As an actuary you will use your expertise in assessing the financial impact of tomorrow’s uncertain events by analyzing the past, modelling the future and assessing the risks involved. You will communicate the results to concerned persons/organisations in order to help businesses and individuals to make better-informed financial decisions.
Actuaries assess and manage the risks of financial investments, insurance policies and other potentially risky ventures, applying the mathematics of probability and statistics. They assist banks in managing their assets and liabilities and their competent involvement can help mitigate the overall risk of investment portfolios.
They provide recommendations on the premium that an insurance company should charge individuals or businesses for life insurance, homeowner’s insurance, auto insurance, liability insurance and other kinds of insurance by conducting procedures such as mortality analysis and analysis of other risk factors.
Students don’t need to take any specific stream at their higher secondary level to become an actuary. However since actuarial science is all about data, calculations and statistics, taking Science or Commerce stream with maths would be an added advantage.
To pursue a career as an actuary, it is important that the student has to have deep knowledge of mathematics, probability concepts, analytical and problem-solving skills, and statistics. So take up any of these stream at graduation level would be an advantage as it builds a strong base in analytical skills.
At the first step, the student needs to be a member of the Institute of actuaries of India(IAI) by clearing the Actuarial Common Entrance Test( ACET).You can appear for the entrance just after your class 12th or even if you are a graduate/postgraduate. After becoming a member of IAI, you are required to clear the fifteen papers in actuarial science course provided by the Institute of Actuaries of India. However, clearing 5 papers is enough to fetch you a job as an Actuary at an entry level. There is no defined timeframe to clear the exams, and you can complete them at your own pace.
M.Sc in actuarial science is a 2 year postgraduate program. Candidates with a bachelor's degree in actuarial science or statistics are eligible for admission to M.Sc.
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Critical thinking is highly required as they have to critically analyse the data and come to conclusions.
Actuaries have to analyse and find the current trends and complex patterns to predict how it will affect certain events in the future.
Computer skills are highly required as actuaries have to use statistical tools and programming languages.
One of the main duties of actuaries is to calculate the risks in various fields using principles of calculus and probability. Good mathematical skills would therefore be an asset.