CIA (e)Bulletin/(e)Bulletin de l'ICA

Canadian Institute of Actuaries/Institut canadien des actuaires

June 2013
Your Institute
By Simon Curtis, FCIA
CIA President

As I write this I cannot believe my year as President is already coming to an end—the time seems to have passed by in a flash.

It has left me confident that the profession in Canada is in good hands—we have an engaged leadership at the Board and council level, an efficient and tireless Head Office led by our Executive Director, a strong culture of volunteerism throughout the organization, and a very professional and engaged membership. With our powerful sense of professionalism and integrity, and our core analytic skills in projecting and evaluating the cash flows and risks associated with all forms of financial security programs, I believe as a profession in Canada we are well placed to help provide leadership to address many of the most important issues we face today, from rising health care costs to the implications of increased longevity and low interest rates on pension plan sustainability and the ability to provide other forms of long-term financial security benefits.

Nevertheless, we do live in a time of rapid change in every aspect of our working and social environments, which provides a tremendous challenge to us to remain as relevant as possible and allow our members to use their skills and abilities to maximum advantage.

One of the most important initiatives I believe we undertook over the past year was to look forward and adopt four key strategic long-term goals that the Board feels are central to the long-term future of the Institute and its members in Canada. While I covered these in a previous article, I believe they are worth repeating:
  1. Being a member of the CIA is regarded as essential for all actuaries practising in Canada. All actuaries practising in Canada are active members of the CIA and view the CIA as their primary actuarial affiliation and the body with which they are most engaged.
  2. The CIA is viewed as an educational body, not just an accreditation body. It takes full accountability for the educational path to FCIA (which may involve outsourcing) with the FCIA recognized as being a high-quality stand-alone educational designation (i.e., not having to be aligned to another designation).
  3. Building on its research on financial welfare and risks, the CIA is widely recognized by the Canadian public as the leading contributor to dialogue, analysis, and solutions in all areas related to understanding and quantification of future financial contingencies and risks.
  4. Building on their extensive role in existing practice areas, CIA members are viewed as key contributors in non-traditional fields such as health care and banking.
We are currently working to align the CIA operational and strategic plans around these goals. Over the past few months I and other members of the leadership have had the chance to interact and meet with the leadership of many of our peer actuarial organizations globally. What is interesting is the four themes we have identified in our long-term goals keep coming up as challenges and areas of focus for these other organizations. Essentially, the world is not standing still, and to stay relevant and vital we must find ways to adapt to emerging new fields and areas of practice. How we educate ourselves, position ourselves externally with our public, and promote our actuarial professionalism are central to achieving this. This is particularly important for the younger members of our profession, who will spend a significant part of their careers working in environments likely very different from today. This leads me to one observation on what we as an Institute should strive to do better: getting younger members more involved in leadership roles and roles of influence in the Institute.

We are definitely living and working in interesting times, and now that my year as President is over I am looking forward to continuing to contribute to the Institute and our profession.

Simon Curtis, FCIA, is President of the Canadian Institute of Actuaries

By Bruce Langstroth, FCIA

When talk turns to strategic direction, vision, long-term goals and objectives, and related topics, the Practice Council is not the first thing that comes to mind. The council’s mandate seems much more fundamental—it produces guidance material to help practitioners in their day-to-day work. That doesn’t sound very strategic.

This is not to say that the work of the Practice Council is not important. The council oversees the production of guidance material that defines and narrows actuarial practice within our Standards of Practice. One may certainly view this as having a strategic dimension—the public and other stakeholders benefit from the quality of practice within Canada and the work of the Practice Council supports quality of practice. However, while its work is important, it’s sometimes hard to get your head around how it is strategic.

In 2012–2013, the Board embraced a set of long-term strategic goals. Included in these goals is the aspiration that being a member of the CIA is regarded as essential for all actuaries practising in Canada. While this goal has many potential dimensions, it seems clear that the Practice Council supports it. Membership in the CIA will have less value to practitioners if the guidance material is not useful to them.

Another goal is: "Building on their extensive role in existing practice areas, CIA members are viewed as key contributors in non-traditional fields such as health care and banking." New areas of practice will need to be supported by guidance material, if not standards.

The Practice Council also plays a strategic role in supporting the profession’s public image. Among other things, the Canadian profession can boast of the quality of practitioners, anchored in the Standards of Practice and supporting guidance material. This foundation enables the profession to provide services that meet the public’s expectations.

As we look to the new year, there are a couple of themes that emerge from a strategic perspective:
  1. Ensuring that practitioners are supported by a robust set of guidance material; and
  2. Ensuring that public expectations are met by harmonized approaches across practice areas.
Many practice areas, the traditional ones in particular, are well supported by comprehensive and robust guidance material. Pension and life insurance practitioners, in particular, are very well supported in this regard. Other practice areas, whether small (such as actuarial evidence) or emerging (such as enterprise risk management), are less well served. The Practice Council will be turning more attention to these under-served areas in the coming year.

It is reasonable to assume that the public expects that practice will differ where it makes sense to differ, and will not differ where there is no basis for that difference. Differences in practice that exist because of fundamental differences in the obligations under consideration may make sense, while those that exist solely because of differences in the evolution of practice areas may not. The Practice Council will be turning attention to harmonization of practice (or rationalization of differences) in the new year, acknowledging that some matters may ultimately be a standards question that belongs with the Actuarial Standards Board.

In closing, it is all too easy to forget the Practice Council when thinking about the CIA’s strategic direction. After this discussion, I hope that you, like me, view the council’s activities in a more strategic way.

Bruce Langstroth, FCIA, is Chair of the Practice Council.

The worlds of finance and actuarial science are filled with technical terms that can be a mystery for the newcomer or outsider. Acronyms abound, and even experienced actuaries may find it difficult to stay abreast of changing trends and new developments.

Investopedia aims to inform and explain with its extensive dictionary, which is packed with definitions useful to both financial beginners and experts who might be seeking a one-paragraph explanation of an esoteric concept.

For instance, not everybody will know that experts can use the so-called lipstick effect to judge the condition of an economy (if times are hard, the theory goes, people will turn to low-cost indulgences, so higher lipstick sales mean that the country is struggling). Or they may have heard about zombie banks, and been left in confusion (such banks have negative net worth, and are only kept alive by bailouts).

Here visitors can find the kind of entries and names that would be unlikely to appear on most websites involving financial data. For example, Jennifer Lopez—slang for a rounding bottom in a stock's price pattern—is included alongside Jekyll and Hyde—a term referring to the strengths and weaknesses of a company's financial statements or an asset that suddenly increases or decreases in value. Kangaroos brush shoulders with the Katie Couric Clause, a proposal that publicly-traded companies should disclose not only the salaries of their top five executives, but also those of top-earning non-executives.

Each entry is given a full definition, followed by an explanation of that item's history and its use or relevance in the real world. For instance, the official role of the Canada Revenue Agency (CRA) is described, then Investopedia explains: "Like the Internal Revenue Service, the CRA is the definitive source on current Canadian tax laws, how they are interpreted and how they are applied."

Once visitors have finished dipping into the dictionary to learn about Dagmar, Saber currency, Obamanomics, the Pac-Man defence, the Icarus factor, Walrasian markets, and much more, the site offers a broad range of advice and insight on a range of financial issues. Investment news is accompanied by advice on such subjects as capital budgeting, while market updates are supported by analysis from expert writers.

The Personal Finance section includes articles on topics like online retail tax, whether income tax is a "class tax", and top female chief executive officers. It also offers advice on life stages like retirement, explaining why pension plans can include sovereign debt and how to profit from risk.

Further information is offered by various tutorials on financial topics, while a stock simulator allows visitors to try investing for themselves with an imaginary fund of $100,000.

So, the next time you need to explain about the razor–razorblade model or transumerism, or discover what problem is faced by a yupcap, Investopedia will be able to help.

Pros: the scope of the writing, which covers a very broad audience; the clear design.

Con: some information is repeated across various sections.


Institute News
Congratulations to the CIA members who have been elected to the Board in the 2013 Elections:

President-elect  Secretary-Treasurer 
Jacques Tremblay  John Dark 
New Directors 
Daniel Doyle  Steven Easson  Jean-Yves Rioux  Mercy Yan 

The President-elect will serve a one-year term in that position, followed by a year as President and a further year as Past President. The Secretary-Treasurer serves a two-year term. Directors are elected for three-year terms.

These elected members started their terms following the close of the Annual Meeting on June 21, 2013.

Thank you to all who stood for election.

The Elections Committee

By A. Kim Young, FCIA

In 2008, the Research Committee of the CIA formed the Pension Experience Subcommittee to:
  • Review pensioner mortality experience in Canada; and
  • Develop and maintain a Canadian pension mortality table and improvement scale.
The subcommittee is in the final stages of preparing an exposure draft of its report, which will propose new mortality tables and mortality improvement scales. The new tables and scales are important because they are based on recent Canadian experience. The mortality rates of the new tables are significantly lower than those of UP-94 projected on Scale AA at most ages, indicating that adoption of tables and scales reflecting Canadian mortality experience is warranted.

The Institute commissioned two concurrent experience studies in 2009. The CPP/QPP Study reviewed the experience of pensioners under the Canada Pension Plan (CPP), under the Québec Pension Plan (QPP), and in combination. For the purpose of developing mortality tables, the CPP/QPP Study reviewed the mortality experience of all persons receiving a retirement pension from the CPP and QPP for the calendar years 2005, 2006, and 2007. The results of this study are provided in a report prepared by Louis Adam, FCIA, FSA, entitled "The Canadian Pensioners Mortality Table, Information on mortality for the triennial period ending December 31, 2007, with data as at December 31, 2008".

The CPP/QPP Study also reviewed the trends of pensioner mortality experience since 1967, the first year that pensions became payable under these programs. Results of this study are provided in the Louis Adam report entitled "The Canadian Pensioners Mortality Table, Historical Trends in Mortality Improvement and a Proposed Projection Model based on CPP/QPP Data as at December 31, 2007".

The CPP/QPP Study presents 15 different mortality tables differentiated by three data sources (CPP, QPP, and combined) and by five pension income classifications. Both of the reports resulting from the CPP/QPP Study are available on the Institute’s website (here and here).

The second study, the Registered Pension Plan (RPP) Study, reviewed the experience of a number of Canadian public sector and private sector registered pension plans. The results of the RPP Study will be provided in the subcommittee’s report.

The primary objective of these studies was to build base mortality tables and mortality improvement scales that may be used for actuarial valuations for funding and/or financial reporting purposes for a broad range of Canadian pension plans. Furthermore, it was expected that such tables and scales may be considered for use under actuarial standards of practice for the determination of pension commuted values and the division of pension benefits on marriage breakdown.

The subcommittee’s report will present:

  • Mortality tables based primarily on the experience observed from the RPP Study, including gender-specific tables based on the overall RPP Study data and separate tables based on public and private sector data;
  • Size adjustment factors, for each mortality table developed under the RPP Study, to reflect mortality differences observed by pension income level; and
  • Mortality improvement scales based primarily on the experience observed from the CPP/QPP Study, including a two-dimensional mortality improvement scale and a "transitional" one-dimensional scale that approximates in the near term the financial effect of the two-dimensional scale.
It is expected that the exposure draft will be released in July following its review and approval by the Research Committee and the Member Services Council. It is hoped that the report will generate discussion within the Institute, and the subcommittee will thereby gather constructive feedback on the mortality tables and improvement scales proposed in these studies. A national webcast focused on the results of these studies is currently under consideration for early to mid-September and the period for comment will end September 30.

A. Kim Young, FCIA, is a member of the Research Committee.
Any questions relating to the work of the Pension Experience Subcommittee can be directed to him at

Volunteers’ Corner
By Marcia Gallos, FCIA

As the CIA gets ready for summer hiatus, and my Winnipeg Parks rose bush kicks into high-bloom, my second Volunteers’ Corner tackles the thorny questions:
  • How often should I volunteer?
  • What’s the time commitment?
  • Am I qualified?
  • What’s in it for me?
But first, let’s get to know Minaz Lalani a bit better, and what he has brought to our profession.

Feature Profile: Minaz Lalani

A 2012 recipient of the Silver Award for volunteer service in the CIA, Minaz Lalani (pictured above) chose his time working specifically on the Enterprise Risk Management Applications Committee (ERMAC) as one of several highlights of his volunteering. He said he enjoyed "working with a diligent team" on one of the profession’s recent topics of interest, and the committee contributed to the profession by "developing: a) two ERM booklets; and b) incorporating ERM topics at CIA meetings."

Since becoming an FCIA in 1985, Mr. Lalani has volunteered for a number of other committees and task forces, including the:
  • Task Force on Canadian Eligibility Requirements;
  • Task Force on Individual Savings and Financial Literacy;
  • Elections Committee;
  • Public Relations Committee; and
  • Task Force on Transfer Values.
He said he had the opportunity to hone his actuarial expertise while volunteering: "I have enhanced my technical and analytical skills, specifically in the area of modelling risk, scenario analysis, and ERM."

But he added that volunteering offered him even more: a chance to collaborate for a common goal. "It was a fulfilling experience as I had the opportunity to work with diverse members with different experiences, learn about different topics, and build consensus on those topics."

Thanks for your all your effort, Minaz. We hope that you continue to collaborate with many more committees.

Current Vacancies

The CIA Head Office’s annual review of committee, task force, and council memberships is currently underway. Therefore no vacancies will be advertised this month but the list will return in the September (e)Bulletin.

Through this review, chairs are guided by the CIA Volunteer Management Policy to ensure rotation of their committee by encouraging members to stand down in accordance with the maximum three-year term. Chairs are also encouraged to follow the policy guideline to recruit from the Volunteer Applicant Registry.

Tips and Tricks: A Short FAQ to Help You Get Started
  • How often should I volunteer? A suggested guideline is to volunteer for one term of service for every decade of your career. A term is roughly defined as a three-year membership of a committee. A volunteer can also serve another term as the committee’s chair and/or vice-chair for up to two years. However, only one of these additional leadership terms will count towards total terms of service for award recognition.
  • What’s the time commitment? In a typical three-year term, a volunteer can expect to spend as little as one hour a month on conference calls, plus some incidental e-mail and document review. In some cases, the time commitment is much more significant as members take part in research and standard-setting committees. Calls in these cases can be every couple of weeks, plus e-mail and document preparation. At the high end, volunteer commitment can at times be as much as five to 10 hours a week. Yes, it is a broad range; however, volunteers’ ability/availability is carefully matched to committees. And, when compared to the average TV viewership in the U.S. (more than 30 hours per week), it seems like a relatively good investment.
  • Am I qualified? If you are a member of the CIA, then you are qualified. One of the policies is for committees to maintain balanced representation (geographical, industry, years of experience). Many committees are beginning to actively try to close gaps in their membership, specifically targeting the members that are most reticent to join committees: ACIAs and new Fellows. Please know that there is room for all to participate!
  • What’s in it for me? You have the opportunity to give back to the profession (those Standards of Practice and educational notes didn’t write themselves!) and contribute to the profession going forward (what do the International Financial Reporting Standards mean for us, why is ERM important, what effect do all these biologics have on mortality and morbidity). Although it’s not significant, there is also the recognition from the Institute and your peers through the formal award presentation (I imagine receiving my gold award in 20 or so years). The education in advanced topics, application of technical skills, development of leadership and communication skills—all are waiting for you.
My personal goal is to volunteer for a committee under each council, and also volunteer for each council. I’ve got one rotation nearly under my belt, which qualifies me for the Bronze Award. My challenge to all of the CIA membership is to pick one council that speaks to you and aim to be involved in that council and one of its subcommittees, and earn yourself a Bronze Award.

Getting Started: All You Have to Do is Say Yes!
  1. Go to the CIA website. Log in to the Members section. On the left-hand-side navigation panel, click on My Profile > My Volunteer Profile > Update Volunteer Profile. Once you’ve completed the Update Volunteer Profile form to indicate your skills, experience, and general interests, go to the Modify My Committee and Task Force Interests form to indicate specific volunteer committees that you are interested in joining.
  2. Press your case. If you have a strong interest in a specific committee, contact the CIA or committee chair. They will be happy to provide you with more information or to invite you to a meeting. You can also gain a feel for what each committee does by visiting the Volunteer Booth at many CIA meetings.
  3. Make it a priority. Understand the time commitment required for the volunteer position and set aside time in your schedule. Communicate any concerns to the committee chair and allow them to help you in assessing whether the opportunity is right for you.
  4. Get your employer on board. In many cases, volunteering can actually bring value to your employer. Many committees might overlap with your work or provide you with valuable training and experience. In many cases, you may be able to designate work time towards volunteering.
  5. Stay tuned. Keep reading the Volunteers’ Corner articles in the (e)Bulletin.
  6. Check out the resources for volunteers in the new Volunteer Centre on the CIA website.
Marcia Gallos, FCIA, is Chair of the New Members Committee, former chair of the Committee on Volunteer Initiatives, and a member of the Member Services Council.


In the recently-completed NBA season, the Oklahoma City Thunder were favoured to make it to the finals for the second straight season, and potentially win the championship. But when point guard Russell Westbrook injured his knee in the first round, their fortunes were changed significantly. They were subsequently knocked out in the conference semi-finals, managing just one win against Memphis.

Player injuries represent a significant risk in the sports world. They are normally impossible to predict and have real financial consequences—not just for fans who may have some money riding on their favourite team. Each year, professional sports clubs pay millions of dollars to injured players with guaranteed contracts, and have virtually nothing to show for it.

This combination of uncertain events and financial consequences sounds like an ideal application for actuarial skills, so it should not be surprising that some fellow actuaries have done just that. According to a recent article on the UK-based Actuarial Post website, actuaries at Towers Watson have performed a study on the injury experience of English football’s Premier League. By their estimates, clubs are on course to pay over £100 million (C$160 million) in salaries to players unavailable for at least 30 days due to injury in the 2013–2014 season.

This information is useful to insurers that provide coverage to clubs, but does not in itself provide much relief to the affected teams. That is why, according to Paul Moorshead, a senior consultant with Towers Watson, it would be more useful to identify which players, or groups of players, are more susceptible to injury. Among their findings was the fact that players aged 29–31 who spend 60 per cent or more of their matches on the bench carry a very high injury risk.

You can read about the Towers Watson study on the Actuarial Post website.


Gilbert Lacoste has been working in enterprise risk management (ERM) for more than 10 years, but still discovers fresh and enjoyable challenges and opportunities every day.

He first encountered risk management while at Sun Life, where he dealt with asset liability management (ALM), moved to the corporate office, and then to a business unit where he was responsible for all actuarial aspects including pricing, valuation, and risk management. In 2008 he was appointed as the vice-president, risk and capital management, where he acted as the chief risk officer for Sun Life’s Canadian operation. A year ago he became vice-president of Nexus Risk Management, and he is now responsible for developing and supporting the company’s global ERM practice.

He said: "I worked in the more traditional actuarial areas, but I wanted to have a change and take on different challenges. ALM was evolving, and I was getting excited about that area and risk management in general, which was giving me the opportunity to work with more derivative products. This was an innovative field and I believed in the value that it can bring to an organization.

"At Nexus, I’m very focused on ERM, and I see first-hand the tremendous value ERM adds for companies. Rating agencies and regulators worldwide are placing greater importance on the role of ERM within organizations, which is creating interesting challenges and opportunities for companies right now. Actuaries can be key players in the way that companies and financial institutions develop by helping them make better business strategies and decisions for their own financial health and the benefit of all of their stakeholders."

Nexus has five divisions, all focused on risk management. Mr. Lacoste said: "Worldwide, Nexus works with companies to implement and execute ALM, ERM, and dynamic hedging at the leading edge of industry best practice. We license software to insurance companies in the U.S., Canada, and Asia that enables them to execute sophisticated ALM and dynamic hedging strategies and perform risk optimization. In Canada, we work with one of the leading asset management firms to outsource asset management and ALM for insurance companies, reinsurance companies and pension plans. Through our Chicago office, we provide hedge execution including outsourcing of dynamic hedging for variable annuities and segregated fund products. Nexus is also well known for its risk management training programs, which have been delivered around the world over the past decade. In addition to our public courses, Nexus has trained regulators, rating agencies, central banks, and many large multi-nationals on risk management techniques and practices.

"My role involves a lot of thought leadership, advising clients and business. I’m also part of the faculty for our risk management courses. The best part of the job is the fact that ERM is always evolving, and it seems that I learn something new every day. I really enjoy the interaction with people and getting to see first-hand the practices of not just one company but of all the companies we work with and talk to."

Mr. Lacoste, who has been a Fellow of the CIA and Society of Actuaries since 1995, would not hesitate to recommend ERM to Institute members working in more traditional areas. He said: "It’s a developing field and it is perfect for actuaries; our whole training has been about identifying and managing risks throughout all functions of a business such as strategy, operations, mergers and acquisitions, and product development. We look at both the quantitative and qualitative sides.

"This is what we do: we identify risk and opportunity, assess it, and respond to it so value for our shareholders and other stakeholders is increased by capturing opportunities and limiting inefficient risk-taking. Our education and fields of practice make us a natural fit."

Opportunities for actuaries in ERM will only continue to increase, he added. "The Office of the Superintendent of Financial Institutions has issued new guidelines on corporate governance, and really put strong focus on risk governance, risk appetite, and the role of the board, among other things. Independent parties are now encouraged to review and assess the framework and performance of an organization’s ERM. Risk is also now much more intertwined; events that happen in, say, Australia may have an incredibly fast and profound effect on us. By looking at issues like that from both internal and external perspectives, actuaries will bring tremendous value to their company."
Pierre Courcy, who has died of cancer at the age of 57, graduated from Université Laval with a BSc in Actuarial Science and went on to join Pouliot, Guérard and Associates in Montréal. A former member of the CIA’s Pension and Social Security Liaison Committee, he later worked for Morneau Shepell (also known as Morneau Sobeco and Sobeco Ernst & Young).
Doug Brooks has been elected chair of the board of directors of the Canadian Life and Health Insurance Association. Mr. Brooks is president and chief executive officer of Transamerica Life Canada and its subsidiary Canadian Premier Life, having joined Transamerica in 2008.

Stéphane Levert has been appointed as senior director, strategies and product management, at Telus Health Solutions. His previous experience includes serving as an assistant vice-president at Munich Re, director at Industrial Alliance, and actuarial analyst at Desjardins. He is also president of Stéphane Levert Consulting Services.

Manuel Monteiro was quoted in the Globe & Mail regarding improvements in the pension market.

Networking is a key part of any successful professional's career, and the CIA is offering you a fresh opportunity to inform your peers about your achievements and progress.

Our (e)Bulletin section, Actuaries on the Move, is a chance for you to publicize your new job, title, credentials or other information. This is an opportunity to tell thousands of fellow actuaries and financial professionals—whether they are ex-colleagues, former college friends, potential employers, future clients, etc.—about, for example:

  • Your new job;
  • A change of title or area of responsibility;
  • Your new qualifications;
  • A change of contact details;
  • Awards or other recognition; or
  • Publication of academic papers or articles.
Simply send an e-mail—one line of information can be enough, but feel free to add more if you so wish—to the CIA's English Editor at and we will aim to include it in the next issue of the (e)Bulletin.

For more news of CIA members and their activities, follow the CIA on Twitter.
CIA-sponsored Webcast: Credit Risk Modeling Practices in the Insurance Industry

June 27, 2013
Noon to 1:30 p.m. EDT

Robert Jarrow, managing director, research, Kamakura Corporation
Jens Hilscher, senior research fellow, Kamakura
Donald Van Deventer, chair and CEO, Kamakura

Members of the Joint Risk Management Section, a group venture of the CIA, Society of Actuaries (SOA), and Casualty Actuarial Society, and other actuaries are invited to join this webcast to hear three experts evaluate actuarial practices for modelling credit risk in the life insurance industry. The trio will summarize the development of credit models and describe their application in risk management systems and calculations. They will also discuss contrasts between best practice techniques and regulatory calculations, and summarize the findings of a study undertaken by Kamakura under the auspices of the SOA to determine the state of credit modelling in the insurance industry compared with the broader state of the art.

To learn more and register for the webcast, visit the link below.

Link: Click here

Contact with Questions: SOA customer service center at 888-697-3900 or

Reminder: Request for Proposals – Analysis of Canadian Group Annuitant Mortality Experience Research Project

The CIA is developing a study covering the mortality experience of the group annuitant population in Canada. A researcher will be engaged to complete an initial five-year study for this business—covering calendar years 2007–2011—and two subsequent studies covering calendar years 2012 and 2013.

The deadline for submitting a proposal is June 30, 2013, and to read the request for proposals, please access the link below.

Link: Click here

Contact with Questions: Mario Robitaille, Chair, Research Project Management Team, at

Revised Policy on Due Process for the Approval of Guidance Material Other than Standards of Practice

This document, which was recently revised by the Practice Council and approved on April 29, 2013, describes the Institute’s process for the approval of guidance material other than Standards of Practice (i.e., educational notes, educational note supplements, research papers, committee and task force reports), and outlines the roles and responsibilities of the Practice Council and Actuarial Standards Board, as well as the committees and task forces that develop the guidance material.

Click here

Contact with Questions: Bruce Langstroth, Chair, Practice Council, at

Changes to the Bylaws

On March 21, 2013, the Board approved changes to the Bylaws that reduce formal Board representation on councils to not more than two Directors, and delegate the determination of Institute executives’ compensation to a Board-appointed committee. These changes will be put before the members for confirmation at the Annual Meeting, which will be held in Montréal on June 20–21, 2013.

See links #1 to #3 below to read about the changes, the rationale behind them, and the subsequent process.
  1. Memorandum to Members: Proposed Bylaw Amendments — Board Participation on Councils and Creation of Human Resources, Finance, and Audit Committee
  2. Amending Bylaw No. 2013-1: Board Participation on Councils and Creation of Human Resources, Finance, and Audit Committee. Also, see Appendix A.
  3. Report of the Task Force on Governance (member confirmation not required—for information only)
Contact with Questions: Michel Simard, CIA Executive Director, at

Reminder – Webcast: Municipal Pension Plans—Responding to the Pension Crisis

Wednesday, May 29
Noon to 1:30 p.m. EDT


Alan Milligan, managing actuary, CalPERS
Bill Moore, staff actuary, Alberta Finance

This webcast will compare and contrast the operation of defined benefit pension plans sponsored by municipalities in Canada and California. The presenters will outline the structure of municipal pension plans in their respective jurisdictions and the form of regulatory oversight. The funded status of municipal pension plans in both jurisdictions and the typical assumptions and valuation techniques will be discussed. Finally, the webcast will outline the response of various parties to the funding challenges created by capital market corrections, mortality improvements, and maturing plan liabilities.

Link: Click here

Contact with Questions: Roxanne Vézina, assistant, membership and education, at

Don’t Forget to Register for the May 30 Webcast – Canadian Individual Critical Illness Morbidity Experience Study

Thursday, May 30
Noon to 1:30 p.m. (EDT)


Ben Miclette, vice-president, living benefits, RGA Canada

Critical illness insurance has been part of the Canadian insurance landscape for over 15 years with more than 20 insurance companies actively selling this product today. The CIA’s Individual Living Benefits Experience Subcommittee recently published the first experience study of Canadian claims data, and in this session we will take a look at what story is emerging from the early claims experience and what trends will be monitored in future.

Link: Click here

Contact with Questions: Roxanne Vézina, assistant, membership and education, at

Report on Canadian Economic Statistics 1924–2012: Final Release

The final version of the Report on Canadian Economic Statistics 1924–2012 is available on the CIA website. This document is only available to CIA members.

It can be found on this page:

(Note: Members must be logged into the Members Section to download the report and tables.)

Contact with Questions: Ross Dunlop, Chair, Committee on Investment Practice, at:

Webcast – The Real Retirement

Thursday, May 9, 2013

Noon to 1:30 p.m. (EDT)

Fred Vettese, chief actuary, Morneau Shepell, and author of The Real Retirement: Why You Could Be Better Off Than You Think, and How to Make That Happen

There is a strong perception that Canada is undergoing a retirement crisis. While this is a natural conclusion due to low pension plan coverage, Fred Vettese believes it is largely erroneous since we have overestimated the retirement income target we think we need and underestimated the assets at our disposal. While increasing longevity, slower growth in housing wealth, and lower returns on investable assets may point to a bleaker future, other developments suggest we may yet avoid an outright crisis. In this webcast he describes the key conclusions in his book The Real Retirement, and the implications for public pension policy.

Link: Click here

Contact with Questions: Roxanne Vézina, assistant, membership and education, at

Reminder: Webcast – Pension Mortality

Wednesday, May 15
Noon to 1:30 p.m. EDT

Moderator: Dani Goraichy, Committee on Pension Plan Financial Reporting (PPFRC)
Speakers: Kim Young, Chair, Pension Experience Subcommittee, and Gavin Benjamin, Chair, PPFRC

The past few years have seen increased focus on the mortality assumption selected by pension actuaries. This is especially the case with the establishment and ongoing work of the Pension Experience Subcommittee. During this webcast, considerations when setting the mortality assumption for pension valuations will be discussed. A status update on the subcommittee’s work will also be provided.

Link: Click here

Contact with Questions: Roxanne Vézina, assistant, membership and education, at

OSFI Announces CPP Independent Peer Review

As part of its policy of ensuring it is providing sound and relevant actuarial advice to Members of Parliament and the Canadian population, the Office of the Chief Actuary (OCA) is commissioning an external peer review of its 26th Actuarial Report on the Canada Pension Plan, as at December 31, 2012.

FCIAs wishing to join the review panel can obtain an application form, and read the terms of reference, at OSFI’s website. Applications must be submitted by July 15, 2013.

Link: Click here

Contact with Questions: Michel Montambeault, director, Office of the Chief Actuary, at

Calendar of Events
September 20-21, 2013
Actuarial Evidence Seminar
ITHQ – Québec Tourism and Hotel Institute
September 25, 2013
Professionalism Workshop Hilton Montreal Bonaventure Montréal,
September 26-27, 2013
Seminar for the Appointed Actuary
Hilton Montreal Bonaventure Montréal,
October 4, 2013
Professionalism Workshop
St Andrew’s Club & Conference Centre Toronto, ON
November 12, 2013
Pension Seminar
Metro Toronto Convention Centre
Toronto, ON
November 13, 2013
St Andrew’s Club & Conference Centre
Toronto, ON
June 18-19, 2014
Annual Meeting
Hyatt Regency Hotel
Vancouver, BC
June 17-18, 2015
Annual Meeting
Westin Ottawa
Ottawa, ON

Additional information on all CIA meetings can be obtained here, or by contacting Nancy Jenkinson at 613-236-8196, ext.104, or

For information on CIA webcasts, click here.

Board and Council Updates
Eligibility and Education Council

The following people have been appointed to the committees named below:
  • Academic Relations: Qi (Angela) Yao, effective June 1, 2013; and Henry Yuen, effective July 1, 2013.
  • P&C Subcommittee of the Committee on Continuing Education for 2012-2013: Stacey Ling Bai, retroactive to February 1, 2013.
Member Services Council

The following people have been appointed to the committees or other bodies named below:
  • Communications: Frank Reynolds (Vice-chair) and Qi (Angela) Yao, effective February 20, 2013.
  • Group Insurance: Edward Kuo, Tina Levesque, Nabil Merali, and Jojy Oommen, effective February 14, 2013.
  • Op-ed Team: Jacques Boudreau, Helmut Engels, Kristy Grosart, Alon Halbrich, Kathryn Hyland, Brian Noy, Kamran Quavi, Binni Rana, Frank Reynolds, Harry Satanove, Don Tettmar, and Fei Xie, effective immediately.
  • Annuitant Experience Subcommittee of the Research Committee: Jinxia Ma and Catherine Bégin, effective immediately.
  • Research: Joseph DeDominicis and Michel Simard.
  • New Members: Michael Butler (Vice-chair), effective April 30, 2013, and Paul Lai Fatt, Nari Persad, and Mandy Seto.
  • Task Force on Genetic Testing: Alison Begley.
  • Committee on Volunteer Initiatives: Minnie Green (Chair), effective immediately.
For information only:
  • Group Insurance: Robert Hinrichs, Linda Maillet, Shannon Patershuk, and Eric Trudel have completed their mandate, effective February 14, 2013.
  • New Members: Sophia Banduk has resigned, effective immediately.
  • Research: Julie Chambers has completed her mandate.
  • Annuitant Experience Subcommittee of the Research Committee: Irawati Chen, Pierre-Laurence Marchand, and Peter Snyder have resigned, effective immediately.
  • Task Force on Genetic Testing: Étienne Brodeur has resigned, effective immediately.
  • Committee on Volunteer Initiatives: Kevin Vantil has completed his mandate as chair, effective immediately.