YCMOU-AST Syllabus V45 BScActuarial Science

School of Architecture, Science and technology
Yashwantrao Chavan Maharashtra Open University
Syllabus
V45:B.Sc. Actuarial
Science
2011
AST, YCMOU, NASHIK 422 222, MS, INDIA
CONTENTS
Syllabus For V45: B.Sc. (Actuarial Science) ................................................................................... 5
Basic Information ................................................................................................................... 5
Programme Calendar.............................................................................................................. 5
Eligibility and Fees .................................................................................................................. 6
Semesters and Courses ........................................................................................................... 6
Evaluation Pattern.................................................................................................................. 7
Semester 01 ................................................................................................................................ 8
S04011: Mathematics for Actuaries ........................................................................................ 8
Programme Information ........................................................................................................... 8
Course Information .................................................................................................................. 8
Presumed Knowledge and Learning Objectives ........................................................................ 8
Units ......................................................................................................................................... 8
Details Syllabus ......................................................................................................................... 9
Learning Resource Details ........................................................................................................ 9
S04012: Descriptive Statistics ............................................................................................... 11
Programme Information ......................................................................................................... 11
Course Information ................................................................................................................ 11
Presumed Knowledge and Learning Objectives ...................................................................... 11
Units ....................................................................................................................................... 11
Details Syllabus ....................................................................................................................... 12
Learning Resource Details ...................................................................................................... 12
S04013: Interest Rates and Annuities .................................................................................... 14
Units ....................................................................................................................................... 14
S04014: Basics of Accounting ................................................................................................ 16
Units ....................................................................................................................................... 16
Semester 02 ........................................................................................................................... 19
S04021: Business Economics - I ............................................................................................. 19
Units ....................................................................................................................................... 19
S04022: Probability and Distributions ................................................................................... 22
Units ....................................................................................................................................... 22
Syllabus For V45: B.Sc. (Actuarial Science)
Page 1

S04023: Advanced Applications of Annuities......................................................................... 25
Units ....................................................................................................................................... 25
S04024: Corporate Finance ................................................................................................... 27
Units ....................................................................................................................................... 27
Semester 03 ........................................................................................................................... 30
S04031: Business Economics - II ............................................................................................ 30
Units ....................................................................................................................................... 30
S04032: Estimation and Hypotheses Testing ......................................................................... 33
Units ....................................................................................................................................... 33
S04033: Life Insurance: Principles, Products, Practices .......................................................... 36
Units ....................................................................................................................................... 36
S04034: Communication and Research Methodologies ......................................................... 39
Units ....................................................................................................................................... 39
Semester 04 ........................................................................................................................... 42
S04041: Stochastic Processes ................................................................................................ 42
Units .................................................................................................................................... 42
Page 2

S04042: Survival Analysis...................................................................................................... 44
Units ....................................................................................................................................... 44
S04043: Non-life Insurance: Principles, Products, Practices ................................................... 47
Units ....................................................................................................................................... 47
S04044: EXCEL, MACROS With Visual Basic ........................................................................... 50
Units ....................................................................................................................................... 50
Semester 05 ........................................................................................................................... 53
S04051: Risk Models for General Insurance........................................................................... 53
Units ....................................................................................................................................... 53
S04052: Reserving and Time Series ....................................................................................... 56
Units ....................................................................................................................................... 56
S04053: Business Environment and Enterprise Risk Management ......................................... 59
Units ....................................................................................................................................... 59
S04054: Actuarial Applications Using EXCEL .......................................................................... 62
Units ....................................................................................................................................... 62
Semester 06 ........................................................................................................................... 65
Page 3
S04061: Life Insurance Pricing............................................................................................... 65

Units ....................................................................................................................................... 65
S04062: Reserving and Joint Life Distributions ...................................................................... 67
Units ....................................................................................................................................... 67
S04063: Portfolio Theory Development ................................................................................ 69
Units .................................................................................................................................... 69
S04064: Derivative Pricing and Risk Management ................................................................. 72
Units ....................................................................................................................................... 72
Page 4
SYLLABUS FOR
V45: B.SC. (ACTUARIAL SCIENCE)
BASIC INFORMATION
1.
2.
3.
4.
5.
6.
Mode of Education: Full time residential face-to-face mode of education enhanced with
ELearning support.
Minimum Programme Duration: 3 years after HSC (12th) or Equivalent
Required Study Efforts: 720 Hours in each semester
Medium of Instruction: English
Attendance: Minimum 75% attendance for all courses.
Equivalence Status:
a.
UGC recognized and approved
b. DEC recognized and approved
c.
Study centers approved by Directorate General of Shipping
d. Recognized by Government of Maharashtra for MPSC jobs
PROGRAMME CALENDAR
SN Activity Description
Admission
01 Further Admission
02 Fresh Admission
Teaching - Learning
03 Teaching - Learning
04 TeachingLearning Backlog Clearing
End Exam (EE) Form Submission
05 EE Form Submission by students at SC
06 EE Form Submission by SCs at University
Continuous Assessment (CA) Submission
07 CA Availability on website
08 CA Submission by Students at SC
09 Provisional CA Report by SCs
10 Final CA Report Submission by SCs at
University
End Examination (EE)
11 EE for Theory Courses
12 EE for Practical, STW, SV or PW Courses
Semester End Vacation

13 Semester End Vacation
Odd semesters like

01, 03, 05 and 07
From 01-Aug Till 31 Jan
Even semesters like

02, 04, 06 and 08
From 01-Feb Till 31-Jul
From 05-Jun Till 05-Jul

From 05-Jun Till 05-Aug
Not Offered
Not Offered
From 01-Aug Till 13 Nov From 01-Feb Till 16-May

From 14-Nov to 04-Dec From 17-May to 04-Jun
On or Before 30-Sep
On or Before 05-Oct
On or Before 31-Mar
On or Before 05-Apr
From 01-Aug Till 30 Nov From 01-Feb Till 30-May

01-30 Nov
01-30 May
On or before 31-Dec
On or before 30-Jun
On or before 31-Jan
On or before 31-Jul
From 05-Dec Till 14-Dec From 05-Jun Till 14-Jun

Immediately after the
Immediately after the
last day of end exam for last day of end exam for
theory courses, but
theory courses, but
positively before 05-Jan positively before 05-Jul
From 08-Jan Till 31-Jan
From 08-Jul Till 31-Jul
Page 5
ELIGIBILITY AND FEES

Admission Eligibility
Certification Eligibility
Fees and Deposit / Semester
HSC (10+2) or equivalent pass + Min 50% or as specified for the
Desc
INR
USD
Aptitude Test
respective course in the syllabus
UF
8,400
840
or better marks
For
Successful
SCF
42,000
4,200
in total 24 courses (subjects)
Admission to
completion
ATF
500 one 50 one
of total 96 credit points
of all courses
time
time
at Semesters 01-06.
at following
EF
1400/T/P 140/T/P
semester is
Total
56,000
5,600
Aggregate performance and
essential
AFA
28,000
2,800
Class in the programme shall be
Sem 05
Sem 01
LD
2,000
200
reported on the basis of only
Sem 06
Sem 02
semesters 05-06.
SEMESTERS AND COURSES

SN
Code
Name
Semester 01: 16 CPs

01 S04011 Mathematics for Actuaries
02 S04012 Descriptive Statistics
03 S04013 Interest Rates and Annuities
04 S04014 Basics of Accounting
Semester 02: 16 CPs
05 S04021 Business Economics - I
06 S04022 Probability and Distributions
07 S04023 Advanced Applications of Annuities
08 S04024 Corporate Finance
Semester 03: 16 CPs
09 S04031 Business Economics - II
10 S04032 Estimation and Hypotheses Testing
11 S04033 Insurance - Principles, Products and Practices
12 S04034 Communications and Research
Methodologies
Semester 04: 16 CPs
13 S04041 Stochastic Processes
14 S04042 Survival Analysis
15 S04043 Non-Life Insurance - Principles, Products,
Practices
16 S04044 EXCEL, MACROS with Visual Basic
Semester 05: 16 CPs
17 S04051 Risk Models for General Insurance
18 S04052 Reserving and Time Series
19 S04053 Business Environment and Enterprise Risk
Management
20 S04054 Actuarial Applications Using EXCEL
Semester 06: 24 CPs
21 S01061 Life Insurance Pricing
22 S01062 Reserving and Joint Life Distributions
CA
EE
TM Type CPs Passing

%
20
20
20
20
80
80
80
80
100
100
100
100
T
T
T
T
4
4
4
4
50%
50%
50%
50%
20
20
20
20
80
80
80
80
100
100
100
100
T
T
T
T
4
4
4
4
50%
50%
50%
50%
20
20
20
20
80
80
80
80
100
100
100
100
T
T
T
T
4
4
4
4
50%
50%
50%
50%
20
20
20
80
80
80
100
100
100
T
T
T
4
4
4
50%
50%
50%
20
80
100
50%
20
20
20
80
80
80
100
100
100
T
T
T
4
4
4
50%
50%
50%
20
80
100
50%
20
20
80
80
100
100
T
T
4
4
50%
50%
Page 6
SN
Code
Name
23 S01063 Portfolio Theory Development

24 S01064 Derivative Pricing and Risk Management
CA
EE
20
20
80
80
TM Type CPs Passing

%
100
T
4
50%
100
T
4
50%
EVALUATION PATTERN
SN
1
Type of
Course
Theory (T)
Continuous Assessment
1.
Student is required to answer

1 of 1 SAQ, each of 5 marks,
on each CP
Single attempt only
Marks: 5 Marks for each CP
Duration: Specified 1 Month
CAT: Continuous Assessment
Time is 1 hr for each C.P.
Student is required to submit
Activity Report for each CP
in the prescribed format.
Single Attempt only
Marks: 5 Marks for each CP
Duration: Specified 1 Month
CAT: Continuous Assessment
End Examination
Student is required to answer 1 of

1 SAQ, each of 5 marks, on each CP
2. Student is required to answer 1 of
2.
2 LAQs, each of 15 marks, on each
3.
CP
4.
3. Maximum 5 Attempts only
5.
4. Marks: 20 Marks for each CP
5. Duration: 45 minutes for each CP
2 Practical (P) 1.
1. External and internal examiners shall
assess each student based on:
a.
Conduct of One Randomly
2.
Selected Practical Activity 5
3.
Marks
4.
b. Viva-Voice - 5 Marks
5.
c.
Journal (Workbook) - 5 Marks
and
d. Report of Practical Activity - 5
Marks
3 Project Work 1. Student is required to submit 5. External and internal examiners shall
(PW)
Activity Report for each CP
assess each student based on:
in the prescribed format.
a.
Project Proposal and Review of
2. Single Attempt only
Literature - 5 Marks
b. Project Results and Report - 5
4. Duration: Specified 1 Month
Marks
5. CAT: Continuous Assessment
c.
Presentation - 5 Marks and
d. Viva-Voce - 5 Marks
Actual CA and EE marks shall be used in computation of Total Marks (TM). Grace Factor and
Total Marks (TM) shall be used in computation of Percentile marks. Only percentile marks shall
be reported for each course in the mark-statement. For successful completion, minimum 50%
marks shall be essential for each course. Only best of the past performance shall be reported.
1.
Page 7
SEMESTER 01
S04011: MATHEMATICS FOR ACTUARIES
PROGRAMME INFORMATION
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Nashik - 422 222, Maharashtra, India
Website: http://www.ycmou.com/
School of Architecture, Science and Technology
Science
UG
V45: B.Sc. (Actuarial Science)
COURSE INFORMATION
Sem Code Course Name
01 S04011 Mathematics for Actuaries
CP CST CAT ST CA EE TM Type

4 40 4 120 20 80 100 T
PRESUMED KNOWLEDGE AND LEARNING OBJECTIVES

Presumed Knowledge
Learning Objectives
Course Objectives: After successful completion
of this course, student will be able to do:
Deal with mathematical expressions

involving expansions, summations
and Integration
For successful completion of this course, student
Solve complex equations

should have successfully completed:
Estimate future values based on past

values
10+2 or HSC or ISC with Math as
compulsory subject
Perform mathematical analysis

involving limits, differentiation,
integration
Handle complex mathematical

expressions in various actuarial
applications
UNITS
UN Name of the Unit
1 Sequence
2 Summation of Series
3
Convergence and Divergence
4
5
6
7
Determinants
Matrices
Iterative methods of solving equations
Numerical Integration
CSs
Questions
Students have to answer
CP Block 01
'1 of 1' SAQ in CA and
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
01-10
these units.
CP Block 02
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
11-20
these units.
Page 8
8
9
10
11
Functions
Limits
Derivatives and Partial Derivatives
Applications of Derivatives
CP Block 03
CSs
21-30
CP Block 04
12 Integration
CSs
31-40

'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
UN Detail Syllabus of the Unit

1 Sequence: Arithmetic sequence, geometric sequence, arithmetic-geometric sequence.
2 Summation of Series: Arithmetic, Geometric, Arithmetic-geometric series, r, r2, r3
3 Convergence and Divergence: Concept and Tests
3
4
5
6
7
8
9
10
11
CP
Bock
01
Determinants: structure, evaluation, properties, Cramers Rule

Matrices: Types, Operations, Inverse, Eigen values and Eigen vectors
CP
Iterative methods of solving equations: Newton- Raphson Method and other methods Bock
02
Numerical Integration: Simpsons Rules, Trapezoidal Rule
Functions: constant, linear, polynomial, algebraic, logarithmic, exponential
Limits involving algebraic, exponential, power, logarithmic functions
Continuity: Concept and types
CP
Derivatives and Partial Derivatives

Bock
Applications of Derivatives: Interpretation, Increasing/Decreasing Functions, Maxima- 03
minima
n
x
12 Integration with emphasis on definite integration. Integration of (ax+b) , exp (ax+b), a .
Use of transformation. Integration by parts, Gamma function and Beta functions as
CP
integrals.
Bock
13 Applications of Integration.
04
14 Differential Equations.
15 Difference-differential Equations.
LEARNING RESOURCE DETAILS

LR
Title
Code
Author
Text-Books
S04011-TB1
S04011-TB2
Reference-Books
Higher Algebra
S04011-RB1 Hall and Knight
Edition ISBN
Year
Publisher
9781402179655
Macmillan and Co,
London
Page 9
College Algebra
T G Kulkarni and Kelkar
Calculus: Early Transcendentals
S04011-RB3 James Stewart
S04011-RB2
S04011-RB4
Calculus
James Stewart
13:9780534393212
2002 Brooks/Cole Pub
Company
13:9780534393397
2002 Thompson Learning
CD / DVD
S04011-CD1
S04011-CD2
Web Links
S04011-WL1 http://www.sosmath.com/algebra/algebra.htm
http://homepages.nyu.edu/~jmg336/html/mathemati
S04011-WL2
cs.html
S04011-WL3 http://www.trillia.com/zakon1.html
S04011-WL4 http://ocw.mit.edu/OcwWeb/index.htm
Page 10
S04012: DESCRIPTIVE STATISTICS

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04012 Descriptive Statistics
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
Learning Objectives
Calculate various statistical measures

Interpret them
10+2 or HSC or ISC with Physics as
Estimate future values based on past

compulsory subject
values
in various actuarial applications
UNITS
UN Name of the Unit
1 Data
2 Graphs and Diagrams
3 Elements of Sample Survey
4 Measures of Locations
5
6
7
8
Measures of Central Tendency

Measures of Dispersion
Concepts of Skewness and Kurtosis
Raw and Central Moments
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
9 Bi-variate Linear Correlation and Regression CP Block 03

Analysis
10 Least Squares Method and Curve Fitting
CSs
11 Time Series
21-30
12 Index Numbers
13 Finite Differences And Difference Table.
14 Operators
CP Block 04
CSs
31-40
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 11
DETAILS SYLLABUS
CP
Block
Data: Types, Sources, Classification, Frequency Distribution, Stem and Leaf diagram.
1
Graphs and Diagrams: Frequency Curve, Cumulative Frequency Curve, Pie Diagram.
2
CP
Elements of Sample Survey: Census and Sample survey, Methods of selecting sample,
3
Bock
sampling and non-sampling errors.
4
01
Measures of Locations: Median, Quartiles, Deciles, Percentiles, Quantiles, Box plot.
Measures of Central Tendency: Arithmetic Mean, Geometric Mean, Harmonic Mean,
5 Median, Mode.
6 Measures of Dispersion: Range and its Coefficient, Semi inter-quartile range and its
Coefficient, Mean Deviation and its Coefficient, Standard Deviation and Coefficient of CP
Variation.
Bock
7 Concepts of Skewness and Kurtosis.
02
8 Raw and Central Moments. Measures of Central tendency, dispersion, skewness and
kurtosis based on moments.
9 Bi-variate Linear Correlation and Regression Analysis: Karl Pearsons Coefficient,
Regression Coefficients and Regression lines.
CP
10 Least Squares Method and Curve Fitting: Linear, Quadratic, Power, Exponential Curves Bock
Time Series: Components, Estimation of Trend: Freehand Curve, Moving Averages, 03
11 Exponential Moving Average, Least Squares Method.
Index Numbers: Aggregative Index No., Price Relatives as Index No., Special Index
12 Numbers, Cost of Living Index Number, Cost Inflation Index for long-term asset valuation
in India, Real Income.
CP
13 Finite Differences And Difference Table:
Bock
04
Newtons interpolation formula and Lagranges interpolation formulae.
14 Operators : and E. Difference equations: Solution of (Ea)(E-b) Ux = 0 when a = b and
when a b.

Title
Edition
Author
Year
Text-Books
Descriptive Statistics
6th
S04012-TB1
R. J. Shah
2010
S04012-TB2
Reference-Books
John Freunds
Mathematical Statistics with
7th
S04012-RB1 Applications
2003
Miller, Miller
LR Code
S04012-RB2
Elementary Statistics
Mario Triola
S04012-RB3 Statistics
ISBN
Publisher
Sheth Publishers
Rs 125.00
10:131427067
Prentice Hall India
Jan 13:9780321369185
2006 Prentice Hall
2003 Insurance Institute of
Page 12
M.G. Diwan and R. Ramkrishnan
India
CD / DVD
S04012-CD1
S04012-CD2
Web Links
S04012-WL1
http://sofia.fhda.edu/gallery/statistics/resources.ht
ml
S04012-WL2
Page 13
S04013: INTEREST RATES AND ANNUITIES

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04013 Interest Rates and Annuities
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
Learning Objectives
Find present value, real value of

money
Make financial values at different

times comparable by
10+2 or HSC or ISC with PCM Group
inflating/deflating them
Use them for decision making in

various actuarial applications
Field Work and/or Home Assignment: Students are expected to complete 1 Field Work and/or
Home Assignment having 20% weightage in total evaluation.
UNITS
UN Name of the Unit
1 Time Value of Money
2 Interest Rates
4 Real and Money Interest Rates

5 Discounting and Accumulating
6 Level Annuity
7 Deferred and Increasing Annuities
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
CSs
21-30
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 14
8 Equations of Value
9 Loan Schedules

'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
CP Block 04
CSs
31-40
DETAILS SYLLABUS
CP
Block

Time Value of Money:
1
Cashflow Models
2
Simple interest, Compound Interest, Present value of a future payment
3
Interest Rates: Nominal rate, effective rate, force of interest
Real and Money Interest Rates: Effect of inflation on money rates

CP
4 Discounting and Accumulating: Present value and accumulated value of a stream of
Bock
5 payments using specified interest rates and net present value at a real rate of interest
02
assuming a constant rate of inflation.
CP
Bock
03
6 Level Annuity: Compound interest functions-I

7 Deferred and Increasing Annuities: Compound interest functions-II
Equations of Value: Definition and applications

8
CP
Loan Schedules: Flat rate, Annual effective rate, Loan repayment schedules with
9
Bock
payment of equal capital components or payment of equal installments with varying
04
interest and capital components.

LR Code
Title
Author
Edition
Year
ISBN
Publisher
ActEd Study Material

Subject CT1
2010
Actuarial
Company
acted@bpp.com
Text-Books
S04013-TB1
S04013-TB2
Reference-Books
The Theory of Interest
S04013-RB1
Kellison
S04013-RB2
Actuarial Mathematics
Bowers, L. Newton
Education
Jan
2006
0256091501
Irwin Mc-Graw Hill
2nd
0938959468
Society of Actuaries
CD / DVD
S04013-CD1
S04013-CD2
Web Links
S04013-WL1
Page 15
S04014: BASICS OF ACCOUNTING

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04014 Basics of Accounting
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge

Learning Objectives
Interpret the basic accounting items
Understand how the accounting

statements of an insurance company
would differ from the other
companies
Construct and analyze the base

financial statements
UNITS
UN Name of the Unit
1 Introduction to Accounts
2 Basic Accounting Terms
3 The Main Accounts
4
5
Generating Accounts
Depreciation
6 Reserves
7 Group Accounts
8 Insurance Company Accounts
CSs
Questions
CP Block 01
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
01-10
these units.
CP Block 02
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
11-20
these units.
CP Block 03 Students have to answer
CSs
'1 of 1' SAQ & '1 of 2'
21-30
LAQs in end exam on
Page 16
CP Block 04
9 Accounting Ratios
CSs
31-40
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
1 Introduction to Accounts: Introduction to Accounts and Accounting Standards. Basic

Accounting Concepts. Contents of Annual Report. Directors Report. Auditors report.
International Financial Reporting Standards.
CP
2 Basic Accounting Terms: Credit, Debit, Asset, Liability, Income, Expense.
Bock
The Main Accounts: Profit & Loss Account (PLA), Balance Sheet (BS) & Cash flow 01
3 Statement (CFS).
4 Generating Accounts: Construct PLA, BS, and CFS.
5 Depreciation: Concept, Methods of calculation
CP
Bock
02
Reserves: types and uses.

6
Group Accounts: Holding Company, Subsidiary Company, Minority holding,
7
Consolidated Balance Sheet.
8
Insurance company accounts: Technical and Non-technical Account, PLA, BS.
CP
Bock
03
Accounting Ratios: Accounting Ratios to assess security of loan capital and their
interpretation. Accounting Ratios to enable shareholder analysis and their CP
9 interpretation.
Bock
Limitations of Accounts.
04
Financial Institutions

LR Code
Title
Author
Edition ISBN
Year Publisher
Text-Books
S04014-TB1
Subject CT2
2010 Actuarial
Education
Company
acted@bpp.com
S04014-TB2
Reference-Books
Accounting and financial fundamentals for nonfinancial 1996 AMACOM,
S04014-RB1
executives Robert Rachlin & Allen Sweeny.
York
Accounting Fundamentals
S04014-RB2 William Ruland
2001
S04014-RB3 Managerial Accounting Garrison
Jan
New
0324023618
Cincinnati, Ohio:
South-Western
College Pub.
Irwin Professional
Page 17
Noreen, Brewer
CD / DVD
S04014-CD1
S04014-CD2
Web Links
S04014-WL1 http://freevideolectures.com/business.html
S04014-WL2
2005
Pub
Page 18
SEMESTER 02
S04021: BUSINESS ECONOMICS - I

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04021 Business Economics - I
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
Learning Objectives

Course Objectives: After successful

completion of this course, student
will be able to Use knowledge of the
business
economics
and
microeconomic principles to increase
their understanding of the markets in
which we operate, the regulatory
issues and the ramification of
strategic decisions.
Field Work and/or Home Assignment: Students are expected to complete 1 Field Work
and/or Home Assignment having 20% weightage in total evaluation.
UNITS
UN Name of the Unit
Economic concepts
1 Demand and Supply
2 Elasticity and Uncertainty
3
CSs
CP Block 01
CSs
01-10
CP Block 02
4 Consumer Demand And Uncertainty
CSs
11-20
CP Block 03
5 Perfect Competition
CSs
21-30
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
Page 19
CP Block 04
6 Products , Marketing And Advertising
CSs
31-40
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Economic concepts: Scope of economics in terms of allocation of scarce resources

1 Demand and Supply : Demand Determinants, Demand function and Demand Curve,
CP
2 Supply function and supply curve, Market and Equilibrium between Supply and Demand
Bock
3 Effect of Controls on Market
01
Elasticity and Uncertainty: Definition, Implications, Factors influencing elasticity
Consumer demand and Uncertainty: Consumer demand and Uncertainty
4 Production and Costs
Revenue and Profit
CP
Bock
02
Perfect Competition and Monopoly : Perfect Competition and Monopoly

Imperfect Competition
CP
Bock
03
Products , Marketing And Advertising: Products , marketing and advertising

6 Growth strategy and globalization
Pricing Strategies
CP
Bock
04

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04021-TB1 Subject CT7
2010
Actuarial
Company
acted@bpp.com
Economics for Business

John Sloman and Kevin Hinde
Reference-Books
Economics by Begg David
S04021-RB1 Stanley Fischer and Rudiger Dornbusch
4th
2007
978-0-273-70908-4
Prentice Hall
7th
2003
007 7099478
McGraw Hill
17th
2001
McGraw Hill
4th
1990
John Wiley
9th
1999
Oxford University Press
S04021-TB2
Economics
S040021-RB2 Samuelson Paul A,
Northadus William D
Economics
S040021-RB3 Wonnacott Paul
Wonnacott Ronald
Principles of Economics
S040021-RB4 Lipsey Richard Chrystal Alec
Education
Page 20
CD / DVD
S04021-CD1
S04021-CD2
Web Links
S04021-WL1 http://freevideolectures.com/economics.html
S04021-WL2
Page 21
S04022: PROBABILITY AND DISTRIBUTIONS

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04022 Probability and Distributions
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
Learning Objectives
Calculate probabilities of various

events
Define random variables and

determine their distributions
Understand the basic statistical

analysis tools
Learn their use in various actuarial

applications
UNITS
UN Name of the Unit
1 Combination and Permutation
2 Binomial Expansion
3 Taylors series expansion
4 Discrete Random Variables
5 Continuous Random Variable

6 Compound Distribution
CSs
Questions
CP Block 01
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
01-10
these units.
CP Block 02
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
11-20
these units.
CP Block 03
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
21-30
these units.
Page 22
CP Block 04
7 Standard Continuous Distributions
CSs
31-40

'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Combination and Permutation: Selection count, arrangement count with/without

repetition
n
n
1 Binomial Expansion: (a+b) , (1+x) with positive integer, negative integer, fractional
CP
2 index
Bock
3 Taylors series expansion: Binomial, Logarithmic, Exponential
01
Probability of Simple and Compound Events, Conditional Probability, Independence of
Events, Addition Theorem, Multiplication Theorem, Bayes Theorem
Discrete Random Variable :
Discrete Random Variable-I: Univariate Discrete Probability Distribution and related
functions and measures: Probability Mass Function, Cumulative Probability Distribution
Function. Derivation of Probability mass function of a function of a random variable.
Mathematical Expectation.
4 Discrete Random Variable-II: Median, Percentiles, Mode, Variance, Moments, CP
Coefficients of Skewness and Kurtosis.
Bock
Probability Generating Function, Moment Generating Function and Moments, Cumulant 02
Generating Function and Cumulants.
Standard discrete probability distributions and their applications: Discrete Uniform
Distribution, Bernoullis Distribution, Binomial Distribution, Poisson Distribution,
Geometric Distribution, Negative Binomial Distribution, Hypergeometric Distribution.
5 Continuous Random Variable: Joint probability mass function of discrete random
variables, Marginal and conditional distributions, Covariance and Correlation
Coefficient.
Continuous Random Variable: Univariate Continuous Probability Distribution,
Probability Density Function, Cumulative Distribution Function, Expectation, Median,
Percentiles, Mode, Variance, Moments, Coefficients of Skewness and Kurtosis, Moment
Generating Function and Moments, Cumulant Generating Function and Cumulants
Derivations of Probability density function of a function of a random variable.
CP
Joint probability density function of random variables, Marginal and conditional Bock
distributions, Covariance and Correlation Coefficient, Joint Moment generating function 03
of two random variables.
Conditional expectation of one random variable given the value of another variable
Mean and Variance of a random variable from expected values and variance of values of
conditional expectation/variance.
M.G.F. of bivariate distribution.
6 Compound Distribution: Concept, Expressions for Mean, Variance, M.G.F. and their use.
7 Standard Continuous Distributions:
CP
Page 23
Standard Continuous Distributions-I: Uniform Distribution or Rectangular Distribution, Bock

Exponential Distribution, Gamma Distribution
04
Standard Continuous Distributions-II: Normal Distribution, Lognormal Distribution,
BetaI and Beta-II Distribution, Chi-square Distribution, t- Distribution and F
Distribution
Central Limit theorem and normal approximation

LR Code
Title
Author
Edition ISBN
Year Publisher
Text-Books
S04022-TB1
Statistical Methods
R. J. Shah
2010 Sheth Publishers

Rs 120.00
S04022-TB2
Reference-Books
Statistics
S04022-RB1
S04022-RB2
John Freunds
Applications
Miller, Miller
S04022-RB3
Mario Triola
Insurance Institute of
2003 India
7th 10:131427067
2003 Prentice Hall India
Jan 13:780321369185
2006 Prentice Hall
CD / DVD
S04022-CD1
S04022-CD2
Web Links
S04022-WL1
http://sofia.fhda.edu/gallery/statistics/resources
.html
S04022-WL2
Page 24
S04023: ADVANCED APPLICATIONS OF ANNUITIES

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04023 Advanced Applications of Annuities
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
Learning Objectives
Appraisal of projects for selecting the

best
Analyze impact of series of cashflows

Understand behavior of interest rates

for use in various actuarial
applications
UNITS
UN Name of the Unit
Project Appraisal
CSs
CP Block 01
CSs
01-10
Compound Interest Problems
3 Investments
4 Term structure of Interest Rates
5 Arbitrage Pricing
CP Block 02
CSs
11-20
CP Block 03
CSs
21-30
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 25
CSs
31-40
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Project Appraisal Methods: NPV, IRR, Payback Periods. Money-weighted and time- CP
1
weighted rates of return and linked IRR on an investment or a fund
Bock
01
Compound Interest Problems: Compound Interest Problems in various forms of CP

actuarial applications
Bock
02
Investments: Government Securities, Other Fixed Interest Securities, Equities, Real

3 Estate, Commodities, Numismatics, etc.
Term structure of Interest Rates: Par yield, yield to maturity, spot rates and forward CP
4 rates. Duration and convexity of a cashflow sequence and their use in Redington Bock
03
immunization of portfolio of liabilities
CP
Bock
04
Arbitrage Pricing, Derivatives: Forward and Future Contracts, their pricing; Options
5 Stochastic Interest Rate Models

Title
Author
Edition
Year

2010
Actuarial
Company
acted@bpp.com
Jan
2006
0256091501
Irwin Mc-Graw Hill
2nd
0938959468
LR Code
ISBN
Publisher
Text-Books
S04023-TB2
Reference-Books
The Theory of Interest
S04023-RB1
Kellison
S04023-RB2
Bowers, L. Newton
Education
CD / DVD
S04023-CD1
S04023-CD2
Web Links
S04023-WL1
S04023-WL2
Page 26
S04024: CORPORATE FINANCE

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
V45: BSc (Actuarial Science)
COURSE INFORMATION
01 S04024 Corporate Finance
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
Course Prerequisites:
S04011
S04014
Learning Objectives
Understand fundamentals of
Corporate Finance
Evaluate projects
Determine right sources of finance

for a project
UNITS
UN Name of the Unit
1 Key Principles Of Finance
2 Company Ownership
3 Medium term sources
4 Short term sources
5
6
7
8
Taxation
Financial Instruments
Issue of Shares
Derivatives
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
9 Weighted Average Cost of Capital
CSs
21-30
CP Block 04
10 Methods of Project Evaluation

CSs
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
Page 27
31-40
LAQs in end exam on

these units.
DETAILS SYLLABUS
CP
Block
1
2
3
4
Key Principles Of Finance: The key principles of finance, Role of Directors and
Managers, Agency Theory
Company Ownership : Sole trader, partnership firm, limited company (private and
public), limited liability partnership in UK
CP
Sources of Finance for an Organization.
Bock
01
Medium term sources: Hire purchase, credit sale, leasing, bank loans.
Short term sources: Bank overdraft, trade credit, factoring, bill of exchange, commercial
paper.
5
6
7
8
Taxation: Personal taxation, Company taxation, Capital Gains tax, other taxes, doubles
taxation relief.
Financial Instruments: debenture stocks, unsecured loan stocks, Eurobonds, preference
shares, ordinary shares, convertible unsecured loan stocks, convertible preference
shares, warrants, floating-rate notes, subordinated debt, options issued by companies.
CP
Issue of shares:
Bock
Methods of obtaining a quotation: offer for sale, offer for sale by tender, offer for
02
subscription, placing, introduction.
Right Issue, Scrip Issue.
Derivatives: forward contracts, future contracts, options and swaps. Their
characteristics and uses for hedging
Weighted Average Cost of Capital: Cost of equity, Cost of debt and WACC.
Modigliani and Millers two propositions of irrelevance
9
Capital Asset Pricing Models (CAPM)
Capital Structure and Dividend Policy, Share buyback.
CP
Bock
03
Methods of Project Evaluation: Cost of Capital for the Company, Cost of Capital for a
project.
CP
Methods of Project Evaluation: NPV, IRR, Payback Period, etc.
10
Bock
Evaluation of risky projects
04
Risk Analysis and dealing with risks. Risk matrices, Risk analysis, Stochastic modeling,
Risk mitigation.

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04024-TB1

Subject CT2
2010
Actuarial
Company
acted@bpp.com
Education
S04024-TB2
Page 28
S04024-TB3
Reference-Books
Principles of Corporate Finance
S04024-RB1 Brealey, Myers, Allen
2006
13: 9780073130828
Irwin Professional Pub
Essentials of Corporate Finance

S04024-RB2 Ross, Westerfield, Jordan
1996
13: 9780072946734
Irwin Professional Pub
CD / DVD
S04024-CD1
S04024-CD2
Web Links
S04024-WL1 http://freevideolectures.com/business.html
S04024-WL2
Page 29
SEMESTER 03
S04031: BUSINESS ECONOMICS - II
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04031 Business Economics - II
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S04021
Learning Objectives
of this course, student will be able to
Understand how Government or

regulator can handle money supply to
control inflation and enhance growth
prospects
Use
knowledge
of
the
macroeconomic
principles
to
interpret the economic environment
and to make informed judgments as
to suitable assumptions to make
regarding future inflation, returns on
investment, stock market behavior,
exchange rates and economic growth
needed for actuarial estimation.
UNITS
UN Name of the Unit
Government Intervention
CSs
Questions
CP Block 01
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
01-10
these units.
Page 30
International Trade
Macroeconomic Environment
Business Activity

'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
11-20
these units.
CP Block 03
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
21-30
these units.
CP Block 04
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
31-40
these units.
CP Block 02
DETAILS SYLLABUS
CP
Block

Government Intervention: Government intervention in markets
1 Government and the firm
Supply-side policy
CP
Bock
01
International Trade: International Trade

Balance of Payments and Exchange Rates
CP
Bock
02
Macroeconomic Environment : The Macroeconomic environment

Money and interest rates
CP
Bock
03
Business Activity : Business activity, unemployment and inflation

4 Demand-side macroeconomic policy
CP
Bock
04

LR Code
Title
Author
Edition ISBN
Year
Publisher
Text-Books
2010
Actuarial
Education
Company
acted@bpp.com
Economics for Business

John Sloman and Kevin Hinde
Reference-Books
Economics
S04031-RB1 Begg David, Stanley Fischer and Rudiger
Dornbusch
4th
2007
978-0-273-70908-4
Prentice Hall
7th
2003
007 7099478
McGraw Hill
S04031-RB2 Economics
17th
McGraw Hill
S04031-TB2
Page 31
Samuelson Paul A, Northadus William D

Economics
S04031-RB3
Wonnacott Paul Wonnacott Ronald
S04031-RB4
Principles of Economics
Lipsey Richard Chrystal Alec
2001
4th
1990
John Wiley
9th
1999
Oxford University Press
CD / DVD
S04031-CD1
S04031-CD2
Web Links
S04031-WL1 http://freevideolectures.com/economics.html
S04031-WL2
Page 32
S04032: ESTIMATION AND HYPOTHESES TESTING

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04032 Estimation and Hypotheses Testing
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S04012
S04022
Learning Objectives
of this course, student will be able to:
Estimate parameters in statistical

models
Test hypotheses for significance
Lay strong foundation of statistical

inference for a variety of applications
including actuarial ones
Home Assignment having 20% weightage in total evaluation
UNITS
UN Name of the Unit
1 Order Statistic
2 Point and Interval Estimation
3
Methods of Point Estimation
Testing of Hypothesis
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
Chi-Square Tests
5 Simulation
6 Non-Parametric Tests
7
CP Block 03
8 Large Sample Tests

9 t-tests
CP Block 04
CSs
21-30
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 33
10 F-tests & ANOVA
CSs
31-40
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Order Statistic: Concept, their p.d.f. for a single order statistic

Point and Interval Estimation: Concepts. Population, Sample, Parameter, Statistic,
1
Estimator, Estimate, Bias, Mean Square Error, Standard Error. Unbiasedness, CP
2
Consistency, Sufficiency. Confidence Interval, Confidence Coefficient.
Bock
3
Methods of Point Estimation: Method of Moments, Method of Maximum Likelihood 01
Estimation. Properties of M.L.E. Cramer-Rao Lower Bound.
Testing of Hypothesis: Simple and composite hypothesis, Null and alternative
hypothesis. Decision Criterion, Type I Error, Type II Error, Critical region, Level of
Significance, Power.
Tests of Significance, Most Powerful test, NP Lemma, Uniformly Most Powerful Test.
CP
4
Likelihood Ratio Tests
Bock
Sampling Distributions of sample mean and sample proportion. Large Sample Tests as 02
Applications
of
Normal Distribution:
Tests
for
One/Two
Population
Mean(s)/Proportion(s)
Chi-square tests: Test for One Normal Population Variance, Test for Goodness of Fit,
Tests for Independence of Attributes
Simulation: Distribution of Y=F(x), Pseudo Random Numbers, Selecting random samples
5
from discrete population, continuous population. Acceptance Rejection Method. Monte CP
6
Carlo simulation.
Bock
7
Non-parametric tests: Sign test, Wilcoxon Signed Ranks test, Stevens Grouping of Signs 03
test, Runs test, Wilcoxon - Mann-Whitney test, Kolmogorov Smirnov test, Kruskal-Wallis
H test
Large Sample Tests: Large sample tests for Population Correlation Coefficient(s) using
Fishers z-transformation
8 t-tests : Tests for Mean(s) of One/Two Normal Population Mean(s), Paired t-test, Test CP
9 for Significance of Bivariate Normal Population Correlation Coefficient, Test for Bivariate Bock
10 Normal Population Regression Coefficient
04
F-tests, ANOVA: Two Normal Population Variance Test, Several Population Means test
as ANOVA

LR Code
Title
Author
Edition ISBN
Year Publisher
Text-Books
S04032-TB1
Statistical Methods
R. J. Shah
2010 Sheth Publishers

Rs 120.00
S04032-TB2
Page 34
Reference-Books
Statistics
S04032-RB1
John Freunds
S04032-RB2 Applications
Miller, Miller
S04032-RB3
Mario Triola
Insurance Institute of
India
7th 10: 131427067
2003 Prentice Hall India
Jan 13:9780321369185
2006 Prentice Hall
CD / DVD
S04032-CD1
S04032-CD2
Web Links
S04032-WL1
http://sofia.fhda.edu/gallery/statistics/resources.ht
ml
S04032-WL2
Page 35
S04033: LIFE INSURANCE: PRINCIPLES, PRODUCTS, PRACTICES

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
Life Insurance:
01 S04033
Practices
Principles,
CP CST CAT ST CA
Products, 4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
None
Learning Objectives
Understand Purpose and Process of

insurance
Understand legal environment in

India
Use these understandings in

designing insurance contract needs
the purpose and products of life

insurance
processes from acceptance of

application till closure due to claim or
otherwise
understand products of employee

benefits
UNITS
UN Name of the Unit
Concept, Risk Transfer Tool
1 Insurance Principles
2 Legal Environment
3
4 Life Insurance Organization
5 Plans of Life Insurance
6 Group Insurance
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
Page 36
7 Other Special Need plan

Applications, Underwriting And Acceptance.
8 Policy Document
9 Premium
10
11
Types Of Claims Under A Life Insurance Policy
CP Block 03
CSs
21-30
CP Block 04
CSs
31-40
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Concept, Risk Transfer Tool: Concept of Risk. Classification of Risks. Assessment of Risk.
Transfer of Risk. Insurance as tool to transfer of risk.
1 The Concept of Insurance Classification of Insurance
CP
2 Principles of Insurance: Basic, Economic, Legal, Financial and Actuarial.
3 Legal Environment: Legal framework- special legislations applicable to life insurance Bock
01
Insurance Act, 1938, Life Insurance Corporation of India Act1956, IRDA Act 1999, IRDA
Regulations, Agents Regulations, Consumer Protection Act, 1986, Ombudsman.
4
5
6
7
Life Insurance Organization: Life Insurance Organization Indian context- The

distribution system.
Insurance intermediaries - Life insurance Agents: functions, appointment and
continuance, remuneration,
Agents Regulations. Trends in Global scene.
Plans of Life Insurance: Plans of Life Insurance term insurance, whole life insurance, CP
endowment assurance, money back, education annuity, childrens plans, mortgage Bock
redemption type plans, annuities and individual pension plans.
02
Group Insurance: Group Insurance Nature and Type, Gratuity liability, Group
Superannuation Schemes, Social Security Schemes.
Other Special Need Plans: Industrial assurance, micro insurance, salary savings scheme,
sickness and disability cover with unit linked schemes.
Applications, Underwriting And Acceptance: Proposal form and related documents,

Documents for proof of age, Medical reports, special medical reports, underwriting of
proposal.
8
Policy Document: Policy document, policy conditions, duplicate policy, alteration, types CP
9
of revivals including calculations.
Bock
10
Premium: Premium calculation, Days of grace, Non-Forfeiture Options, Lapse and 03
Revival Schemes.
Assignment and Nomination.
Types Of Claims Under A Life Insurance Policy: Types of claims under a life insurance CP
11 policy survival benefit, maturity claims, early death claims, death claims, Accident Bock
benefit and disability benefit claims, claims under critical illness settlement options 04
Page 37
including calculations.
Benefit transfer, Discontinuation, Calculations of surrender values and loan values.
Defined Benefit and Defined Contribution Pension Plans.
Valuation, Bonus and Distribution of surplus.

Edition
Year
ISBN
Publisher
Text-Books
S04033-TB1
S04033-TB2
Reference-Books
S04033-RB1 Principles of Insurance
2010
Insurance Institute of India
S04033-RB2 Practice of Life Insurance
2010
S04033-RB3 Life Insurance Vol. I, II
2002
ICFAI University Press
S04033-RB4 Pension Systems, A New Focus
2002
S04033-RB5 Insurance Underwriting

CD / DVD
S04033-CD1
S04033-CD2
Web Links
S04033-WL1
S04033-WL2
2006
LR Code
Title
Author
Page 38
S04034: COMMUNICATION AND RESEARCH METHODOLOGIES

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
Communication
01 S04034
Methodologies
and
CP CST CAT ST CA
Research 4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
None
Learning Objectives
understand:
how to research on a topic
how to write a research paper
how to write a good resume
how to prepare for an interview
Field Work and/or Home Assignment: Students are expected to complete 1 Research Paper and 1
Power point presentation having 20% weightage in total evaluation.
UNITS
UN Name of the Unit
1 Research Methodology
2 Writing a Research Paper
Writing A Business Letter Involving Actuarial
3 Subject
4 Summarizing A Report
Making a power point presentation
6 How to write a Resume

7 Preparation for Interview
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
CSs
21-30
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 39
CSs
31-40
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Research Methodology: survey, data collection to analysis, modern technology on

1 surveys, citations.
CP
2 Writing a Research Paper: Writing a Research Paper, Reading a research Paper, Bock
throughput planning.
01
Writing A Business Letter Involving Actuarial Subject: Communication with
current/potential Policyholder, Communication with non-technical head in the
3
CP
organization.
4
Bock
Summarizing A Report Having Actuarial Content emphasis on communicating
02
complex topics in simple ways.
Making A Power Point Presentation: Power point presentations dos and donts, CP
animation, slide simplicity, delivery to an audience, slide notes.
Bock
03
How to write a Resume: standard formats, presentation of unique traits

CP
6
Preparation for Interview: Responding to Behavioral questions and technical questions, Bock
7
04
Body Language

LR Code
Title
Author
Text-Books
S04034-TB1
S04034-TB2
Reference-Books
S04034-RB1 CA3
Basics of Research Paper Writing and
S04034-RB2 Publishing
Michael Derntl
Edition ISBN
Year
Publisher
Education
2010 Actuarial
Company
acted@bpp.com
Creative
2009 License:
Commons AttributionNoncommercial-Share
Alike 3.0
S04034-RB3 Communication in Organisation

Jaico Publications
Dalmar, Fisher
S04034-RB4 Business Communication: Process and Product
South Western College
Publication
Mary, Allen, Guffey
S04034-RB5 Research Methodology-A Step-by-Step Guide for
Education,
2nd.ed, Pearson
Beginners, Kumar Ranjit
2005 Singapore
S04034-RB6 Resume Magic: Trade Secrets of a Professional 4th JIST Works
Page 40
Resume Writer, Susan Britter Whitcomb

Edition
S04034-RB7 Winning at Interviews
2nd Pearson Education
Edgar Thorpe and Showick Thorpe
Edition
CD / DVD
S04034-CD1
S04034-CD2
Web Links
http//www.damngood.com
Www.damngood.com/jobseekers/tips.html
S04034-WL1
ww.damngood.com/catalog/exmpl/coverLtrGuide.h
tml
http//www.internationalgraduate.net
S04034-WL2
Www.internationalgraduate.net/resume.htm
Page 41
SEMESTER 04
S04041: STOCHASTIC PROCESSES
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04041 Stochastic Processes
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S04011
S04022
S04032
Learning Objectives
Understand the basic characteristics

of stochastic processes
Analyze actuarial models involving

stochastic processes
UNITS
UN Name of the Unit
1 Principles Of Actuarial Modeling
2 Stochastic Processes
Markov Chains
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
The General Markov Model
CP Block 03
CSs
21-30
CP Block 04
5 Markov Jump Processes

CSs
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
Page 42
31-40
LAQs in end exam on

these units.
DETAILS SYLLABUS
CP
Block
Principles Of Actuarial Modeling: Principles of Actuarial Modeling

1
CP
Stochastic Processes: Definition, types. Stationary Process, Weakly stationary process.
2
Bock
Markov property, Filtration, Poisson process
01
Markov Chains: Basic features, Chapman-Kolmogorov Equations, Time-homogeneous

and time-inhomogeneous Markov chains, Model for No Claim Discount policy, Simple CP
Random Walk, A model for accident proneness, Stationary probability distribution, Bock
Irreducibility, Modeling using Markov Chains
02
4 The General Markov Model: assumptions, analysis. A simple two decrement model
CP
Bock
03
Markov Jump Processes: Time-homogeneous Markov jump processes. Structure of CP

5 Markov jump processes. Time-inhomogeneous Markov jump processes. Applications to Bock
mortality and morbidity models
04

Title
Author
Edition
Year

2010
LR Code
ISBN
Publisher
Text-Books
S04041-TB2
Reference-Books
S04041-RB1
Bowers, L. Newton
S04041-RB2
Survival
London
models
and
their
estimation,
Actuarial
Company
acted@bpp.com
Education
2nd
0938959468
1988
Actex Publications
CD / DVD
S04041-CD1
S04041-CD2
Web Links
S04041-WL1
S04041-WL2
Page 43
S04042: SURVIVAL ANALYSIS

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04042 Survival Analysis
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S04011
S04022
S04032
Learning Objectives
o
Estimate values of various
components of life table through
deeper understanding of their
constitution and processes involved
in data collection and refining thereof
UNITS
UN Name of the Unit
1 Survival Models
2 Exposed To Risk
3 Distribution Of Future Lifetime, Censoring

4 Kaplan-Meier Model, Nelson-Aalen Model
5 Regression Model
6 Binomial And Poisson Models
7 Graduation And Statistical Tests
8 Methods Of Graduation
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
CSs
21-30
CP Block 04
CSs
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
Page 44
31-40
LAQs in end exam on

these units.
DETAILS SYLLABUS
CP
Block
Survival Models: Distribution of Future Lifetime, Force of Mortality, Rates of Mortality,

1 Expectations of Life, Gompertzs law and Makehams law.
CP
2 Exposed to Risk: Principle of Correspondence, Exact calculation of initial exposed to risk Bock
and central exposed to risk.
01
Distribution Of Future Lifetime, Censoring: Censoring in mortality investigation. Its
3 various types and illustrations.
CP
4 Kaplan-Meier Model, Nelson-Aalen Model: Estimating the lifetime distribution function Bock
using the Kaplan-Meier and Nelson-Aalen models.
02
Regression Model: Cox Regression Model: Parametric models for the hazard function.
Covariates, Form of Cox model. Proportional hazard model, estimating regression
parameters, partial likelihood, hypothesis testing.
5 Binomial And Poisson Models: Binomial Model: Basic model, Balduccis assumption, CP
6 generalized model, actuarial estimate, strengths and weaknesses.
Bock
Poisson model.
03
Comparison of the two models.
Initial exposed to risk.
Graduation and statistical tests: Process of Graduation, Necessity, Desirable properties
of graduated estimators. Tests: Chi-square test, standardized deviation test, sign test, CP
7
cumulative deviation test, grouping of signs test, serial correlations test
Bock
8
Methods of Graduation: Graduation by parametric formula, Graduation by reference to 04
a standard table, Graphical graduation. Effect of duplicate policies.

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04042-TB1

Subject CT4
S04042-TB2
Reference-Books
S04042-RB1
Bowers, L. Newton
S04042-RB2
Survival models and their estimation

London
2010
Actuarial
Company
acted@bpp.com
Education
2nd
0938959468
1988
Actex Publications
CD / DVD
S04042-CD1
S04042-CD2
Page 45
Web Links
S04042-WL1
S04042-WL2
Page 46
S04043: NON-LIFE INSURANCE: PRINCIPLES, PRODUCTS,

PRACTICES
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
V45: B.Sc.(Actuarial Science)
COURSE INFORMATION
CP CST CAT ST CA
01 S04043 Non-life Insurance: Principles, Products, Practices 4 40 4 120 20
EE TM Type
80 100 T

Presumed Knowledge
None
Learning Objectives
Understand:
Products of Non-life insurance
Rating practices and premium

calculations
Legal environment in India influencing

product design
UNITS
UN Name of the Unit
Insurance Documentation
1 Insurance Types And Scope
2 Special Classes Of Insurances
3
4 Rating Practices And Premium Calculations

5 Underwriting
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
6 New Business And Renewal Procedure
CSs
21-30
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 47
7 Insurance Legislation
8 The Structure Of The Insurance Market In India
9
Health Insurance Products In India.
CP Block 04
CSs
31-40

'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Insurance Documentation: Insurance Forms Proposals Cover Notes Certificates of

Insurances Policies Endorsements Renewal Receipts
Insurance Types And Scope
1
Scope of Fire, Marine (Cargo and Hull), Motor, Miscellaneous Accident, Aviation, CP
2
Engineering, Liability, Professional Indemnity, Agricultural Insurances.
Bock
3
Special classes of insurances: Oil and Energy, satellite Insurances and Special 01
Contingency covers, Industrial. All Risks, Project Insurances and Advanced Loss of
Profits.
Rating Practices And Premium Calculations: Physical and Moral hazard Rating Practice
(Tariff/ Non-tariff) Bonus / Malus methods of premium calculation Return of
4 premium Pre acceptance risk inspection Risk inspections for special rating and CP
5 premium discounts Periodic inspections of large projects.
Bock
Underwriting: Underwriting practice in India and other important insurance markets 02
Co-insurance and re-insurance practice
New Business And Renewal Procedure : New Business and Renewal Procedure
6 Claims Procedure
Risk management and Risk Control
CP
Bock
03
Insurance Legislation: Insurance Act 1938 (as amended) Other statutes have a bearing
7 on General Insurance Consumer Protection Act 1986 and implications.
CP
8 The Structure Of The Insurance Market In India: The structure of the Insurance market Bock
9 in India Insurance marketing network and customer service.
04
Health Insurance Products In India: Health insurance products in India.

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S01043-TB1
S01043-TB2
Reference-Books
S01043-RB1 Practice of Non-life Insurance
Non-Life Insurance
S01043-RB2
Kumar K B S
CD / DVD

Page 48
S01043-CD1
S01043-CD2
Web Links
S01043-WL1
S01043-WL2
Page 49
S04044: EXCEL, MACROS WITH VISUAL BASIC

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04044 EXCEL, MACROS With Visual Basic
CP CST CAT ST CA
4 60 4 120 20
EE
80
TM Type
100 P

Presumed Knowledge
None
Learning Objectives
of this course, student will be able to :
Understand working with Excel

worksheet
Learn various Excel functions useful in

actuarial analytics
Build Excel macros using visual basic
UNITS
UN Name of the Unit
1 Introduction To Microsoft EXCEL
2 Creating And Operating On Worksheets
CSs
CP Block 01
CSs
01-15
CP Block 02
3 Working With Formats And Functions
4 Creating Charts And Graphics

5 Advanced Features
6 Programming EXCEL With VBA
CSs
16-30
CP Block 03
CSs
31-45
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 50
CSs
46-60
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Introduction to Microsoft EXCEL: Utility, Specifications. Create your first worksheet.

1 Creating and Operating on worksheets: Entering data, editing data, Window view CP
2 controls, working with cells and ranges, Introducing Table, formatting worksheets, using Bock
and creating Templates, printing from worksheets.
01
Working with formats and functions: Introducing formulas and functions.

Creating formulas using functions useful for text manipulation, date and time related CP
applications, counting and summing, formulas to LookUp values, useful for financial and Bock
statistical applications and formulas with array functions.
02
Creating charts and graphics: create and edit charts of the following types: Column, Bar,
Line, Pie, XY charts.
4
CP
Advanced Features: Creating and using outlines, linking and consolidating worksheets,
5
sharing data with other applications, analyzing data using MS Query with external Bock
03
database files, performing what-if analysis, analyzing data using Goal Seek and Solver
Programming EXCEL with VBA: Introduction of VBA Macros, VBA sub procedures and CP
6 VBA functions, Create VBA Macros, record actions to create them. Write VBA Code. VBA Bock
Functions. VBA Examples.
04

LR
Title
Code Author
Text-Books
S04044-TB1
S04044-TB2
Reference-Books
2007 Microsoft Excel Bible
S04044-RB1
John Walkenbach
S04044-RB2
S04044-RB3
Professor Teaches Word, Excel, & Power Point 2007

Learn Excel 2007 Essential Skills with the Smart Method
Mike Smart
Edition ISBN
Year
Publisher
2007 Wiley
Individual
Software, Inc.
2008 www.amazon.c
om
CD / DVD
S04044-CD1
S04044-CD2
Web Links
S04044-WL1
http://www.soa.org
http://www.soa.org/files/pdf/071_bk-ny04.pdf
Page 51
http://www.comaroundfree.com
S04044-WL2 http://www.comaroundfree.com/Office_applications/Micr
osoft_Excel/Excel_2007
http://www.fileguru.com
S04044-WL3 http://www.fileguru.com/apps/run_web_based_applicatio
n_using_vba_macro/p4
Page 52
SEMESTER 05
S04051: RISK MODELS FOR GENERAL INSURANCE
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04051 Risk Models for General Insurance
CP CST CAT ST CA
4 40 4 120 20
EE
80
M Type
100 T

Presumed Knowledge
S04011
S04012
S04022
S04032
Learning Objectives
Develop and analyse models for

Portfolio losses in non-life insurance
applications
Determine risk premium for such

insurances
Use credible experience for premium

decision in various non-life insurance
applications
UNITS
UN Name of the Unit
1 Decision Theory And Its Applications
2 Fundamental Concepts Of Bayesian Statistics
3 Statistical Distributions
4 Reinsurance
5 Classical Credibility Theory
CSs
Questions
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
01-10
these units.
CP Block 02
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
11-20
these units.
CP Block 03 Students have to answer
CP Block 01
Page 53
6 Bayesian Credibility Theory

7 Empirical Bayesian Credibility Theory
8 Compound Distributions
9 Risk Models-I
10 Risk Models-II
CSs
21-30
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
CP Block 04
'1 of 1' SAQ & '1 of 2'
CSs
LAQs in end exam on
31-40
these units.
DETAILS SYLLABUS
CP
Block
Decision Theory And Its Applications: Decision Theory and its applications
Fundamental concepts of Bayesian statistics: Prior distribution, posterior distribution
1
CP
and conjugate prior distribution.
2
Bock
Derivation of posterior distribution for a parameter in simple cases.
01
Loss function, Bayesian estimates of parameters using simple loss functions
Statistical Distributions: Exponential, Gamma, Pareto, Generalized Pareto, Normal,
Lognormal, Weibull and Burr distributions
3
CP
Reinsurance: Excesses (deductibles), Excess of Loss reinsurance and retention limits.
4
Bock
Proportionate reinsurance. Derive the operations of simple forms of proportional and
02
excess of loss reinsurance
Classical Credibility Theory: Credibility premium and Credibility Factor. Minimum
sample size needed for full credibility.
Bayesian Credibility Theory: Bayesian Credibility theory. Individual premium, collective
5
premium and Bayesian premium. Optimality property of the Bayesian premium. CP
6
Calculation of Bayesian credibility estimate.
Bock
7
Empirical Bayesian Credibility Theory: Bayesian Credibility theory vs.
03
Credibility theory. Empirical Bayesian credibility approach as an imitation of
credibility approach. EBCT Model I and EBCT Model II.
Compound Distributions: Compound Poisson, Compound Binomial and Compound
negative Binomial Distributions: Their applications to Aggregate Loss Distributions
Risk Models-I: Derive the distribution and corresponding moments of the claim
8
CP
amounts paid by the insurer and the reinsurer in the presence of excesses (deductibles)
9
Bock
and reinsurance
10
04
Estimate parameters of Failure time or Loss distribution when the data is
complete/incomplete, using maximum likelihood and method of moments
Risk Models-II: Risk models appropriate to short term insurance contracts

Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04051-TB1 ActEd Study Material
2010
Actuarial
LR Code
Education
Page 54
Subject CT6
Company
acted@bpp.com
S04051-TB2
Reference-Books
Construction of Actuarial Models
S04051-RB1
Michael Gauger, Michael Hosking
S04051-RB2
Bowers, L. Newton
S04051-RB3
Introduction to Statistical Modeling

Dobson
Introductory Statistics with Applications in

S04051-RB4 General Insurance
Hoss, Ian, Zehnwirth
S04051-RB5
Loss Models : From Data to Decisions

Klugman, Panjer, Willmot
4th
BPP Professional Education,

Inc.
2nd
0938959468
1983
Chapman and Hall
2nd
1988
Cambridge University Press
John Wiley & Sons
CD / DVD
S04051-CD1
S04051-CD2
Web Links
S04051-WL1
S04051-WL2
Page 55
S04052: RESERVING AND TIME SERIES

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04052 Reserving and Time Series
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S04011
S04012
S04022
S04032
S04041
Learning Objectives
Use experience rating for determining

discounts in the premium
Estimate reserve needed for specified

level of solvency
Analyze time series models
UNITS
UN Name of the Unit
Ruin Theory
2 Simple Experience Rating Systems

3 Run-Off Triangles
4 Generalized Linear Models

5 Monte Carlo Simulation
6 Time Series-I
7 Time Series-Ii
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
CSs
21-30
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 56
CSs
31-40
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
1
CP
Block
Ruin for a risk model: Probability of ruin in infinite / finite and continuous / discrete CP
time and state and explain relationships between the different probabilities of ruin.
Bock
01
Simple Experience Rating Systems: Simple experience rating systems (NCD systems)
2 Run-Off Triangles: Describe and apply techniques for analyzing a delay (or run-off)
3 triangle and determining the ultimate reserve losses and thereby the reserve CP
Bock
requirements. Methods: Basic Chain Ladder Method, Inflation-adjusted Chain Ladder
02
Method, Average Cost Per Claim Method, Bornheutter-Ferguson Method.
Generalized Linear Models: Generalized Linear Model (GLM) and its applications
4 Simulation: Distribution of Y=F(x), Pseudo Random Numbers, Selecting random samples CP
5 from discrete population, continuous population. Acceptance Rejection Method. Monte Bock
Carlo simulation. Determination of number of simulations.
03
Time Series: Stationary, I(0), and integrated, I(1), univariate time series. Stationary
random series, Filter applied to a stationary random series.
Backwards shift operator, backwards difference operator and the roots of the
characteristic equations of time series.
Autoregressive (AR), moving averages (MA), autoregressive moving averages (ARMA)
and autoregressive integrated moving average (ARIMA) time series.
Time Series-II: Discrete random walks and random walks with normally distributed
increments with / without drift.
Time series in the frequency domain.
Multivariate autoregressive model.
CP
6 Cointegrated time series.
Bock
7 Demonstration of certain univariate time series models having Markov properties.
04
Rearrangement of a univariate time series model as multivariate Markov model.
Identification, estimation and diagnosis of a time series with the criteria for choosing
between the models.
Diagnosis test applicable to the residuals of a time series after estimations.
Transfer function model.
Other non-stationary, non-linear time series models.
Simple applications of a time series model, including random walk, autoregressive and
cointegrated models as applied to investment variables.
Deterministic Forecasts from time series data, using simple extrapolation and moving
average models, applying smoothing techniques and seasonal adjustments.
Page 57

Title
Author
Edition
Year

2010
Actuarial
Company
acted@bpp.com
1983
Chapman and Hall
2nd
1986
1988
John Wiley & Sons
LR Code
ISBN
Publisher
Text-Books
S04052-TB2
Reference-Books
Introduction to Statistical Modeling
S04052-RB1
Dobson
Introductory Statistics with Applications in
S04052-RB2 General Insurance
Hoss, Ian, Zehnwirth
S04052-RB3
Loss Models : From Data to Decisions

Klugman, Panjer, Willmot
Education
CD / DVD
S04052-CD1
S04052-CD2
Web Links
S04052-WL1
S04052-WL2
Page 58
S04053: BUSINESS ENVIRONMENT AND ENTERPRISE RISK

MANAGEMENT
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
4
20 80
Business Environment and Enterprise Risk
01 S04053
4 40
120
100 T
Management

Presumed Knowledge
None
Learning Objectives
Analyze Case studies in business in

general and strategic planning in
particular
Understand the risks faced by an

organization as a whole
Use an integrated approach for

managing the risk faced by an
enterprise
UNITS
UN Name of the Unit
CSs
CP Block 01
1 Financial System
CSs
01-10
CP Block 02
2 Professionalism
CSs
11-20
CP Block 03
Introduction To ERM
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 59
CSs
21-30
CP Block 04
4 Operational Risk
CSs
31-40
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block

Financial System: Environment, Markets and Instruments, Intermediaries
1 Macro economy and Financial Service Industry
Strategic Planning and Strategic Management with Case studies for illustrations
CP
Bock
01
Professionalism: Professionalism
Role of Actuary in Financial services Industry
2
Actuarial Applications into different areas with case studies
Actuaries Act India
CP
Bock
02
Introduction To ERM: Introduction to ERM

ERM in Context
ERM in Practice
3
ERM Framework
Hazard Risk
Financial Risk
CP
Bock
03
Operational Risk: Operational Risk

Strategic Risk
Risk Metrics
4
Application of ERM
COSO Pros and Cons
Conclusion
CP
Bock
04

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04053-TB1
S04053-TB2
Reference-Books
Strategic Management : Concepts and Cases
S04053-RB1 Fred David
11th
2006
8120331464
Prentice Hall of India
Rs. 525
Page 60
Strategic Management :
Competitiveness and Globalization, Concepts
S04053-RB2
and Cases
Hitt, Ireland, Hoskisson
2006
0324275285
South-West College Pub
Enterprise
Risk
Management:
S04053-RB3 Incentives to Control
Lam James
2003
0471430005
John Wiley & Sons
2003
Casualty Actuarial Society
S04053-RB4
From
Overview of Enterprise Risk Management

Casualty Actuarial Society ERM Committee
CD / DVD
S04053-CD1
S04053-CD2
Web Links
S04053-WL1
S04053-WL2
Page 61
S04054: ACTUARIAL APPLICATIONS USING EXCEL

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04054 Actuarial Applications Using EXCEL
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 P

Presumed Knowledge
None
Learning Objectives
Deal with mathematical analysis

involving differentiation, integration,
limits
Handle complex actuarial applications
using them
UNITS
UN Name of the Unit
1 Data Cleaning.
2 Using EXCEL, Develop Actuarial Applications
CSs
CP Block 01
CSs
01-15
CP Block 02
3 General Insurance
4 Pension, Employee Benefits

5 Healthcare
6 Capital Market
7 Project Appraisal And Other Applications
CSs
16-30
CP Block 03
CSs
31-45
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 62
CSs
46-60
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Data Cleaning: Understanding of Data. Real-life data. Data cleaning- meaning, need and
methodology.
Using EXCEL, Develop Actuarial Applications In The Following Application Areas:
1
CP
2 Life Insurance: Fitting of Mortality curves, Graduation applications. Estimation of CDF of Bock
Lifespan and plotting observed data and confidence limits. Preparing columns of life
01
table, Calculation of Gross Premium, Net Premium, Profit testing, Joint life applications,
calculating unit prices and unit movements. Calculating simple embedded values.
General Insurance: Scatter plot for loss data, fitting of loss distribution, distribution for
CP
3 aggregate losses, ruin probability, pricing, experience rating, reserving, GLM. Calculating
Bock
simple embedded values.
02
Pension, Employee Benefits: Calculating expected liability for employee benefits such as
Gratuity, Leave Encashment, Pension (Defined benefit), disclosures under accounting
standards, reconciliation and experience adjustments, Funding requirement, Expected
4
CP
Pension based on Defined Contribution, Calculating profits of annuity products.
5
Bock
Healthcare: Expected losses payable on a healthcare policy for different kinds of loss
03
events. Aggregate benefits payable on healthcare policies. Pricing of health policies
using burning cost model floater principles
Capital Market: Calculating Beta from one years period for share prices. CAPM,
calculating volatility. Computing option prices using binomial model and Black-Scholes
model. Accounting disclosures using ESOP guidance note. Interest Rate model
CP
6 applications.
Bock
7 Project Appraisal And Other Applications: Calculation of Discounted Payback period,
04
IRR and NPV. Solving simple and compound interest rate problems. Demonstrating a
comprehension of scenario and stress tests and analysis of sensitivity. Evaluating effects
of internal and external factors on discount rates.

LR Code
Title
Author
Text-Books
S04054-TB1
S04054-TB2
Reference-Books
S04054-RB1 Actuarial Tables
S04054-RB2
Regression Modeling with Actuarial and Financial

Applications, Edward W. Frees
S04054-RB3 Loss Models: From Data to Decisions

S. A. Klugman, H. H. Panjer and G.E. Willmot
Edition ISBN
Year Publisher
2006 Acted@bpp.com
Cambridge
Wiley
Page 63
S04054-RB4 Modern Actuarial Theory and Practice

Phillip Booth
S04054-RB5 Actuarial Models : The Mathematics of Insurance
Vladimir I. Rotar
CD / DVD
S04054-CD1
S04054-CD2
Web Links
www.palisade.com
S04054-WL1 http://www.palisade.com/cases/actuarial_society.a
sp
S04054-WL2
2nd
Chapman and Hall

Chapman and Hall
Page 64
SEMESTER 06
S04061: LIFE INSURANCE PRICING
SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04061 Life Insurance Pricing
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S040011
S04013
S04022
S04042
Learning Objectives
Construct Life Table
Determine premiums for life

insurance plans
Determine premiums/benefits for

benefit plans For individual life
coverage plans
UNITS
UN Name of the Unit
CSs
CP Block 01
1 Life Assurance Contracts
Evaluation Of Assurances And Annuities
CSs
01-10
CP Block 02
CSs
11-20
CP Block 03
3 Net Premiums And Provisions
CSs
21-30
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
Page 65
Variable Benefits And With-Profit Policies
CP Block 04
CSs
31-40
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block

1
Life Assurance Contracts: Life Assurance Contracts

Life Annuity Contracts
CP
Bock
01
Evaluation Of Assurances And Annuities: Evaluation of assurances and annuities

Life Table
CP
Bock
02
CP
Bock
03
CP
Bock
04
3 Net Premiums And Provisions : Net Premiums and Provisions
Variable Benefits And With-Profit Policies: Variable benefits and With-profit policies
4 Gross premiums and provisions for fixed and variable benefit contracts

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04061-TB1

Subject CT5
S04061-TB2
Reference-Books
S04061-RB1
Bowers, L. Newton
S04061-RB2
Life Contingencies Neill

Alistair
S04061-RB3
The analysis of Mortality and other actuarial

statistics
2010
Actuarial
Company
acted@bpp.com
Education
2nd
1997
0938959468
1977
Heinemann
Faculty of Actuaries
CD / DVD
S04061-CD1
S04061-CD2
Web Links
S04061-WL1
S04061-WL2
Page 66
S04062: RESERVING AND JOINT LIFE DISTRIBUTIONS

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04062 Reserving and Joint Life Distributions

4 40 4 120 20 80 100
T

Presumed Knowledge
S04011
S04013
S04022
S04042
S04061
Learning Objectives
Construct Life Table
Determine premiums for life

insurance plans
Determine premiums/benefits for

benefit plans For joint life coverage
plans
Field Work and/or Home Assignment: Students are expected to complete 1 Field Work
and/or Home Assignment having 20% weightage in total evaluation.
UNITS
UN Name of the Unit
Simple Annuities And Assurances Involving Two
1 Lives
Profit Testing
CSs
CP Block 01
CSs
01-10
CP Block 02
CSs
11-20
Competing Risks
4 Pension Funds
CP Block 03
CSs
21-30
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 67
CSs
31-40

'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block
Simple Annuities And Assurances Involving Two Lives: Simple annuities and assurances
CP
1 involving two lives
Bock
Contingent and revisionary benefits
01
2
Profit Testing: Profit testing

Determining provisions using profit testing
CP
Bock
02
Competing Risks: Competing risks

Multiple decrement tables
CP
Bock
03
CP
Bock
04
Pension Funds: Pension funds

4 Mortality, selection and standardization

Title
Author
Edition
Year

2010
Actuarial
Company
acted@bpp.com
2nd
1997
0938959468
1977
Heinemann
LR Code
ISBN
Publisher
Text-Books
S04062-TB2
Reference-Books
S04062-RB1
Bowers, L. Newton
S04062-RB2
Life Contingencies Neill

Alistair
S04062-RB3 The analysis of Mortality and other actuarial

statistics Benjamin
Pollard
CD / DVD
S04062-CD1
S04062-CD2
Web Links
S04062-WL1
S04062-WL2
Education
Faculty of Actuaries
Page 68
S04063: PORTFOLIO THEORY DEVELOPMENT

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04063 Portfolio Theory Development

4 40 4 120 20 80 100 T

Presumed Knowledge
S04022
S04042
Learning Objectives
Understand efficient capital market

environment
Develop Portfolio designing

techniques
Understand Stochastic Calculus

mechanism
Develop understanding of stochastic

models of security prices
UNITS
UN Name of the Unit
CSs
CP Block 01
1 Introduction To Financial Economics
Measures Of Investment Risk
CSs
01-10
CP Block 02
CSs
11-20
Models Of Asset Returns
CP Block 03
3
CSs
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
Page 69
21-30
CP Block 04
4 Brownian Motion And Martingales
CSs
31-40
LAQs in end exam on

these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block

Introduction To Financial Economics : Introduction to financial economics
1 Efficient Market Hypothesis
Utility Theory and Stochastic Dominance
CP
Bock
01
Measures Of Investment Risk : Measures of Investment Risk

Portfolio theory
CP
Bock
02
Models Of Asset Returns: Models of asset returns

Asset pricing models
CP
Bock
03
Brownian Motion And Martingales: Brownian motion and martingales

4 Stochastic Calculus and Ito Processes
Stochastic models of security prices
CP
Bock
04

LR Code
Title
Author
Edition
Year
ISBN
Publisher
Text-Books
S04063-TB1

Subject CT8
2010
S04063-TB2
Reference-Books
Financial economics with applications to 2nd
S04063-RB1 investments, insurance and pensions
1997
Panjer
Modern Portfolio Theory and Investment
S04063-RB2 Analysis Elton
Gurber, Brown
S04063-RB3
CD / DVD
S04063-CD1
S04063-CD2
Web Links
Actuarial
Company
acted@bpp.com
Education
The Actuarial Foundation
John Wiley & Sons
Page 70
S04063-WL1
S04063-WL2
Page 71
S04064: DERIVATIVE PRICING AND RISK MANAGEMENT

SN Description
1 University
2
3
4
5
School
Discipline
Level
Course Used in
Details
Science
UG
COURSE INFORMATION
01 S04064 Derivative Pricing and Risk Management
CP CST CAT ST CA
4 40 4 120 20
EE
80
TM Type
100 T

Presumed Knowledge
S04011
S04013
S04022
S04042
S04063
Learning Objectives
Price derivatives
Design hedging strategies
Analyze interest rate models and use

them for better estimation of future
values in various actuarial
applications
UNITS
UN Name of the Unit
CSs
CP Block 01
1 Introduction To Derivatives
CSs
01-10
CP Block 02
2
Binomial Model
CSs
11-20
CP Block 03
3 Black-Sholes Option Pricing Formula
4 Interest Rate Models

CSs
21-30
CP Block 04
Questions
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
'1 of 1' SAQ & '1 of 2'
LAQs in end exam on
these units.
Page 72
CSs
31-40
'1 of 1' SAQ & '1 of 2'

LAQs in end exam on
these units.
DETAILS SYLLABUS
CP
Block

1
Introduction To Derivatives : Introduction to derivatives

The Greeks
CP
Bock
01
Binomial Model: The Binomial Model

The 5-step method in discrete time
CP
Bock
02
Black-Sholes Option Pricing Formula: The Black-Sholes Option Pricing Formula

3 The 5-step method in continuous time
Arbitrage-free pricing and 5-step method with the Black-Sholes model
CP
Bock
03
CP
Bock
04
Interest Rate Models: Interest rate models

4 Credit Risk models

Title
Author
Edition
Year

2010
Actuarial
Company
acted@bpp.com
6th
2006
Prentice Hall of India
LR Code
ISBN
Publisher
Text-Books
S04064-TB2
Reference-Books
Options, Futures and Other Derivatives
S04064-RB1
Hull
Financial Calculus, an
S04064-RB2 Derivative Pricing Baxter
Rennie
CD / DVD
S04064-CD1
S04064-CD2
Web Links
S04064-WL1
S04064-WL2
Introduction
to
Education
END OF DOCUMENT
Page 73

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School of Architecture, Science and technology

Yashwantrao Chavan Maharashtra Open University

AST, YCMOU, NASHIK 422 222, MS, INDIA

Details Syllabus ....................................................................................................................... 23

Learning Resource Details ...................................................................................................... 43

S04061: Life Insurance Pricing............................................................................................... 65

Syllabus For V45: B.Sc. (Actuarial Science)

Semester End Vacation

Odd semesters like

Even semesters like

From 05-Jun Till 05-Jul

From 01-Aug Till 13 Nov From 01-Feb Till 16-May

From 01-Aug Till 30 Nov From 01-Feb Till 30-May

From 05-Dec Till 14-Dec From 05-Jun Till 14-Jun

Syllabus For V45: B.Sc. (Actuarial Science)

From 08-Jul Till 31-Jul

ELIGIBILITY AND FEES

SEMESTERS AND COURSES

Semester 01: 16 CPs

TM Type CPs Passing

23 S01063 Portfolio Theory Development

TM Type CPs Passing

Student is required to answer

Student is required to answer 1 of

Syllabus For V45: B.Sc. (Actuarial Science)

CP CST CAT ST CA EE TM Type

PRESUMED KNOWLEDGE AND LEARNING OBJECTIVES

Deal with mathematical expressions

Solve complex equations

Estimate future values based on past

Perform mathematical analysis

Handle complex mathematical

Syllabus For V45: B.Sc. (Actuarial Science)

Students have to answer

UN Detail Syllabus of the Unit

Determinants: structure, evaluation, properties, Cramers Rule

Derivatives and Partial Derivatives

LEARNING RESOURCE DETAILS

Syllabus For V45: B.Sc. (Actuarial Science)

Syllabus For V45: B.Sc. (Actuarial Science)

S04012: DESCRIPTIVE STATISTICS

PRESUMED KNOWLEDGE AND LEARNING OBJECTIVES

Calculate various statistical measures

Estimate future values based on past

Measures of Central Tendency

9 Bi-variate Linear Correlation and Regression CP Block 03

UN Detail Syllabus of the Unit

LEARNING RESOURCE DETAILS

M.G. Diwan and R. Ramkrishnan

Syllabus For V45: B.Sc. (Actuarial Science)

S04013: INTEREST RATES AND ANNUITIES

PRESUMED KNOWLEDGE AND LEARNING OBJECTIVES

Find present value, real value of

Make financial values at different

Use them for decision making in

4 Real and Money Interest Rates

Syllabus For V45: B.Sc. (Actuarial Science)

Students have to answer

UN Detail Syllabus of the Unit

Real and Money Interest Rates: Effect of inflation on money rates

6 Level Annuity: Compound interest functions-I

Equations of Value: Definition and applications

LEARNING RESOURCE DETAILS

ActEd Study Material