Actuarial Science is a study of mathematics, economics and business which is studied for the purpose of understanding the practicalities of business and ways of managing financial risks. Running a business is fraught with uncertainties as the companies running them have to be financially sound and also give the customers their dues. To manage these operational issues, study of Actuarial science comes in handy.
Insurance companies stand to benefit the most by employing Actuaries. Actuaries are those who practice Actuarial science. Insurance companies and pension companies promise to give some benefits to their customers in return for the investment which they make. So much needs to be paid and when to pay needs some mathematical and statistical calculations based on the liabilities. This is where the Actuary comes in. He should be a person of sound judgment along with having a sound knowledge of actuarial science. As he is the person who is going to be responsible for any uncertainties which may arise in future.
Actuarial science is also applied in study of financial organizations to study their liabilities and understand them. In case of banks and retailers, this study helps in the understanding of assets, their maintenance and other finances.
The Actuarial science course consists of a solid foundation course in math's, statistics and economics and on all types of investments. By the end of the course, the students will have acquired a sound knowledge of the subject matter which is really mandatory as they will be holding very important positions in the company, which will be solely dependent on their analysis.
An actuary can work for an insurance company, Government Company, accounting firm, in technical departments initially and then progress into management category. In addition to the full time graduate course, candidates also have to appear for examinations if they have to qualify for company positions. The entry level salaries depend on the academic performance, skills and the results of the examinations undertaken. An Actuary can also work in the field of education, in investment or banking companies or in companies that write software with financial applications.
Actuaries help companies to make financial forecasts and decisions by applying analytical skills to today's business and economic problems. Some actuaries are involved in technical work while others create financial products for their companies. Actuaries can do multi tasks and depending on their job description they can even rise to the top level cadre.