LOMA 371 Exam Questions with Correct Answers

LOMA 371 Exam Questions with Correct Answers Product development - Answer-The pricess companies use to create new products or modify existing products Technical design (product design) - Answer-The phase in the product development process in which a product's financial structure is created Risk appetite - Answer-The amount and type of risk that an organization is prepared to seek in the pursuit of profits or other strategic objectives First Mover Strategy - Answer-A company attempts to be the first to enter a new market or the first to enter a current market with an innovative product Fast follower strategy - Answer-A company quickly imitates and improves a competitor's innovation or is the first to introduce a similar product into an expanded market Bid data - Answer-A large amount of info gathered from various sources in various formats and at a rapid speed Actuarial control cycle - Answer-Define the need Design the solution Monitor the results Insurance actuaries - Answer-Build models and projections to design insurance products Risk actuaries - Answer-Specialize in risk management. Involves in a company's ERM processes Appointed actuaries - Answer-Prepare actuarial reports for insurers and review the assumptions behind proposed products Finance and investment actuaries - Answer-Work with bonds, stocks, real estate and other investments Pension actuaries - Answer-Calculate and certify the contributions needed to fund a pension plan and test the assumed valuations/models Resource and environment actuaries - Answer-Study the effects of various environmental risks, such as climate change on the financial and business world and then help develop appropriate responses Actuarial opinion and memorandum (AOM) - Answer-A formal asset liability management report, consisted of two documents: Actuarial opinion Actuarial memorandum