Sep 09

I believe the pass mark depends a lot on the last question on assumptions for embedded value v supervisory reserves.

While not much of the material deals with EV, it was surprising that a 14 mark question turned out on EV

How did most deal with it other than discussing how EV should be based on realistic assumptions and supervisory reserves on prudent assumptions?

I thought Q6 on contract design was a well-drafted question and by the time I reached the last question, I was hard pressed for time. Frankly I didn't justify 14 marks for the EV question.

Does anyone know how ST examiners view an overall agreeable script but a slipshod last answer as compared with an SA examiner? I am sure if one bungled a question in SA, it would be an F.

Are pass marks lower in ST than SA? Or is it the other way round? Any different views? Perspectives?

 

i just didn't know what to write for the 14 marker EV question apart from listing all assumptions and repeating prudent 14 times!!!!! so i just mentioned it once apart from that i said

1. negative reserves not allowed in supervisory reserving
2. lapses allowed if reserves go up

how did others tackle it??

otherwise..paper was quite balanced...only if i could remember all the core reading to write