How do banks utilize actuaries?

Generally speaking, banks do not use many Actuaries. Indeed, most actuarial calculations deals with Insurance-specific topics (and regulations / accounting rules). BUT, I know of, and can imagine, several niche area where an Actuary can use her skills into the banking world. Credit analysis. read more

This actuary brings an understanding of liability risk to the design of both investment strategy and products to manage that risk. Another major type is a banking actuary, of which an investment analysis actuary falls under. These guys are employed by merchant banks and equity research companies as investments analysts. read more

According to the latest Actuarial Profession annual report, only 2.5% of actuaries are currently employed within retail and investment banks and these are mostly working within pension buyout and investment management teams. In my opinion there is a scope for that number to be increased to at least 15%. read more