We will discuss what a model is and why actuaries make them. We will look at their components and discuss their limitations. We will also compare the stochastic model to the deterministic model and determine how to choose between them. We will also consider stress testing, scenario analysis and sensitivity testing before looking at Time Horizons and communication.
Requirements
Yes: Introduction to the Actuarial Exams
Target audience
Actuarial Students who want to write the profession's exams.
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