Government Actuarys Department
Scheme Actuaries at the Government Actuarys Department (GAD) provide advice to a range of funded defined benefit (DB) pension schemes. This complements the extensive work GAD undertakes on unfunded public service pension schemes.
They hold a statutory role and are appointed by trustees of DB Schemes. Legislation sets out certain duties, which can only be carried out by Scheme Actuaries who also:
- provide pension scheme trustees with wider advice
- help trustees to act in the best interests of beneficiaries, now and in the future
Accredited people
In GAD we have Scheme Actuaries working in collaboration with various schemes which cover thousands of members.
Scheme Actuaries are accredited by the Institute and Faculty of Actuaries (IFoA). To gain this accreditation they must have strong technical skills, detailed knowledge of the pensions landscape and the needs of the various stakeholders, and strong business skills so that they can communicate their advice effectively and influence negotiations. They must demonstrate these skills and knowledge every year for continuing accreditation.
Credit: Shutterstock
Financial modelling
GAD advises on a combination of economic, mortality and wider demographic assumptions to enable the calculation of scheme liabilities and to measure financial risk.
We use sophisticated models to carry out the range of required calculations as well as to provide wider advice on areas such as stochastic asset liability modelling and climate scenario analysis.
It is the role of the Scheme Actuary to communicate insights from this bespoke modelling to the trustees, aided by modern data visualisation techniques.
This helps them better understand and manage the risks and opportunities associated with their pension scheme, including the performance of investments and the lifetime experiences of the membership.
Competency and experience
GAD actuary, Keith Gourlay, is a Scheme Actuary. He said: To be accredited, actuaries must demonstrate competency of working in this specialist area. This has to be built up through extensive experience.
To qualify to be a Scheme Actuary, applicants must provide examples of their work and experience and be assessed by a panel of experts at the IFoA. The panel will then make a judgement as to whether you have the experie