easily replace.

[@Bella-the-Actuary]

Hi Fiora! Thanks for watching 😊 Actuarial science is definitely not for everyone. To my other viewers interested in pursuing actuarial science, actuaries are still very much needed and won’t be replaced by AI anytime soon. I’d highly recommend taking a machine learning class to understand the complexity of AI further.

[@FioraStradell]

Well, that is good to know because the media makes it seem like ALL of OUR JOBS will be gone in the next 10 years or so. I don't know about taking a class, but I will do further research.@@Bella-the-Actuary

[@sagemae2993]

@@FioraStradell we can’t just not do anything