Faculty of Actuaries facts for kids
The Faculty of Actuaries in Scotland was a group of experts who worked with numbers to help people plan for the future. These experts are called actuaries. The Faculty was based in Scotland. It was one of two main groups for actuaries in the UK. The other group was the Institute of Actuaries, which covered England, Wales, and Northern Ireland. Even though they were separate, they worked very closely. Their training and rules for actuaries were exactly the same. On August 1, 2010, the Faculty of Actuaries joined with the Institute of Actuaries. They became one big group called the Institute and Faculty of Actuaries. This new group took over all the work of the Faculty of Actuaries.
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How the Faculty of Actuaries Started
The Faculty of Actuaries was created on January 4, 1856. Thirty-eight actuaries from Scotland started it. Their goal was to support actuaries working in Scotland.
In September 1868, the Faculty of Actuaries received a special honour. It became the first actuarial group to get a royal charter. A royal charter is like a special permission from the King or Queen. It confirmed the Faculty's role. It also gave them the right to give out official qualifications. This qualification was called the Fellow of the Faculty of Actuaries (FFA). This meant the Faculty could set rules for how actuaries should behave. They could also take action if members did not follow these rules.
Over the years, the Faculty worked more and more closely with the Institute of Actuaries. Before they merged, they ran almost everything together. For example, the main office in Edinburgh helped all actuaries in the UK.
In November 2006, the President of the Faculty suggested they should look into merging. He wanted to see if it was the right time to join the two groups. After looking into it, the Faculty decided to actively try to merge with the Institute.
On April 16, 2008, a special meeting was held. Members voted on different ideas.
- 61% wanted to explore better ways for the groups to work together.
- 58% wanted the leaders to ask all members for their detailed opinions.
- 53% suggested cancelling a planned vote. Instead, they wanted to offer many choices to members.
Because of these votes, both the Faculty and the Institute asked their members what they thought. This survey happened in late 2008. By August 8, 2008, 1,366 Faculty members had voted. 65% of them supported the merger. Also, 6,928 Institute members voted, and 84% supported the merger.
Even with this support, a group called FIDELIS was formed in November 2008. This group was against the merger. It included some past leaders of both groups. A formal vote on the merger happened on July 23, 2009. The Faculty's vote passed, but the Institute's vote did not.
After more discussions with members, a new merger plan was put forward. Members voted again on May 25, 2010. This time, members of both the Faculty and the Institute voted to merge. They decided to form the Institute and Faculty of Actuaries.
After getting approval from the Privy Council (a group of advisors to the Queen), the new Institute and Faculty of Actuaries officially started on August 1, 2010.
Becoming an Actuary: The Exams
To become a qualified actuary through the Faculty, you had to pass exams and complete courses. You could only take the exams after officially joining the Faculty. However, if you had studied similar topics at university, you could sometimes be excused from taking certain exams.
The exams were divided into four main parts:
- Core Technical (CT)
- Core Applications (CA)
- Specialist Technical (ST)
- Specialist Applications (SA)
You could get study materials from the Faculty's official shop or from a company called ActEd.
Besides exams and courses, you also needed to work as an actuary for at least three years. You also had to be at least 23 years old. Only then could you become a "Fellow of the Faculty of Actuaries" (FFA).
Core Exams
The Core Technical section had 8 exams and a "Business Awareness Module" (CT9). These were usually the first exams people took. They covered the main math used in actuarial work. They also introduced financial and economic topics. These were often the exams you could get exemptions for if you studied them at university. Even though they were first, some people found them hard because of the math. Topics included things like annuities, how to model random events, and financial trends.
The Core Applications section had two exams and a modeling course (CA2). These focused on using what you learned, especially for insurance companies. This section also included the communications module (CA3). This tested your ability to explain complex actuarial ideas clearly to others.
Specialist Exams
The Specialist Technical section was the first time you could choose which exams to take. You picked two subjects from areas like Health and Care, Life Insurance, General Insurance, Pensions, Finance, or Investments. These exams helped you gain deeper knowledge in your chosen areas.
The Specialist Applications section allowed you to choose one area for your final paper (SA paper). Passing this paper meant you became a full Fellow. Many people called this the "Fellowship paper." However, the rules changed, so you could sometimes take this exam before finishing all earlier ones.
Types of Members
The Faculty of Actuaries had about 2500 members in different groups:
- Student actuaries were members who were still taking their exams.
- Associates had finished the Core Technical and Core Applications exams. They also had at least one year of relevant work experience.
- Affiliates were members who stayed updated on actuarial news. They could join meetings, research, and conferences.
- Fellows were full members of the Faculty. They had passed all exams and met the work experience rules. Fellows had the right to call themselves 'Actuaries'. There were about 1300 Fellows.
- Honorary Fellows were people chosen by the Council. They were thought to be helpful in promoting the Faculty's goals. They were not professional actuaries themselves.
