Slides from a session at the Society of Actuaries 2010 Life & Annuity Symposium held in May 2010 in Tampa, FL Discussion of the TARP program: formation of the management team and issues – transparency, confidentiality, valuation, asset management and politics - that were addressed.

Slides from a session at the Society of Actuaries 2010 Life & Annuity Symposium held in May 2010 in Tampa, FL Discussion of the TARP program: formation of the management team and issues – transparency, confidentiality, valuation, asset management and politics - that were addressed.

These are presentations from the 2009 ERM Symposium 4/29-5/1/2009 seminar 2. The Basel Accord has encouraged bankers to use company-driven ERM models for financial and nonfinancial risks to determine required regulatory capital. Insurers are using principle-based approaches to develop similar economic-based reserve and capital requirements unique to their business model. ERM implementation is a key component when optimizing results relative to risks taken.

Risk management and capital budgeting are two critical components of the corporate decision process. They often need to be considered jointly at the corporate level because of their natural interaction through the dependent risk exposures and other synergetic relationships within an intricate corporate structure in a dynamic business environment. . This paper develops an integrated framework that aligns these two important corporate strategies across business divisions to optimize the streamlined enterprise strategic goal in a multi-period setting. The proposed integrated framework can serve as a practical guideline for corporate executives to optimally coordinate capital budgeting and risk management at the enterprise level.

2011 SOA Enterprise Risk Management Symposium, Chicago. In this paper, a multivariate quasi-negative binomial distribution is proposed to model frequency dependence among different risk types. The operational risk diversification effect is illustrated through frequency dependency modeled by the bivariate quasi-negative binomial distribution under a framework of Monte Carlo simulation.

Feature article discussing Nassim Taleb’s black swan theory. Taleb points out that banks keep their loans at full value - anchored to the book value of the loan. The solution to the problem is to use mark-to-market reporting and have volatility instead of having no volatility and then experiencing a Black Swan event.

Feature article discussing the too big to fail principle and whether or not strong competition is ideal in terms of the banking industry.

This is an article that discusses the retreat of savings banks from mutuality. As we ponder the future of mutual life insurance, we should be aware of the change sweeping through the mutual savings bank industry.

This article is about a session held at the October 1996 annual meeting, which focused on how actuaries can move beyond traditional employers.

Banks and insurance companies today are addressing many similar issues. Included are product, business unit, and corporate profitability capital requirements and allocation issues reserve adequacy and data development and practical utilizations. Actuaries are uniquely qualified to address these issues.