Department of Finance, Financial Planning, and Insurance • (818) 677-2459 • Juniper Hall 3125 • www.csun.edu/fin Page 1 6/13/13

 

FAQ on Finance for Actuary Students How does Finance relate to Actuarial Science? “An actuary is a business professional who analyzes the financial consequences of risk. Actuaries use mathematics, statistics and financial theory to study uncertain future events, especially those of concern to insurance and pension programs. They evaluate the likelihood of those events, design creative ways to reduce the likelihood and decrease the impact of adverse events that actually do occur.” Society of Actuaries (http://www.soa.org/about/about-what-is-an-actuary.aspx) Financial theory directly relates to three of the requirements needed to become an Associate of the Society of Actuaries: Exam FM – Financial Mathematics, Exam MFE – Models for Financial Economics, and VEE (Validation by Educational Experience)-Corporate Finance (http://www.soa.org/education/exam-req/edu-asa-req.aspx). What courses cover the topics in VEE–Corporate Finance? To meet the requirement for VEE-Corporate Finance, a student must take two courses in corporate finance approved by the Society of Actuaries. At CSUN, FIN 303 – Financial Management and FIN 355 – Corporate Finance I, together satisfy this requirement. Students must take these courses in sequence and receive a grade of “B-“ or better in each course. These courses have been evaluated and approved by the Society of Actuaries. When are these courses offered? Multiple sections of FIN 303 and FIN 355 are offered in Fall and Spring. Typically, at least one section of each will be offered during the Summer.

Department of Finance, Financial Planning, and Insurance • (818) 677-2459 • Juniper Hall 3125 • www.csun.edu/fin Page 2 6/13/13

 

Do the courses have prerequisites? FIN 303 has prerequisites of: ACCT 220 – Financial Accounting, SOM 120 – Statistics and ECON 160 – Microeconomics. An advanced statistics course can be substituted for SOM 120. If registration in SOLAR does not recognize the alternate statistics course, permission numbers can be obtained from the Finance Department office. FIN 355 has prerequisites of a C or better in FIN 303 and BUS 302/302L for Business Majors. BUS 302/302L is not required for Non-Business Majors. Should a student preparing for the actuarial exams get a minor in Finance? A student who has completed FIN 303 and 355 would need two additional courses to complete a Finance minor: FIN 352 and one finance elective. Students who are considering a business career as a possible alternative to becoming an actuary would benefit from the additional training. What are the requirements for a Finance minor? REQUIRED COURSES (15 UNITS) ECON 160 Principles of Microeconomics (3) ACCT 220 Introduction to Financial Accounting (3) SOM 120 Basic Business Statistics (3) FIN 303 Managerial Finance (3) FIN 352 Investments I (3) ELECTIVE COURSES (6 UNITS) Each student must select two other upper-division three-unit Finance courses (excluding FIN 302). Note: Starting Fall 2013, the Finance minor will be impacted. Students accepted to the minor must have a 2.6 transcript GPA. In addition, students must be able to complete their major and minor within 140 units.

Department of Finance, Financial Planning, and Insurance • (818) 677-2459 • Juniper Hall 3125 • www.csun.edu/fin Page 3 6/13/13

 

What elective courses would you recommend? There are a number of finance courses that would be appropriate for students interested in becoming an actuary, including: FIN 336 – Principles of Insurance Prerequisites: BUS 302/302L for Business Majors FIN 431 – Risk management

Prerequisites: FIN 303 with a grade of “C” or better. FIN 336. BUS 302/302L for Business Majors

FIN 436 – Futures and Options: Theory and Strategy

Prerequisites: FIN 303 with a grade of “C” or better. FIN 352. BUS 302/302L for Business Majors

The Department also offers a number of other electives; see the Department website for details.