In addition, Modern Actuarial Theory and Practice, Second Edition features a full index, a full glossary of terms, and a full electronic resource for the text. The book is written in the first-person from the perspective of a student, to reflect the “real world” experience of an academic actuarial student in the UK. There is a chapter on how to make actuarial practice an enjoyable experience, which helps alleviate the feeling of being a “clerk”, with traditional actuarial questions included at the end of the chapter. Chapter 11 covers the basics of financial economics, and Chapter 12 looks at the economics of actuarial theory and practice. This book is part of a whole series of books on Financial Economics for Actuaries.
The text provides a comprehensive and accessible introduction to the basic principles of actuarial thinking, including the actuarial method, the objects and types of actuarial problems, and the elements of risk. It then explores the actuarial process from the perspective of the fundamental tools of data and modelling, including risk assessment, reporting, and verification. In the context of modern actuarial practice, the chapter on valuation highlights the importance of economic, financial, and statistical foundations for the actuarial discipline.
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