Mathematics of Finance

Catalog description

Prepares potential actuaries to master national exams. Provides an understanding of the fundamental concepts of financial mathematics and how those concepts are applied in calculating present and accumulated values for various streams of cash flows as a basis for future use in: reserving, valuation, pricing, asset/liability management, investment income, capital budgeting and valuing contingent cash flows. Topics include: mathematics of compound interest including annuities certain, amortization schedules, yields curves, sinking funds and bonds. Gives an introduction to financial instruments including derivatives and the concept of no-arbitrage as it relates to financial mathematics.