Current Professionalism Topics · 2018. 5. 22. · Current Professionalism Topics IAA Fund meeting...
Transcript of Current Professionalism Topics · 2018. 5. 22. · Current Professionalism Topics IAA Fund meeting...
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© 2010 The Actuarial Profession www.actuaries.org.uk
Current Professionalism Topics
IAA Fund meeting for Asia
Hong Kong, 9-10 May 2012
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Professionalism for the actuary
• professionalism is a key component of actuarial education (topic 10 in Core Syllabus of the IAA)
• it is important to devote time to learning about professionalism as well as about technical skills
• it is necessary to develop a professional attitude and way of thinking – there are often no simple black and white answers
• we need to learn what it means to do a good professional job • …and keep on learning
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Characteristics of a profession
6 key characteristics of a profession are:
• members join together to apply a specialised skill • the skill has been developed through appropriate education • members have a special relationship with those served • recognised by the public as an authority in field of expertise,
able to serve the public interest • standards of competence and conduct of members • high level of integrity by members in exercising judgement
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Customer focus
Business values
Ethical values
Respect
Openness
Integrity
Transparency
Honesty Efficiency
Performance
Forward thinking Trust
Profitability Customer focus
Reliability Teamwork
Quality
Responsibility
Fairness
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Customer focus
Professional Business values
Ethical values
Respect
Openness
Integrity
Transparency
Honesty Efficiency
Performance
Forward thinking Foresight
Trust
Profitability Customer Client focus
Reliability Teamwork
Quality
Responsibility
Fairness
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Ethical values which are also professionalism issues
• trust, honesty, integrity • openness, transparency, accountability • good communications • not being misleading • respect and support for others • confidentiality • avoidance of conflicts of interest • compliance • speaking up
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Other ethical issues (beyond professionalism?)
• bribery and corruption • fraud • bullying and harassment in the workplace • gender (and other forms of) discrimination • unethical marketing • excessive executive remuneration • environmental concerns • work/home balance
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Beyond ethics - other professionalism issues
• fiduciary relationship • objectivity/impartiality • quality of professional services • taking into account the interests of those affected • quality of documentation and ‘audit trail’ • checking and review of work and calculations • life-long learning – developing our knowledge and skills
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What is expected of us as professional people?
• demonstrating, and applying appropriately, specialist skills • providing reliable up-to-date technical knowledge and advice • behaving ethically • complying with Profession’s code of conduct and standards • performing statutory roles to a high standard • exercising judgement with high level of integrity • having due regard to the interests of those affected
(continued)
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What is expected of us as professional people? (continued)
• respecting and supporting others • relationship of trust with clients (fiduciary relationship) • communicating well • assisting the profession to serve the public interest • contributing to public debate • contributing to the work of the profession
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• education • quality control • research • professional guidance • discipline • reputation and standing • influence
The Role of a Professional Body
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• association of associations • focus on professionalism • a global profession • development of quality and standards • core educational syllabus • responsive committee structure • sections for individual members
International Actuarial Association (IAA)
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• properly constituted as association • code of conduct which meets minimum requirements • disciplinary scheme which meets requirements • educational syllabus for becoming fully qualified actuaries • due process for adopting standards of practice (before adopting
any standards) • payment of annual dues to the IAA
International Actuarial Association (IAA) - membership requirements
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The actuarial profession is recognized worldwide as a major player in the decision-making process
within the financial services industry, in the area of social protection and in the management of risk,
contributing to the well-being of society as a whole.
Vision Statement of IAA
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Having a code of conduct meeting the IAA minimum is one of main requirements to be fulfilled before an actuarial association can be admitted as a Full Member Association of the IAA (and of the Groupe Consultatif)
Minimum Code of Conduct of IAA
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• An actuary shall perform professional services with integrity, skill and care (client responsibility) – fulfil professional responsibility to client or employer – fiduciary relationship with client
Minimum Code of Conduct of IAA (a)
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• An actuary shall act in a manner to fulfil the profession’s responsibility to the public (common good) – uphold the reputation of the actuarial profession – not engage in false or misleading advertising or business
solicitation
Minimum Code of Conduct of IAA (b)
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• An actuary shall perform professional services only if competent and appropriately experienced – an association may permit derogations, e.g. – where client would be disadvantaged if advice denied – where actuary is working with another fully competent and
experienced actuary
Minimum Code of Conduct of IAA (d)
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• An actuary shall, in communicating professional findings, show that he/she takes full responsibility for them – indicate whether the actuary is available to provide
supplementary information and explanation
Minimum Code of Conduct of IAA (f)
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• An actuary shall not perform professional services involving the actuary in an actual or potential conflict of interest – unless ability to act is unimpaired (no inhibition); and – there has been full disclosure of actual or potential conflict – Associations may require that an actuary may only act in
these circumstances if all principals have expressly agreed to it
Minimum Code of Conduct of IAA (h)
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• Integrity • Competence and Care • Impartiality • Compliance • Open Communication
The Actuaries’ Code (Institute & Faculty of Actuaries) (effective 1 October 2009)
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Integrity Members will act honestly and with the highest standards of
integrity • show respect • confidentiality • honest, open and truthful in promoting services
The Actuaries’ Code
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Competence and Care Members will perform their professional duties competently and
with care • appropriate level of knowledge and skill • keep competence up to date (CPD) • understand who your client is • care for client – make sure advice is appropriate • new appointments
The Actuaries’ Code
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Impartiality Members will not allow bias, conflict of interest, or the undue
influence of others to override their professional judgement • objective and uncompromised advice • avoidance/management of conflicts of interests • should consult with previous adviser
The Actuaries’ Code
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Compliance Members will comply with all relevant legal, regulatory and
professional requirements….. • challenging non-compliance • speaking up
The Actuaries’ Code
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Open Communication Members will communicate effectively and meet all applicable
reporting standards • clear and appropriate communication for
– the intended audience – the purpose of the communication – the significance of the communication for the audience – the capacity in which the member is acting
• accurate and not misleading
The Actuaries’ Code
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© 2010 The Actuarial Profession www.actuaries.org.uk
Case Studies
IAA Fund Meeting for Asia
Hong Kong, 9-10 May 2012
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• Integrity • Competence and Care • Impartiality • Compliance • Open Communication
Principles of professionalism to apply to case studies
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• CD1 Challenging another actuary • CD2 Ethical concerns • CD3 Reporting (blowing the whistle)
Generic Case Studies