ST226      Half Unit
Actuarial Investigations: Financial

This information is for the 2019/20 session.

Teacher responsible

Dr Gelly Mitrodima


This course is compulsory on the BSc in Actuarial Science. This course is available on the BSc in Business Mathematics and Statistics, BSc in Mathematics, Statistics, and Business and BSc in Statistics with Finance. This course is available as an outside option to students on other programmes where regulations permit. This course is not available to General Course students.

Please contact Dr Gelly Mitrodima. 


Students must have completed Mathematical Methods (MA100) and Elementary Statistical Theory (ST102).

Course content

  • Introduction to actuarial modelling.
  • The application of compound interest techniques to financial transactions.
  • Generalised cash-models to describe financial transactions such as zero-coupon bonds, fixed interest securities, cash on deposit, equities, interest only loans, repayment loans, annuities certain and others.
  • Deterministic and stochastic interest rates.
  • Equations of value with certain and uncertain payments and receipts.
  • Introduction to life insurance.


20 hours of lectures and 9 hours of seminars in the MT.

Formative coursework

Students will be expected to give written answers to a number of problem sets.

Indicative reading

J J McCutcheon & W J Scott, An Introduction to the Mathematics of Finance, Heinemann; Institute of Actuaries, Formulae and Tables for Actuarial Examinations. Core reading notes obtainable from the Institute of Actuaries.


Exam (100%, duration: 3 hours) in the January exam period.

Student performance results

(2016/17 - 2018/19 combined)

Classification % of students
First 66.7
2:1 10.9
2:2 7.5
Third 6.5
Fail 8.5

Key facts

Department: Statistics

Total students 2018/19: 123

Average class size 2018/19: 41

Capped 2018/19: No

Value: Half Unit

Guidelines for interpreting course guide information

Personal development skills

  • Problem solving
  • Application of numeracy skills
  • Commercial awareness
  • Specialist skills