# Updates to Financial Actuarial Math Courses

Updated 7/26/2019 In the 2018-2019 school year, the Math Department updated its actuarial curriculum, hoping to expand and improve the offerings of the major in order to enhance its value to its students in their future careers to ensure that the major is sustainable in the long term. Consequently, the Department has updated the syllabi of the currently offered actuarial courses, a summary of which is available below:

Course Number Course Name Corresponding Exam/VEE Comments
170E Introduction to Probability and Statistics: Part I (Probability) SOA P / CAS 1 This course is an introduction to probability theory. Topics include discrete (binomial, Poisson, etc.) and continuous (Exponential, Gamma, Chi-square, normal) distributions, bivariate distributions, distributions of functions of random variables (including moment generating functions and Central Limit Theorem).
170S Introduction to Probability and Statistics: Part II (Statistics) VEE Mathematical Statistics This course is an introduction to statistics. Topics include sampling; estimation and the properties of estimators; construction of confidence intervals and hypothesis testing.
177 Theory of Interest and Applications SOA FM / CAS 2
SOA IFM / CAS 3F
This course is introduces interest and covers all of exam FM/2 and a small portion of IFM/3F.
Topics from FM/2 include: types of interest, time value of money, annuities and similar contracts, loans, bonds, portfolios and general cash flows, rate of return, term structure of interest rates, duration, convexity and immunization, and interest rate swaps.
Topics from IFM/3F include: financial derivatives, forwards, futures, and options.
174E Mathematics of Finance SOA IFM / CAS 3F This course covers the first portion of Exam IFM/3F, and covers financial derivatives. Topics include modeling, mathematics, and computation for financial securities; price of risk; random walk models for stocks and interest rates; no-arbitrage theory for pricing derivative securities; Black/Scholes theory; European and American options; Monte Carlo, trees, finite difference methods.
179 Advanced Topics in Financial Mathematics This is intended to be a second quarter of IFM/3F material, to be taken after 174E. It will cover additional topics about financial derivatives as well as topics in finance covered on Exam IFM/3F such as mean-variance portfolio theory, Capital Asset Pricing model, etc.
178A Foundations of Actuarial Mathematics: Life Insurance and Annuities SOA LTAM Along with the first half of Math 178B, this course covers the SOA LTAM exam. This is an introductory course on to the mathematics associated with long term insurance coverages. Topics include single and multiple life survival models, annuities, premium calculations and policy values, reserves, pension plans and retirement benefits.
178B Foundations of Actuarial Mathematics: Further topics in Long Term Actuarial Mathematics SOA LTAM
SOA STAM
This exam concludes the coverage of the SOA LTAM exam and begins covering the SOA STAM exam. Topics include multiple state models, pensions, profit testing, topics from statistics, esp. methods of estimation, and background material on probability distributions, especially those used in actuarial work.
178C Foundations of Actuarial Mathematics: Loss models SOA STAM Along with the second half of Math 178B, this course covers the SOA STAM exam. Topics include loss models associated with actuarial problems, severity, frequency, and aggregate loss models, parameter estimation (frequentist, Bayesian), model selection and credibility.

# Courses for VEE Credit

#### VEE Economics

##### Macroeconomics
• Economics 2: Principles of Economics OR
• Economics 102: Macroeconomic Theory OR
• Score of 4 or 5 on the AP Macroeconomics Exam1
##### Microeconomics
• Economics 1: Principles of Economics OR
• Economics 11: Microeconomic Theory OR
• Economics 101: Microeconomic Theory OR
• Score of 4 or 5 on the AP Microeconomics Exam1

#### VEE Accounting and Finance

##### Finance
• Management 130A and 120AB: Managerial and Intermediate Financial Accounting
##### Accounting
• Management 1A: Principles of Accounting

#### VEE Mathematical Statistics (SOA only)

• Math 170S: Introduction to Probability and Statistics: Part 2 Statistics OR
• Stats 100B: Introduction to Mathematical Statistics
1 See the SOA's Alternate VEE Options

For the most up-to-date information about UCLA courses that satisfy VEE credit, see the SOA's VEE Directory of Approved Courses and Alternate Options.