Learned Society and Thought Leadership at the Institute

Learned Society and Thought Leadership at the Institute and Faculty of Actuaries Sarah Mathieson 12 September 2012 © 2010 The Actuarial Profession www. actuaries. org. uk

Introduction Learned Society and Thought Leadership Corporate Objective (June 2011): • To advance all matters relevant to Actuarial Science Key themes for the Institute and Faculty of Actuaries: • Research needs • Sustaining and building research communities • Building external links • Making research accessible through improved communication • Breaking down barriers between silos © 2010 The Actuarial Profession www. actuaries. org. uk 1

Research Needs Identified by the Institute and Faculty • Long Term Care • Risk and uncertainty management • Longevity/mortality/morbidity • Resource, Environment, Energy • Saving for retirement • Discount rates • Actuarial techniques in new areas (banking, building societies, infrastructure) • Actuarial roles in defined contribution schemes • Solvency II 2

Main Categories of Research Activities SOURCE OF RESEARCH DELIVERY MODEL DISSEMINATION PURPOSE* TL Member-led Working Parties and Member Interest Groups (MIGs) Volunteer driven, with some support from Executive. Funding available for help with data acquisition, report writing etc Involves several hundred members Strategic Research Topics driven by key committees in the Profession; generally carried out by third parties (e. g. Universities); volunteer panels review output; project managed by Executive • Research papers on IFo. A website • Sessional meetings and BAJ • The Actuary magazine • AAS Collaborative Projects Usually in response to an approach by a third party (e. g. Think Tank, Charity); sponsorship of research, often with others; project managed by Executive • Ph. D funding for a small number of students • Pump priming of smaller university projects • Travel grants • Linking MSc students to companies for projects • Presentations • Research papers • The Actuary magazine FTSE Bursary Available for member-led research in investment management. May also be used for related activities e. g. Funding a keynote speaker at conference. • Residential conferences / other IFo. A events • Sessional meetings and BAJ • Papers on IFo. A website • The Actuary magazine Actuarial Research Centre • Ph. D funding for a small number of students • Establishing ARC at Heriot-Watt University Knowledge transfer activities expected • Research papers on IFo. A website • Press releases • Launch events Sustaining Universities PR • Residential conferences / other IFo. A events • Sessional meetings and BAJ • Papers on IFo. A website • The Actuary magazine P © 2010 The Actuarial Profession www. actuaries. org. uk * TL: Potential for thought leadership of actuarial science P: Research to support practitioners PR: PR-led research to raise the profile of the Profession and its members 3

Related Thought Leadership Activities Publications • British Actuarial Journal: New editor for next session • Annals of Actuarial Science • Longevity Bulletin: 4 th edition expected Autumn 2012 Other activities • CMI Committees • Review of Mortality and Morbidity Studies • Mortality Research Steering Group • Resource and Environment Panel • Spring and Autumn Lectures © 2010 The Actuarial Profession www. actuaries. org. uk 4

Strategic Projects: Current Activities Recent deliveries • Discount Rates: Thought Leadership paper developed • Long Term Care: comparison of international care models (University of Southampton) • Two ERM projects (University of Bristol, University of Bath and Milliman; University of Kent) • Teaching Statistics in Secondary Schools (Royal Statistical Society) Projects in the pipeline • Genetic risk profiling (King’s College London) • Two other mortality projects (University of Southampton; Heriot-Watt University) • Limits to Growth (Anglia Ruskin University) © 2010 The Actuarial Profession www. actuaries. org. uk 5

Strategic Projects: Future Activities • Some elements to be aligned to key policy areas: – Pensions – Long Term Care – Financial Capability – Solvency II • ERM Thought Leadership projects • International projects © 2010 The Actuarial Profession www. actuaries. org. uk 6

Sustaining Universities Ph. D (Part) Funding • Functional data analysis and application in mortality and risk selection (University of Leicester) • Risk management for pension schemes (University of Manchester) • Plus two other projects in the pipeline Pump Priming • From atheoretical to informed mortality modelling (Queen’s University Management School) • Adding prior information to double chain ladder (Cass Business School) • Incorporating model and parameter uncertainty in rate graduation and pricing for critical illness (Heriot-Watt University) • The impact of model error on capital adequacy (Cass Business School) Plus MSc Projects and Travel Grants © 2010 The Actuarial Profession www. actuaries. org. uk 7

Actuarial Research Centre Creating a centre of excellence • Collaborative project with the Scottish Financial Risk Academy (SFRA) • Funded initially by the Faculty Endowment Fund • Launched September 2012 Areas of study • Two Ph. D students in 2012: Banking liquidity risk; Liquidity risk premium on Corporate Bonds • Part funded by the IFo. A; private funding from Hymans Robertson and Partnership © 2010 The Actuarial Profession www. actuaries. org. uk 8

Executive staff at the Institute and Faculty CEO Office Finance & Operations Public Affairs Library services: Research Team: • • Information resources Journal access Data sources Publications Journal production Project management Administration Research budget Policy Managers: • Research to support policy development • Consultation responses Press Manager: • Media relations • Link to International Strategy Member Support Education Communities Managers: Director of Education: • PECs/ sub-committees • Working Parties • MIGs General Counsel • Relationships with Funding Councils and Universities • Relationships with overseas universities for research projects Events: Delivery of logistics for: • Sessional meetings • Conferences • Seminars • Webinars • Other events (incl joint) • Audio/ video recording Solicitors: • Contract support Volunteer Engagement Manager: • Recruitment of volunteers © 2010 The Actuarial Profession www. actuaries. org. uk 9

Key Contacts at the Institute and Faculty Pauline Simpson, Research Project Manager Tel: 01865 268 237 E-mail: pauline. simpson@actuaries. org. uk Maria Lyons, Research and Learned Societies Team Leader Tel: 01865 268 236 E-mail: maria. lyons@actuaries. org. uk Sarah Mathieson, Policy Manager Tel: 0131 240 1301 E-mail: sarah. mathieson@actuaries. org. uk © 2010 The Actuarial Profession www. actuaries. org. uk 10

Thank you Questions? © 2010 The Actuarial Profession www. actuaries. org. uk 11