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

Canadian Institute of Actuaries/Institut canadien des actuaires

December 2014
Elliott Bauer
D.W. Simpson & Company
Eckler Ltd.
Your Institute

To view the video, click on the image above, or click here. Below is a transcript: 

 

Hello. My name is Jacques Tremblay and I am President of the Canadian Institute of Actuaries.

On November 26, the CIA Board met to discuss a variety of issues and initiatives. The highlights of the meeting were announced to you on December 11, and I want to use this opportunity to discuss with you a few Board items as well as a few other initiatives.

First, the Board has been transitioning to becoming a more strategic body than ever before. Not all that long ago, the Board was responsible for the approval of Standards of Practice, and some meetings became marathon sessions where, after the usual business was taken care of, there were hours of debate over standards. This new strategic perspective permeates all Board committees and governance structures, and clearly sets the tone of our meetings.

Here is a quick tour of some terms you hear regularly when CIA Board work is discussed. The first is "CIA Officers". This group consists of the President, Past President, President-elect, Secretary-Treasurer, and Executive Director. We meet every six weeks and oversee at a high level all areas of CIA activities between Board meetings.

The second term you often hear is "the CIA leadership". This group consists of the CIA Officers I just mentioned plus the four council chairs. Their mandate is to provide oversight of CIA activities between Board meetings, but at a greater level of detail than the CIA Officers deal with. This group also meets every six weeks.

We now have a codeof conductandethics for actuarial candidates who are not CIA members but who are pursuing actuarial education. In the public interest, this new code requires actuarial candidates to adhere to the high standards of conduct, practice, andqualifications oftheactuarial profession in Canada. As soon as a candidate is admitted to membership, they then become subject to the Rules of Professional Conduct.

I wanted to say a few words on the work being done by the Research Committee. Over the last five years, the Board and Member Services Council (MSC) have applied an increased focus to this important area of CIA work, and it has resulted in more requests for funding than the budget considered. The Board was asked to increase the research budget for the next fiscal year and this matter is under review. The Board is aligned with the direction taken by the Research Committee and the work it is doing to prioritize requests. I expect that members have seen the results of the hard work by Dave Dickson and the committee and are also pleased with the course that has been set.

The CIA now puts out far more documents than it did even 10 years ago. For example, in 2005, we made five submissions to governments and other organizations. With a change in the number and the responsibilities of CIA Head Office Staff, along with increased contributions by many committed volunteers, last year we produced over 20 submissions.

In addition, we put out a number of statements and positions, all of which go through rigorous review and approval processes. So, with an increase in such documents, the policy that lays out the approval framework needed to be updated, and a new body responsible for these processes needed to be created. Marc Tardif, Chair of the MSC, and Vice-chair Marie-Hélène Malenfant, along with Michel Simard, our Executive Director, and Chris Fievoli, the CIA’s resident actuary, took hold of all the moving pieces of this venture. A new policy was approved and the Public Positions Committee, reporting to the MSC, was created and volunteers were recruited. I am very pleased to announce that past CIA President Mike Hale has volunteered to be its first chair. This initiative will certainly have a positive impact on achieving our Long-term Strategic Objectives.

As mentioned in the Board update, there have been many changes to existing CIA policies, and new ones approved. Stay tuned to the weekly communications for details!

Every organization needs to have a focus on the value it delivers to customers. In our case, it’s promises made to members and our commitments to the public. At its last meeting, the Board approved the CIA Value Proposition, which speakstothe benefits and expectations of CIA members, andwill strengthen our internal and external marketing, communications, and government relations. We will be communicating more details in the near future.

During the meeting, Sharon Giffen, Chair oftheRisk Committee, said: "Humancapital risk is by far the CIA’s biggest risk to achieving a large number ofour strategic objectives."

Part of the risk applies to our large pool of volunteers and the Governance Committee has given this a lot of thought. It brought forward a discussion on volunteer management, successionplanning, and leadership development, prompted by the challengesfaced by the Board, councils, and committees to attract candidates to leadership positions.

The Board discussion demonstrated the need for further refinement of the key issues andpossible solutions, and defining anachievable strategy.

At the Board meeting I reported on two very positive face-to-face meetings with the Society of Actuaries (SOA) in October, and our presentation to the SOA Boardentitled "CIA: The Voice of the Actuarial Profession in Canada",and an additional meeting on education matters between the leaderships of the two organizations.

The end result of this work, including extensive study and recommendations by the Eligibility and Education Council’s Task Force on Canadian Eligibility and Education on a Canadian Education System, chaired by Angelita Graham, will continue to be refined in the coming few months.

As I put this video together, we are approaching a huge milestone for the profession: celebrating our 50th anniversary year. On March 18, 1965, the Act of Parliament that created the CIA was passed. We will be celebrating in many ways over the course of the coming year, and I encourage you to get involved. Attending our very special Annual Meeting in Ottawa will be one important commitment. People will be talking about this event for the next 50 years! OK, maybe I am exaggerating, but it will be an educational and celebratory blast.

Another way to become personally involved will be to join Rob Stapleford, me, and 30 other actuaries who will be reaching out to high school math departments in our communities and delivering classroom presentations in March, April, and May, to students who should know something about this great profession of ours. We are working on some interesting classroom resources for you to use in these presentations, but your experiences and passion for actuarial work will be critical for this special 50th anniversary project.

I wish you a joyous Christmas and holiday season, and a happy new year full of happiness and success!

Jacques Tremblay, FCIA, is President of the Canadian Institute of Actuaries.

 

 

 
Spotlight


By Marc Tardif, FCIA

I’d like to take this opportunity to bring you up-to-speed on the work done in the Member Services Council (MSC) as well as its committees and task forces over the past six months. We keep working, in cooperation with the Head Office, to make the profession more visible to the general public and to take part in the conversation about the issues facing our society.

Supporting Your CIA

Since I know that most readers have limited time to read and often move on to another article within a few minutes or even seconds, I will start (rather than end) my report with a request to all of you to consider helping the Institute by volunteering in any of the four councils and their various committees. We are still looking for a few good members that are interested in helping us develop and promote our activities and publications to the general public and to the decision-makers.

If you want to learn more about any council, committee, or task force, go to Organization on the website, read the mandates, and check out the minutes. If you find these of interest to you, sign up on the Volunteer Applicant Registry or contact the chair or vice-chair of the volunteer group that you are interested in.

Creation of Two Committees and One Task Force

In April, the Board approved the creation of the Public Positions Committee. A very experienced group of actuaries from a broad spectrum of actuarial practice was drawn together to form this new committee led by Mike Hale. Its mandate is to identify new public positions that the CIA should develop. This committee is also charged with approving all CIA public positions.

The Task Force on Genetic Testing created a few years ago has now been transformed into a full-time committee. Its mandate is to monitor developments in the field of genetic testing and relevant legislation to assess how these could impact the working of insurance and the public at large. In doing so, it will be prepared to suggest revisions to the CIA’s Statement on Genetic Testing, which was recently updated.

A task force has been formed to gather information on techniques and approaches used in setting mortality improvement assumptions in the various areas of actuarial practice. The goal is to ensure consistency in setting and using mortality improvement scales in our various areas of practice, and to provide education to our members.

Research Committee Publications

Seeing Beyond Risk

After launching its first edition in January, this quarterly electronic publication followed with three new editions:

It presents the latest actuarial thinking from experts on some of the key issues facing Canada and Canadians. It is also designed to encourage people outside the profession to consider the benefit actuaries can bring to their organizations. Target audiences include private- and public-sector leaders and elected representatives. We encourage you to distribute the articles among your friends and colleagues!

Social Networks

The number of people who follow the CIA on Twitter has gone from a few hundred to over 1,500 after two years of activity. If you don’t already follow us, what are you waiting for?

If you have any questions or comments to make on the work of MSC, do not hesitate to contact me.

Marc Tardif, FCIA, is the Chair of the Member Services Council.

 
MOVERS AND SHAKERS

Bill Chinery has been appointed to the board of the Ontario Teachers' Pension Plan. His career has included serving as managing director and CEO of BlackRock Canada, and as a Director of the CIA.

Garry MacNicholas, currently executive vice-president, actuarial and risk, at Great-West Lifeco, will be appointed as the company’s executive vice-president and chief financial officer effective March 31, 2015. He joined its subsidiary Canada Life in 1982 and has held a wide variety of roles, being appointed to his current position in 2013.


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 andrew.melvin@cia-ica.ca 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.

 
Institute News

One element of the CIA’s Strategic Objectives is to be "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."

One way to do this is to suggest to CIA members that they reach out to Canadians through op-eds (short articles that typically are published on the opinion/editorial pages of newspapers) and other articles on topics of importance to Canadians and Canada. Retirement savings, health care, longevity, climate change risk, and other subjects offer good opportunities for members to share their thoughts and expertise. As examples, articles by CIA members Rob Brown and Fred Vettese regularly appear in publications across the country.

Several years ago, the Institute created the Op-ed Team with the goal of bringing together actuaries who have the required technical expertise and experience and an interest in writing such articles, and who were keen to work with local media outlets to have them published. This team is also primed to assist anyone in preparing an article.

Recently, some actuaries asked how they could position themselves within these documents in order to accomplish the objective above and adhere to CIA policies and the Rules of Professional Conduct, in particular Rule 13.

The CIA’s Policy on the Use of CIA Membership Titles and Designations defines who can use the term "actuary" and when the use of titles such as "Chair of X Committee" and "FCIA/FICA" is permitted.

Unless a member is speaking on behalf of the CIA, members who chair or sit on a CIA committee cannot use a title that is related to that committee. So, a personal op-ed can’t come from, for example, "Joseph Frugh, Chair of the Health Research Committee".

However, FCIAs can say that they are actuaries and can use their designations. So, Joseph could sign an op-ed as "Joseph Frugh, FCIA, pension actuary", without fear of violating any CIA policies or the Rules of Professional Conduct, even if the article does not conform to Generally Accepted Actuarial Practices.

With these rules in mind, free your professional and creative talents and start explaining complicated and important concepts in simple ways through a well-crafted op-ed!

 

Thomas Drolet

1. Why did you become an actuary?

Because I was good at math, and because my dad knew this he introduced me to the actuarial world. Without him I might not even know what an actuary is.

2. When you tell people you’re an actuary, what do they think you do?

I crunch numbers and analyze statistics. They think actuaries are boring math experts with no personality.

3. Who has inspired you the most during your career? Did you have a mentor in your early career?

My dad has always been my model and kind of a career mentor.

4. What do you enjoy most about your job?

It’s a blend of everything: technical skills, analytical skills, business skills, communication skills, and social skills. It’s a combination of all these skills that allow me to win more business and serve my clients better.

5. What career would you follow if you weren’t an actuary?

Probably finance or general accounting.

6. What are your hobbies?

Soccer, running, travelling, going out with friends, going to sports events.

7. What is your favourite music, book, and film?

Music: I like a bit of everything, but right now I like house music a lot.
Book: I am a big fan of Dan Brown’s books. As for business reading, my favorite book is Blue Ocean Strategy. It’s a marketing book that everyone should read. I also like Jack Welch’s autobiography: Jack, Straight from the Gut. He is the former CEO of General Electric.
Film: I like movies based on true stories and biographies. Lord of War is my favorite movie in this category. I also like comedies. The American Pie series or Wedding Crashers are my favorite comedies.

8. Where is your dream vacation destination?

It may sound funny but I would love to visit northern Canada and/or Alaska. I don’t mind cold weather.

9. What do you do better than anyone you know?

I am very good at bringing the best out of my colleagues. I help them shine and surpass themselves. It’s not always easy but I feel this is what I am the best at.

10. If you could be anybody else, alive or dead, who would it be, and why?

I would probably be a soccer player: Zinedine Zidane. What a player and a gentleman. This guy was truly an ambassador for soccer and a gentleman on and off the field. I followed him throughout his whole career and he always made me dream. Everything looked so easy for him.

Thomas Drolet works as an investment specialist in group savings and retirement at Industrial Alliance Insurance and Financial Services.

 

If you would like to be featured in Introduce Yourself, please answer the 10 questions above by completing our online form here. 

 

The CIA was recently informed of the death of the following member, who passed away in 2013.

Gilbert Allan, FCIA(1965), FFA, ASA

Gilbert Allan, who died in June 2013 at the age of 95, left the University of Glasgow with an MA (Honours) and passed his first actuarial exams with the Faculty of Actuaries in 1947. He became a Fellow of the organization in 1952 and then an FCIA in 1965. A long-serving employee of Standard Life Assurance, he retired in 1985.

 
THIS MONTH'S PUBLICATIONS

 

214136 Recognition and Awards Policy

CCSCM006 CCSC: Minutes of the October 16, 2014 Meeting

214135 Code of Conduct and Ethics for Candidates in the CIA Education System

214134 Policy on Conduct and Ethics for Candidates in the CIA Education System

AM-2014-39 Session 39: Global Relatives of Target Benefit Plans (Volume 45, June 2014)

214133 Highlights of CIA Board Meeting NÂș 82 Held on Wednesday, November 26, 2014

RES-ERM001 RES-ERM: Minutes - Meeting – November 5, 2014

RES-ERM002 RES-ERM: Minutes - Meeting – December 9, 2014

214128 Memorandum: Final Standards – Revisions to the General and Practice-Specific Standards – Consistency of Reporting and Conformance with International Standard of Actuarial Practice 1

214129 Final Standards – Revisions to the General and Practice-Specific Standards – Consistency of Reporting and Conformance with International Standard of Actuarial Practice 1

214129rl Final Standards – Revisions to the General and Practice-Specific Standards – Consistency of Reporting and Conformance with International Standard of Actuarial Practice (red-lined version)

214132 Morbidity Study: Canadian Individual Critical Illness Insurance Morbidity Experience Study Including Policy Anniversaries Between 2003 and 2011 Using Expected Incidence Rate Tables 2008 CANCI

214132T Morbidity Study: Canadian Individual Critical Illness Insurance Morbidity Experience Study Including Policy Anniversaries Between 2003 and 2011 Using Expected Incidence Rate Tables 2008 CANCI: Indexed Tables

UAPACA The Canadian Institute of Actuaries University Accreditation Program: Information for Accreditation Actuaries

UAPFAC The Canadian Institute of Actuaries University Accreditation Program: Information targeted at Faculty

214127 Initial Communication of a Promulgation of the Mortality Table Referenced in the Standards of Practice for Pension Plans (Subsection 3530)

214125 Policy on Suspension, Termination and Reinstatement of Membership

UAPFAQ Frequently Asked Questions on the CIA UAP

SCHOLARAPPFORM Graduate Scholarship Program – Application Form

EB1114PDF(e)Bulletin November 2014 (PDF Version)

EB1114 (e)Bulletin November 2014

ACCESSREP AODA Self-Certified Accessibility Report

PECACC2015 Practice Education Course – Accommodation and Transportation (May 2015)

214124 Policy on Waiving Membership Dues

214130 Submission to the International Actuarial Association: International Standard of Actuarial Practice on Actuarial Practice in Relation to IAS 19 Employee Benefits (ISAP 3) – comments on proposed final version released on September 30, 2014

TP Back to School Talking Points – Mathematics Department Head

December's tweets from @CIA_Actuaries: 

OSFI is issuing a Commonly Asked Questions document (version 2) for QIS #6. http://www.osfi-bsif.gc.ca/Eng/fi-if/rg-ro/gdn-ort/pp-do/Pages/qis6_qa.aspx...

Productive meeting w/Minister @MitzieHunter re #ORPP: keen to continue collaborating on design, risk, comms, admin

SNA 2015 is less than a month away! Over 550 students from across Canada will be at the convention held in Montreal.

Bill 3, containing controversial #pension reforms, passes in #Quebec http://www.cbc.ca/1.2860368

Interested in #actuarialstandards of practice for #pensions, #insurance, benefits? Attend the ASOC public meeting http://bit.ly/1AgyLlH

#Canada ranks as third most #charitable country. Who will you be giving to on #GivingTuesdayCA? http://yhoo.it/1zLJ00w

Employment #insurance is not insurance, says #actuary Jacques Y. Boudreau via @mises_canada #FCIA http://bit.ly/15NCugR

We must be careful with public sector #pension reform says #Actuary Rob Brown http://bit.ly/12bktXA via @wr_record

Want #retirement security? Have a home that is debt-free in retirement, says #Actuary Rob Brown @globeandmail http://bit.ly/1ylBUB7

 
Calendar of Events
Board and Council Updates

Board

For information only:

Lynn Grenier-Lew's term on the Eligibility and Education Council ended on June 30, 2014, and she leaves with thanks.

Member Services Council

The following people have been appointed to the (sub)committees and task force named below:

  • Climate Change and Sustainability: Shriram Mulgund and Todd Friesen, effective November 10, 2014;
  • Enterprise Risk Management Research: Helmut Engels, effective October 28, 2014;
  • Group Insurance: Lyna Gendron (Chair), effective November 5, 2014;
  • Individual Living Benefits Experience: Jialan (Grace) Gao, effective November 30, 2014; and
  • Op-Ed Team: Fred Thompson, effective November 18, 2014;
  • Public Positions: Michael Hale (Chair), effective November 24, 2014;
  • Research: Jim Wagner, effective December 2, 2014;
  • Mortality Improvement Task Force: Scott McManus (Vice-chair), Emilie Bouchard, Bob Howard, Hrvoje Lakota, Louis Adam, Assia Billig, Anna Doudina, Ling Guo, and Bob Brown, effective October 23, 2014; and George Graziani, effective November 28, 2014.

The following people have resigned from the (sub)committees named below, and leave with thanks:

  • Climate Change and Sustainability: Carol Moellers, effective November 10, 2014;
  • Communications: Yong Jiang, effective November 24, 2014;
  • Individual Living Benefits Experience: Jill Buchanan, effective November 30, 2014; and
  • Research: Matt Poetker, effective December 2, 2014.