actuaris.nl

The Data Conundrum for Risk Modelers

Nieuws
28-03-2024
Tony Hughes
Forecasts, scenario projections and other types of model output are not data. They are subject to error and potential bias, and risk managers would do well to keep this in mind when they are validating models.

Article Tony Hughes, 

Forecasts, scenario projections and other types of model output are not data. They are subject to error and potential bias, and risk managers would do well to keep this in mind when they are validating models.

Risk modelers today face a myriad of challenges, ranging from scenario analysis to forecasting to validation. But when modelers use a loose definition of the term “data,” bad habits can form quickly, creating problems they must understand and protect against.

If you research the etymology of "data," you will find that its original meaning is closely tied to the concept of a fact, something that is known or generally assumed to be true.

In modern times, however, usage of the word has expanded to include pretty much anything that can be stored in a spreadsheet. Forecasts and scenario projections are often referred to as "data," and I've even seen output from Monte Carlo simulations described in the same way. I suspect this is because computer scientists define the term very broadly to include anything that can be stored on a server.

Lees verder >>


Lees verder op: garp.org

Gerelateerde vacatures

Geïnteresseerd in een carrière bij organisaties in ditzelfde vakgebied? Bekijk hieronder de gerelateerde vacatures en vind de perfecte match voor jou!
AZL
Marktconform
Junior
Heerlen, hybride
Als Junior Actuaris bij AZL werk je met een team van 25 aan actuariële advisering, pensioenbeleid en risicomanagement: je maakt berekeningen en analyses met modellen, verwerkt beleidswijzigingen en rapporteert klanten...
Top vacature
PwC
In overleg
Senior
Amsterdam
Als Director Actuariaat & Pensioenen bij PwC geef je leiding aan strategische verandertrajecten binnen de pensioensector. Je adviseert pensioenfondsen en uitvoeringsorganisaties in de periode van de transitie naar het nieuwe...
NN
Max. 3.535
Junior
The Hague
The NN Group offers a two-year finance & risk traineeship involving three assignments across various business units, focusing on personal leadership and professional skills enhancement in finance-related disciplines.
Achmea
5.246 - 7.670
Medior
Apeldoorn
Als Actuaris bij Achmea lever je een cruciale bijdrage aan de financiële stabiliteit van de organisatie. Je werkt aan actuariële analyses en rapportages binnen het Solvency II-kader, coördineert rapportageprocessen, en...