Actuarial Theory

Actuarial Theory

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Excerpt from Actuarial Theory: Notes for Students on the Subject-Matter Required in the Examinations of the Institute of Actuaries and the Faculty of Actuaries in Scotland, With Numerous Practical Examples and Exercises

Students preparing for the Second Examinations of the Institute of Actuaries and of the Faculty of Actuaries in Scotland have, to assist them at this stage of their studies, the Text Book of the Institute and Mr George King's Theory of Finance, combined with the Graduated Exercises and Examples of Messrs Ackland and Hardy. But there is good reason for believing that, with the extension of the purely actuarial part of the examinations, these works are no longer sufficient to enable even a careful student to take his examination with confidence. To supply a lack so important is therefore the intention of the authors in compiling this book for students; of whom even those preparing for the later examinations will find some parts of it not unworthy of study. As explained below, however, it is not a substitute for, but merely a supplement to, the works already mentioned, which, it must be urged, there is no intention to disparage in any way. Encouragement to proceed has come to the authors from various directions: from those whom they have had the privilege of assisting in their preparation for examina tions, from their contemporaries in the profession, and, above all, from Mr Thomas G. Ackland, whose Prefatory Note they value very highly, as well as his kindly advice on many points.

Strictly speaking, the book is a compilation of notes on numerous points which are not disposed of in the text books so thoroughly as present-day exigencies require. No claim is made to originality, for that were futile: the matter consists of extracts from contributions to the Journal of the Institute and other professional records, or of explanations and elabora tions of problems and statements contained in the text books. The effort throughout has been to simplify the obscure and to introduce only the essential.

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