Description: This session at the 1989 Valuation Actuary Symposium discusses default or C1 risk. A review of prior work, a new model, and correlation to various factors are presented.

Description: When it happens that a corporate acquisition turns out to be unsatisfactory to the acquiring company, or a merger fails to produce the expected benefits, it often is the case that the initial investigations and financial analyses were not done well. This guide references materials that will provide an overview of the field of mergers and acquisitions.

Description: The COVID-19 pandemic infection has greatly affected the economy, resulting in volatile market conditions. Because market conditions greatly impact the value of insurance company’s assets and liabilities, the fourth survey in this series focused on best practices around asset and liability management (ALM). The survey was directed at actuaries, investment managers and risk managers directly involved in assessing the impact of recent events on ALM. Responses to the survey were collected between April 22-28, 2020. Thirty-two companies responded to the survey.

Description: This article contains the statistics of the equity premium or market risk premium [MRP] uses in 2011 for 56 countries. The paper also contains the references used to justify the MRP and comments from persons that both use and do not use MRP.

Description: This presentation at the 1989 Valuation Actuary Symposium discusses the differences in viewpoint and mind-set between the valuation actuary and the chief investment officer. How these differences played out in an exercise to determine asset strategies is reviewed.

Description: Author's prescient view into the perspectives our corporate leaders will need to adopt in designing financial measures for companies.

Description: This paper describes a new approach of calculating duration by taking a portfolio perspective utilizing the idea of internal rate of return. It is presumed the user has a model for projecting cash flows under different interest rate scenarios and knows the current market value of the portfolio. From Actuarial Research Clearing House 1993, VOL. 3.

Description: The article discusses indexed-linked securities in the United Kingdom and the relationship between the prices of index-linked securities and interest rates, common stock prices and a combination of these.

Description: This article argues that using Economic Capital as a metric does not capture all of the risks. The author suggests an alternative that better meets a corporation's overall risk management needs. This is value-based ERM, which is an approach that makes the quantification of enterprise value central to all aspects of the ERM process. It is a combination of two techniques—enterprise risk management and value-based management, and it captures all of the risks in a single metric.

Description: This article highlights 13 attributes shared by various groups of companies that landed in trouble. The companies are identified, and the attributes are described.