5 Things You Can Do With An Actuarial Science Degree
No, math isn’t just for nerds and science geeks! It’s an essential money-making tool in the business and finance world. With a degree in actuarial science you will apply mathematical and statistical methods to assess risk in insurance, finance and other industries and professions. Your expertise in finance and statistics will make you be in-demand in a variety of fields. Check out the 5 things you can do with an actuarial science degree.
The main responsibility of an actuary is to mitigate and manage financial risk. Actuaries are the safeguard to potential financial catastrophe. They utilize their mathematical, financial, business, and statistical knowledge to analyze data, assess the possibility of an event occurring, and calculate the cost. Hence, actuaries provide valuable strategic, financial or business advice to companies, government boards, banks and insurance agencies. Most actuaries work in the insurance industry or are involved in pension/retirement plan programs. They will need to be efficient communicators too as they will need to explain complex data to non-specialist in consultations.
4) Insurance underwriter
As stated, a large number of graduates with actuarial science degrees go on to be employed in the insurance industry as insurance actuaries. However other than an insurance actuary, another potential role for actuarial science graduates is insurance underwriter. The main difference being while insurance actuaries use their mathematical and financial skills to help develop insurance policies based on risk, insurance underwriters process insurance applications, determining the approval of an application. Thus, insurance underwriters reviews information to determine risk of individual insurance applications. For example, if they are assessing a health insurance policy they review the individuals age, health history, occupation and determine the price of insurance premiums.
3) Financial Risk Analyst
The job scope of a financial risk analyst is highly similar to that of an actuaries’ however there is more of a focus on business side of things as they work in banking or the finance section of companies. As a financial risk analysts, you identify and analyse areas that could potentially threaten the security of assets or the earning capacity and success of a company. Financial risk analyst take a look at risk in terms of credit, operations, markets, and regulations.You are also expected to be aware of future trends as you will do forecast and predict financial position of your company in the future.
The mathematical skills of statistical analysis that an actuarial science degree gives you can also be transferred into the role of a statistician. Statisticians work in a large variety of sectors from healthcare, business, engineering to transportation. They assess, analyze and interpret data and use that to find practical solutions to problems. It can involve being part of research team designing and managing experiments or surveys that deal with the collection of data.
1) Investment Analyst
The combination of economic knowledge and statistical abilities makes actuarial science degree holders especially suited to be investment analyst. Investment analyst work in the finance industry with investment banks, large corporations, or wealthy individuals. They assist fund managers, stock brokers and traders in researching in-depth information and data to make decisions on investments. Hence, they give essential advice based on their data to help their clients manage their portfolio and avoid risky investments.
Well as you see, there is a wealth of things you can do with an degree in actuarial science. Check out our course guides for more information on things you can do with your degrees.