Course Title

Financial and Actuary Mathematics

Code

MST 430

Professor

Course objectives (competencies): Upon completion of teaching and passing this course, students should be able to: 

• Understand the meaning, essence and need for application of concrete and advanced mathematical methods and models in solving certain problems in finance.
• To use advanced models in long-term financial operations, primarily in banking, as well as to know and use the practical methods and models necessary in the process of preparing economic and financial analyzes and plans and making economic and investment decisions.
• To acquire the basic elements of actuarial mathematics as a technical element in insurance, primarily animal, to understand the co-integrative elements of financial mathematics in animal and pension insurance.
• Be able to set actuarial models for calculating single and multiple premiums for rent insurance and models for calculating mathematical reserves for certain types of life insurance, as well as to develop quantitative analytical ability to analyze and apply life insurance models.

Course content: The course provides knowledge of advanced mathematical methods and models, for decursive and anticipatory calculation of interest in long-term financial operations, specifically in periodic investments and periodic income (rents), loan amortization through variable annuities and repayments, as well as combined models of the basic elements of loans.Students will be introduced to the specific elements of actuarial mathematics, including the calculation of single and multiple premiums in non-life and life insurance, and various actuarial models in life insurance, as well as calculations of technical (mathematical) reserves in life insurance.