Description: Description of the increased gamma of the liabilities of a portfolio of variable annuities. Discussion of the sensitivity of gamma due to changes in policyholder behavior.

Description: This article talks about partnering with other risk professionals and the importance of research into the nature of risk and the responses to risk events.

Description: This 2000 word essay won the Joint Management Risk Section 2016 Essay Prize, summarizing the present challenges, potential solutions and Actuarial opportunities.

Description: A critical step in valuing a company for the purpose of financial reporting is the computation of the market value of economic surplus (MVES). This article provides a novel approach to the valuation of MVES that is stable and reasonably immune to “market noise.” Current approaches to the calculation of economic surplus of an insurance company generally define such surplus as the market value of the assets (MVA) supporting the liabilities less the market value of liabilities (MVL). While MVA is observable in the market, MVL is typically computed directly, without regard to the underlying supporting assets. Subtracting MVL from any value of assets that changes with market movements results in an unstable surplus. Consequently, a surplus that is not fully reflective of market sentiment has been rejected by many. This same approach is further used in the calculation of market consistent embedded value (MCEV) when a balance sheet approach is used .

Description: Many call this the sub-prime crisis, but risky mortgages were simply symptomatic of the underlying excesses building through the financial system. Investors, government, lenders and borrowers were all at fault. Where did the skeptics go?

Description: Hear from the chairperson on themes in the December 2016 issue of Risk Management published by the JRMS.

Description: Interest rates rose from 2004 through 2007, so adjustable mortgage rates increased and many borrowers fell behind. After home prices topped out in 2006, speculators and some buyers who had overstretched found it impossible to refinance. This caused mortgage insurance claims. Insurers may want to study others’ missteps.

Description: This article talks about replicating portfolios, a basket of financial instruments designed to replicate, as closely as possible, the value and market sensitivity of a target portfolio of liabilities in different economic scenarios.

Description: The central question is that of viability. Specifically, is the configuration of life insurers’ products and balance sheets economically viable under current accounting and ongoing market conditions?

Description: An abbreviated version of a larger chart produced by the International Actuarial Association.