Actuarial Science Meeting

Thursday, September 4th, 2014 (5:45 - 7:15pm)

110 BusinessRevised 9/24/2014

Introductions (Ron) Career Opportunities Penn State Courses (Officers) Actuarial Exams & VEE Actuarial Science Club Internships Questions

Topics

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# 1 Job in US ( per WSJ )

# 1 School for Recruiters ( per BusinessWeek)

Largest actuarial program in US (50% bigger than #2)

About150 exam passers per year

About ½ from Smeal and ½ from Eberly (Math & Stat)

Center of Actuarial Excellence – only 14 in US

Very Difficult Degree Students with A’s in Calculus and Probability: pass exams, get jobs Students with C’s rarely pass exams/get jobs – try ERM? Some employers only look at students with GPA > 3.5 STAT 414 & SOA Probability Exam – take Sophomore year

Eberly students can transfer to UP early to take STAT 414

Penn State Actuarial Program

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Ron Gebhardtsbauer, FSA Pension Consulting, Insurance, Congress, spokesperson for US profession Teaches RM 410/411/412/415 (Financial Math, Pricing Life Ins & Derivatives)

Zhongyi Yuan, PhD in Actuarial Science Teaches RM 410 (Financial Math) in Fall Has taught RM 420 (C Exam = P&C and Health) in Spring

Yuan Huang: PhD candidate in Statistics Teaching RM 420 this Spring

Brian Johnson, ACAS Works for SwissRe (Property & Casualty Reinsurance Company) helps RM 420

Lisa Weaver, LLD Retirement Consultant, Teaches INS 401 (Pensions) each Spring

Lisa Posey and Dave Cather PhDs teaching Insurance and Risk Management

Actuarial Science Club Officers (Email them your questions) President – Eric Stoltz (interned at AON Hewitt in Chicago) VP – Bradford Conners (interned at CIGNA in Hartford)

Faculty & Club Officers

Insurance, Consulting, Government, Academiao Insuranceo 12-18 Month Rotational Programso Competitive study programs

o Consulting, Investment, and Accounting Firmso Longer hours – especially during busy seasono Dynamic work environment

o Industrieso Life/AnnuityoHealtho Retiremento Property/Casualtyo Reinsuranceo Finance/Investment

Where Do Actuaries Work?

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Seek out companies you’d likeo Internet (e.g., Met Life & AXA only use their

website)o Actuarial Career Fairo Info Sessionso Linked-Ino Your resume on Symplicity

o Used for Club’s Resume Bookleto Pass Actuarial Exams and take all VEE courseso Get involved in student organizationso Keep GPA above 3.20 to get an internship/job

o Talk to:o Students who had Internships: on Club’s websiteo Employers and Alums: on Club’s website

www.clubs.psu.edu/up/actsci

Yr Fall Spring

1st MATH 140* (Calc I) MATH 141* (Calc II)

2nd MATH 230* (Calc III)preferred prereq for 414 per EberlyMATH 220 (Matrices)

STAT 414* (Probability Theory) !!!Take P Exam in May for internshipSTAT 480# (SAS)

3rd R M 410* (Financial Math) Excel Take FM in December (pts in RM 410)

STAT 416# (Stochastic Processes)

R M 411* (Life Contingencies) VBAR M 415 (Derivatives Markets)Take MFE in July (>80% passed!)STAT 415# (Mathematical Statistics)Take CAS’s ST Exam in April

4th R M 412* (Life Contingencies)Take MLC in October (pts in RM 412)STAT 462# (Regression Analysis) Minitab

RM 420 P&C/Health: take C in June orRM401PensionsStat: allows 420 as sub

STAT 463# (Applied Time Series) R

Sample Schedule

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See www.math.psu.edu/ug/advising/vs on whether to place out of 140/141If you got a 5 on the AP exams, I recommend you place out of courseMATH 220 (Matrices) valuable for Markov Chains in RM 412 & MLCSTAT 415 valuable for RM 412 & 420, Exam C, & CAS Exam ST

* C or better required. If C’s, consider other majors # needed for STAT minor

R M 301* (Fall Only)◦Risk & Decisions

R M 320W* (Spring Only)◦Risk Management & Insurance

RM 430* (Fall Only)◦Life & Health Insurance

Eberly students take RM 302 instead

* C or higher required

Smeal Major Required Courses

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◦ SCM 200* Statistics for Business (easy-AP can waive) More business applications than STAT 200, which Eberly students must take

◦ MIS 204* Business Information Systems FIN 301* Finance ACCTG 211* Accounting MKTG 301* Marketing MGMT 301* Management◦ BA 411: Analyzing Business & Industry (BA 412 for Schreyer)◦ B LAW 341 Business Law◦ BA 342 Business Ethics Act Sci students can skip Supply Chain 301

* C or higher required

Consult your degree audit at elion.psu.edu

Sample schedule at Smeal Undergraduate Student Exchange or Club website http://ugstudents.smeal.psu.edu/academics-advising/degree-requirements/majors

Smeal’s Business Core reference

(cover briefly)

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Additional Statistics & Mathematics courses:◦ MATH 220: Matrices (good course for RM 412)◦ STAT 415: Mathematical Statistics (good course for C exam)◦ STAT 461: Analysis of Variance◦ STAT 470W: Problem solving in Applied Statistics◦ STAT 480 (1 credit) or 483 (3 credits): SAS (good course)

◦ STAT 462/463:Applied Regression/Time Series Analysis-VEE◦ 1 from CMPSC 101/102/121/200/201/202: C++,VB,Matlab,Fortran

◦ Select 9 credits from: STAT 416: Stochastic Modeling RM 420: Loss Models (needs a petition, which will be accepted) STAT 440: Computational Statistics STAT 464: Applied Nonparametric Statistics STAT 466: Survey Sampling MATH 436/441: Linear or Matrix Algebra MATH 451/455: Numerical Computations & Numerical Analysis IE 434/436: Quality Control/Industrial Engineering 11

Stat Major -Actuarial Option reference

Additional Mathematics & Statistics courses:◦ MATH 311W & 312: Discrete Math & Real Analysis◦ MATH 251: Ordinary & Partial Differential Equations◦ MATH 220: Matrices (good course)◦ MATH/STAT 415: Mathematical Statistics (good course)◦ MATH/STAT 416: Stochastic Modeling (good course)◦ MATH 486: Game Theory or MATH 451: Numerical

Computations◦ MATH 484: Linear Programming◦ STAT 462: Applied Regression Analysis (good course)◦ STAT 463: Applied Time Series Analysis (good course)◦ CMPSC 101, 121, 201C: Computer Programming◦ IE 425: Operations Research

RM 420: Loss Models? (asking now) 12

Math Major -Actuarial Option reference

Business courses required:◦ ECON 102 & 104: Micro & Macro-Economics ◦ FIN 301: Corp Finance & Financial Markets ◦ RM 302: Risk & Insurance

◦ Replaces RM 301/320/430 so you can take RM 420 !!◦ RM 410*/411*/412*: Actuarial Courses◦ ACCTG 211: Accounting (Stat Majors)

Business courses not required:◦ ACCTG 211: Math Majors don’t need for Fin 301◦ Business Core ◦ B LAW 341 & BA 342: Business Law & Ethics ◦ MIS 204: Intro to Business Information Systems

* C or Higher required13

Eberly Majors -Actuarial Option reference

STAT 483 (3): More SAS – great for Health and P&C jobs CMPSC 102: Intro to VB CMPSC 203: Excel with some Access MATH 220: Matrices MATH 251:Differential Equations with PDEs MATH 412: Partial Differential Equations MATH 451 or 455: Numerical Computations/Analysis MATH 486: Game Theory FIN 305 (2 piece): Financial Mgmt of Business Enterprise FIN 408 (2 piece): Financial Markets and Institutions ECON 302/304: Intermediate Micro/Macro Economics ECON 351: Money and Banking

Other Good Courses to Take reference

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RM Courses 410 (Excel); 411 (VBA); 412 (Pivot Tables) STAT 462: some Minitab used STAT 463: some R used STAT 480: SAS (1 credit) (STAT 483 is really good – 3 cred)

online STAT 497: R CMPSC 203: Excel with some Access CMPSC 101 Intro to C++ CMPSC 102: Intro to VB lynda.psu.edu can also help w VBA CMPSC 200: MATLAB CMPSC 201: C++ CMPSC 202: FORTRAN CMPSC 37C: SQL MATH 451: MATLAB used FIN 414 or 415: VBA used

Courses with Programming

reference

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Given in Harrisburg, Philly, Pittsburg by:◦Society of Actuaries (SOA) Life/Pension/Health/Enterprise Risk Mgmt MLC Exam is given here

◦Casualty Actuarial Society (CAS) Property/Casualty

SOA exams mostly satisfy CAS◦But not vice-versa

Actuarial Exams

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To get internships Internship + 2 or 3 exams for FT job Take FM Exam in December after RM 410◦ Use breaks to pass exams◦ Tough passing FM exam when in RM 411

We cover all 6 exams here◦ Some pass all before graduation◦ Almost Associates in the SoA

We pay $100 if pass See Club’s Exam Passer webpage

Why should I take these exams?

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SOA/CAS Exams Ron

ExamCourse(s

)

SOA Sample Q Best Manual

Take it when? Comments

1/P - Probability

TheorySTAT 414

InfiniteActuary ACTEX or

ADAPT

Sophomore year!!

Otherwise, take in Jan

2/FM - Financial

MathematicsRM 410 ASM

Study it in summerDecember

Don’t take in Feb when in

RM 411

3F/MFE – Financial Econ

RM 415 ASM or ADAPT

July>80% pass

rate!!!

LC/MLC - Life Contingencies

RM 411/412

InfiniteActuary or ADAPT

cheap in last wk

Late October

MLC satisfies CAS’s LC

exam

4/C – P&C and Health Insfrequency/severity/

aggregate

RM 412/420 STAT

415/416

InfiniteActuary or ASM June

Stan says easy after

Zhongyi’s RM 420 class

ST exam (CAS)

STAT 415/416 April

PoissonProcesses & Mathematical

Statistics

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Tutorials at http://instruction.bus.wisc.edu/jfrees/UWCAELearn/default.aspx

Required by SOA, CAS, & Employers ECON 102/104 & FIN 301 required to graduate Must receive a grade of B- or better

◦ Or 4 or 5 on AP tests Apply for VEE credit after passing P & FM

◦Or apply after you get job (& get a raise)◦Other Campuses can use Univ. Park per SOA

Can also get credit by exam thru◦ ACTEX for Finance & Applied Stat VEE’s◦ CLEP for Econ VEE

Validation by Educational Experience: VEE

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Accepted Courses: take one from eachoApplied Regression

STAT 462, STAT 501, or ECON 306 ECON prerequisites can be satisfied by Stat 414

oApplied Time Series STAT 463, STAT 510*, ECON 483*

o You can mix and match Get STAT Minor - if also take:oSTAT 415 (Mathematical Statistics)oSTAT 416 (Stochastic Processes) starting next yearoSTAT 480 (Intro to SAS - 1 credit)

Some get ECON Minor: take ECON 302/304 & 6 credits of 400 level ECON*Gone?

VEE: Applied Statistical Methods

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Penn State Classes

VEE/Exam Course 1 Course 2 Other?

VEE Econ Econ 102 Econ 104

VEE Finance FIN 301

VEE Statistics

STAT 462 STAT 463

or STAT 501/510or ECON 306/483

Exam P/1 STAT 414

Exam FM/2 R M 410

Exam MLC/3L R M 411 R M 412

Exam MFE/3F R M 415

Exam C/4 R M 412 R M 420 STAT 415/6

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Résumé, Symplicity, & Mock Interview◦Wednesday 9/10: 6 – 7:30 PM in 107 Forest Res◦Put resumes on SmealConnect/SciOpps by 9/14◦Must use instructions on Club’s Resume webpage◦RM 411 students must do mock interview by

9/14 Meeting for International Students

◦Monday 9/8: 7 -8 PM in 110 Thomas◦Ideas for internships, jobs, grad school (e.g.,

MAS)

Mentors for Juniors (& interested Frosh/Soph)◦ If interested, email Corey Lutz cel5213@psu.edu

Actuarial Science Club

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Monday 9/22/14 from 5 to 8 PM in Atrium Over 30 companies Great place to find Internships

◦ Even if you don’t have exam: practice interviews◦ 1st & 2nd yr. students can get internships w/o

exams To Attend:

◦ Must do Mock Interview with Mentor by 9/14◦ GPA>3.20, or A’s in Calculus, or Exam Passed◦ Pay Club Dues

Actuarial Science Career Fair

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Company Info Sessions (listed on Club’s Home

Page)

Exam Review Sessions (Club’s Review Sessions

Page)

Tutors for help on exams

Field Trip to Actuarial Employers (Spring)

Speakers Series: AAA President Tom Terry

THON involvement

Junior Liaisons

Actuarial Science Club

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Facebook group◦ https://www.facebook.com/groups/158631222604/◦ Study Manual exchange◦ Questions about Actuarial Exams or PSU Classes◦ Socials

List Serve sign up at www.clubs.psu.edu/up/actsci

Internships

Questions?

Actuarial Science Club

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