Actuaries, statisticians and investment specialists are playing an ever expanding role in social security and society. This was a key take home message from the 19th ISSA International Conference of Social Security Actuaries, Statisticians and Investment Specialists (ACT 2018), which took place in Kuwait City, Kuwait from 6-8 November.
The ACT 2018 event, which brought together over 250 participants from 90 institutions and 57 countries, was hosted by the Public Institution for Social Security of Kuwait. Speakers from the actuarial profession, the ISSA General Secretariat and its member organizations and the International Labour Office (ILO) highlighted the important role of actuaries in the valuation of systems as well as in risk management, investment and system design and financing.
“As sustainability challenges remain a key concern for social security systems, the conference highlights the growing role of actuaries in investment and risk management,” affirmed ISSA Secretary General Hans-Horst Konkolewsky.
The conference was an opportunity to place the role of actuaries, as well as statisticians and investment specialists, into a wider context of social security and societal developments. Actuaries play an increasingly important role in different policy, design, investment and financing decisions. Dominique La Salle, Director for Social Security Development at the ISSA, emphasized that by taking a lifelong, people centric approach to social security, the actuarial profession can help drive innovation to improve people’s lives. The ISSA supports its member organizations in these areas with guidelines, workshops and other resources through its Centre for Excellence.
Observing trends and good practices
One session of ACT 2018 was dedicated to a special issue of the International Social Security Review (Vol. 71, No. 3), the content of which addresses the question of the actuarial and financial reporting of social security obligations. Jean-Claude Ménard, Chair of the ISSA Technical Commission on the Statistical, Actuarial and Financial Studies, underlined that the actuarial profession plays a central role in the financial evaluation of social security systems. Therefore, it is imperative for actuaries to contribute to shaping the debate on quantifying and reporting social security obligations. This session touched on issues related to intergenerational equity, sustainability and adequacy and also highlighted the practical use of ISSA-ILO Guidelines on Actuarial Work for Social Security.
Other sessions at the Conference included a regional review of pension reform trends, investment practice and mortality experience, which underlined the reform options in a rapidly changing context; the impact of ageing on social security systems; the changing labour market and implications for employment injury and pension systems; the role of actuaries in financing and design decisions; and investment management in an era of ageing populations and low interest rates. The sessions included examples and good practices from ISSA member organizations, and presentations from experts in the field.