ETM2550 · Actuarial mathematics 1

Overview

In this unit, you will be exposed to a comprehensive coverage of foundational principles in financial mathematics and their practical applications across diverse financial scenarios. Building upon the prerequisite knowledge acquired in Probability and Statistics I, you will be provided with a solid understanding of calculating present and accumulated values for various cash flow patterns. The unit places particular emphasis on the practical relevance of these principles, highlighting their application in amortizing loans, pricing financial instruments, valuing assets and liabilities, and effectively managing personal finance. By combining theoretical knowledge with real-world applications, this unit will equip you with the skills needed to navigate complex financial landscapes. Upon unit completion, you will have acquired the necessary knowledge and skills on the essential tools for financial analysis and decision-making to excel in actuarial analytics, and provide sufficient expertise for use in various later units and the actuarial professional examinations.

Offerings

The Handbook publishes no offerings for this unit.

Assessment

The Handbook lists an examination for this unit.

Assessment details may change. Please refer to the assessment information in Moodle closer to the start of the teaching period.

Requisites

Learning outcomes

1. relate the concepts relating to interest rates
2. apply financial mathematics principles to calculate present and accumulated values for various cash flow streams
3. integrate financial software tools and technology to enhance efficiency in financial calculations, modeling, and analysis.

Workload

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. You are expected to complete all pre-class activities prior to your scheduled class, and post-class activities should be completed after your scheduled class. Learning activities may include a combination of teacher directed, peer directed and online engagement activities.

Student experience, not official rules. Nothing here changes what the Handbook says.