Although there has been a recent increase in the number of actuaries working in the field of investment, according to the statistics, 30 years ago there were proportionately more actuaries in investment. Today it is very difficult to get an accurate idea of the number of investment actuaries as they have stopped referring to themselves as actuaries, it seems not to be in fashion!
The area of risk is especially interesting and actuaries should have been, and should be involved, yet very few seem to be CROs. Non-actuaries have been using too much spurious accuracy in determining risk for companies in an area where actuaries could bring some much-needed applied common sense. Actuaries can check a model ‘on the back of an envelope’ and see that it isn’t making sense and doesn’t work. People from other disciplines do not have that additional skill.
This is why, at GAAPS, we have found that actuaries are addictive. Once companies have one actuary, they realise the value of their investment and invariably want more.