The Great Global / Local Actuarial debate

As a Global recruitment company, Antal International shares with you the 7 key factors which have an impact on the global Actuarial landscape and compares these to the challenges faced in South Africa.

Global Actuarial Landscape: Challenges and Trends

1. Talent Shortage

• Globally, the demand for actuaries has been consistently high due to their expertise in risk management, insurance, and financial modelling.
• A shortage of qualified Actuaries is a common challenge faced by many countries, not just South Africa.
• Organizations worldwide struggle to find and retain skilled Actuarial professionals.

2. Emigration and Brain Drain

• The emigration of actuaries is a global phenomenon. Skilled professionals often seek better opportunities abroad.
• Countries with robust Actuarial markets experience a talent drain as actuaries move to regions with higher demand or better work conditions.

3. Regulatory Changes

• International accounting standards (such as IFRS 17) impact the Actuarial profession globally.
• Actuaries must adapt to changing regulations, affecting recruitment and retention strategies.

4. Diversity and Inclusion

• Diversity remains a challenge in the Actuarial field worldwide.
• Efforts to attract and retain actuaries from diverse backgrounds are essential for industry growth.

5. Technological Disruption

• Advancements in technology (e.g., data science, machine learning) affect Actuarial practices.
• Organizations need actuaries who can blend traditional skills with technological expertise.

6. Aging Workforce

• Many countries face an ageing Actuarial workforce.
• Succession planning and knowledge transfer become critical to maintain industry stability.

7. Industry-Specific Challenges

• Insurance: Actuaries in insurance grapple with pricing challenges, claims modelling, and risk assessment.
• Pensions and Retirement: Longevity risk, pension fund sustainability, and retirement planning are key concerns.
• Banking and Finance: Actuaries in banking focus on risk management, capital adequacy, and stress testing.

Conclusion

While South Africa shares some challenges with the global Actuarial landscape, each country’s context and specific issues vary. Organizations worldwide must address talent shortages, promote diversity, and adapt to regulatory changes. Collaborative efforts between industry bodies, educational institutions, and employers are crucial for sustaining the Actuarial profession globally.

Our team of expert Actuarial recruiters are on hand to assist you with your recruitment needs.  They have a vast depth of industry knowledge and a database which spans a global talent pool.  Contact us today to have an initial discussion on how we can help solve your Actuarial talent shortage issues within South Africa or Globally. 

References:

1. South African Actuary: Volume 7, Number 2, July 20231.
2. UCT Open Access: "Actuarial resources in high demand, what makes them stay?"2.
3. BusinessTech: "This job has a 0% unemployment rate in South Africa"3.
4. BusinessTech: "South Africa has a huge problem retaining skilled and talented workers"4.

The Actuarial Society of South Africa: "Demand for Actuarial Resources in South Africa"5