 Actuarial Mathematics forms the core for classical actuarial expertise. The design of the new subject modules, Actuarial Mathematics (CM1) and Financial Engineering and Loss Reserving (CM2) provides students with core reading material containing essential knowledge on areas such as how to price different financial products, such as bonds, and insurance products, such as life insurance.

Later SA and SP subjects in the new curriculum build on CM1 and CM2 through enhanced techniques and a greater understanding complex financial products.

View the CM1 and CM2 examinations guide

Please note: the CM1 and CM2 exams are now a combination of both a written (A) and an online (B) assessment. Both elements, A and B, will need to be taken in the same exam sitting.

• CM1A and CM2A: are written, paper based exams and will be sat in your local time at an exam venue
• CM1B and CM2B: are online exams and will be sat in UK time only at home or at your workplace

## Actuarial Mathematics (CM1)

Core Principles

Actuarial Mathematics (CM1) provides a grounding in the principles of actuarial modelling, focusing on deterministic models and their application to financial products. It equips the student with a knowledge of the basic principles of actuarial modelling, theories of interest rates and the mathematical techniques used to model and value cashflows which are either certain or are contingent on mortality, morbidity and/or survival. The subject includes theory and application of the ideas to real data sets using Microsft Excel.

Actuarial Mathematics
CM1A
Theoretical Exam
3 hours and 15 minutes
Paper based
+
Actuarial Mathematics
CM1B
Computer-based
1 hour and 45 minutes
Excel

You must sit A + B papers in the same session.

Exam format:
3 hours and 15 minutes paper-based exam, plus 1 hour and 45 minute computer-based exam, Excel
Recommended study hours: Actuarial Mathematics (CM1) syllabus
Specimen papers and materials Actuarial Mathematics (CM1) exam paper CM1A Actuarial Mathematics (CM1) exam paper CM1B Actuarial Mathematics (CM1) CM1A exam solutions Actuarial Mathematics (CM1) CM1B Question 1 workbook Actuarial Mathematics (CM1) CM1B Question 1 solution Actuarial Mathematics (CM1) CM1B Question 2 workbook Actuarial Mathematics (CM1) CM1B Question 2 solution

## Financial Engineering and Loss Reserving (CM2)

Core Principles

Financial Engineering and Loss Reserving’(CM2) provides a grounding in the principles of actuarial modelling, focusing on stochastic asset-liability models and the valuation of financial derivatives. It equips the student with a knowledge of the theories of behaviour of financial markets, measures of risk, determining reserves for a non-life insurer and price options. The subject includes theory and application of the ideas to real data sets using excel.

Loss Reserving and
Financial Engineering
CM2A
Theoretical Exam
3 hours and 15 minutes
Paper based
+
Loss Reserving and
Financial Engineering
CM2B
Computer-based
1 hour and 45 minutes
Excel

You must sit A + B papers in the same session.

Exam format:
3 hours 15 minutes paper-based exam, 1 hour 45 minutes computer-based exam (Excel)
Recommended study hours: Financial Engineering and Loss Reserving (CM2) syllabus
Specimen papers and materials Financial Engineering and Loss Reserving (CM2) Specimen Exam Paper CM2A Financial Engineering and Loss Reserving (CM2) Specimen Exam Solutions CM2A Financial Engineering and Loss Reserving (CM2) Specimen Exam Paper CM2B Financial Engineering and Loss Reserving (CM2) CM2B Question 1 workbook Financial Engineering and Loss Reserving (CM2) CM2B Question 1 solution Financial Engineering and Loss Reserving (CM2) CM2B Question 2 workbook Financial Engineering and Loss Reserving (CM2) CM2B Question 2 solution Financial Engineering and Loss Reserving (CM2) CM2B Question 3 workbook Financial Engineering and Loss Reserving (CM2) CM2B Question 3 solution