learning outcomes-based curriculum ... - university of kerala

Learning Outcomes-based Curriculum Framework (LOCF) for Post-graduate

Programme

Name of the Programme: M.Sc. Actuarial Science

(Syllabus effective from 2020 Admission)

UNIVERSITY OF KERALA Department of Demography

2020

PREAMBLE The role of higher education is vital in securing the gainful employment and providing further access to higher education comparable to the best available in the world-class institutions elsewhere. The improvement in the quality of higher education, therefore, deserves to be given tom-most priority to enable the young generation of students to acquire skill, training and knowledge to enhance their thinking, comprehension and application abilities and prepare them to compete, succeed and excel globally. Sustained initiatives are required to reform the present higher education system for improving and upgrading the academic resources and learning environments by raising the quality of teaching and standards of achievements in learning outcomes across all undergraduate programs in science, humanities, commerce and professional streams of higher education. One of the significant reforms in the undergraduate education is to introduce the Learning Outcomes-based Curriculum Framework (LOCF) which makes it student-centric, interactive and outcome-oriented with well-defined aims, objectives and goals to achieve. The University Grants Commission (UGC) took the initiative of implementing the LOCF in the Colleges and the Universities of the country. Accordingly, the University of Kerala has decided to implement the LOCF in all its departments under the auspices of Internal Quality Assurance Cell (IQAC). A series of teacher training workshops were organised by IQAC and the office of the Credit and Semester System (CSS), and the departments have revised the syllabus accordingly, through workshops and in consultation with academic experts in the field.

GRADUATE ATTRIBUTES (GAs)

The Graduate Attributes (GAs) reflect particular qualities and abilities of an individual learner including knowledge, application of knowledge, professional and life skills, attitudes and human values that are required to be acquired by the graduates of University of Kerala. The graduate attributes include capabilities to strengthen one’s professional abilities for widening current knowledge and industry-ready skills, undertaking future studies for global and local application, performing creatively and professionally, in a chosen career and ultimately playing a constructive role as a socially responsible global citizen. The Graduate Attributes define the characteristics of learners and describe a set of competencies that are beyond the study of a particular area and programme. The GAs of University of Kerala

• Continue life-long learning as an autonomous learner • Continuously strive for excellence in education • Apply and nurture critical and creative thinking • Promote sustainable development practices • Promote co-operation over competition • Balance rights with responsibilities • Understand and respect diversity & difference • Not be prejudiced by gender, age, caste, religion, or nationality. • Use education as a tool for emancipation and empowerment of humanity

ABOUT THE DEPARTMENT OF DEMOGRAPHY

The University of Kerala has the distinction of being the first University in India to introduce Demography as a scientific discipline at the post-graduate level (M.Sc. in Demography) in 1963 at the Department of Statistics. Initially attached to the Department of Statistics, it became a full-fledged department- Department of Demography and Population Studies in 1979 under the leadership of late Dr R. Ramakumar, who was the then Professor and Head of Department of Statistics. In 1997 the department was renamed as Department of Demography. The department offers MSc, MPhil and PhD programmes and also carries out research and extension activities in the field of population. Department also provides MSc programme in Actuarial science since 2013. MPhil programme in Demography was initiated in 1983, and that of Actuarial Science was instituted in 2011. The curriculum and Syllabus prepared and finalised by the Board of Studies is updated once in three years to incorporate the latest developments in the respective areas. Based on demand from the industry, we redesigned the MSc programme in Demography to include sufficient contents from Biostatistics, and the course was renamed as MSc Programme in Demography and Biostatistics in 2018. In addition to the usual academic activities, the Community Outreach Programme is carried out during the 3rd semester by the Post Graduate Students in Demography under the supervision of one of the faculty members. Under this, the students go to the field to collect information on demographic, socioeconomic, environmental aspects and regarding the facilities in the areas where studies are conducted. This programme intends to get the students familiarised with the current population situation in the rural areas and also for obtaining information about the felt needs of the population. The results of the programme are disseminated to the Panchayat Authorities, and the reports are handed over to enable them to take appropriate steps. The students undergo field training during the 4th semester and collect data from urban and rural areas for their M.Sc dissertations. The computer training for using different statistical packages is also imparted to the students. The department actively researches in various fields of mortality, fertility, migration, urbanisation, reproductive and child health, ageing of the population and periodically publish reports. The research outcomes of the department and the PRC, apart from providing valuable information to the Governmental and non-Governmental organisations, create awareness among the public regarding the current population scenario. Publication of an internationally accepted journal -Janasamkhya- was started by the department in the year 1983 and has been published semi-annually. Research articles, notes and reviews on topics relating to Population Studies, particularly Technical demography, will be considered for publication in the Journal. Workstation for research on micro-data from Census has been set up at the Department of Demography, University of Kerala by Directorate of Census Operations, Kerala, Ministry of Home

Affairs, Government of India and the University of Kerala, Thiruvananthapuram. The objective of setting up the workstation is to permit qualified researchers optimum use of anonymised micro-data from Census for in-depth research by allowing access for generating cross-tabulations not published by the Census. The facility is open to all including those who are not enrolled or part of the University. The workstation is fully equipped with all the facilities for research on confidential micro-data from Census 2001 and Census 2011. The researcher will be permitted only to use the software made available at the workstation for tabulation. The researchers may also use the printer installed in the workstation to print the approved outputs. She/he will, however, not be allowed to take out the soft copy of the micro-data in any format. The department has a library with about 8000 books related to different areas of population, which are Catalogued and arranged for easy access. The library is used by students, teachers, and researchers from inside and outside the University campus. In honour of the late Prof. R. Ramakumar, the founder Professor and Head, the department has instituted Professor R. Ramakumar Memorial Endowment Lecture. The endowment lecture is held biannually and will be delivered by eminent demographers in India. Started in the year 2003, six endowment lectures have already been conducted. The prominent speakers of the endowment lecture include Dr Vijayanunni, former Registrar General of India, Dr P. H. Reddy, former Director, Population Research Centre, Bangalore, Prof. Arvind Pandey, Director, National Institute of Medical Statistics, New Delhi and Prof. K. Srinivasan, former Director, International Institute for Population Sciences, Mumbai

UNIVERSITY OF KERALA Syllabus for M.Sc. Actuarial Science

Programme Specific Outcomes (PSO) for M.Sc. Actuarial Science

PSO 1 To equip students with a high level of knowledge on the Actuarial theory and practice.

PSO 2 To enable students to become efficient decision makers when they have to occupy positions where an actuarial expertise and risk theory are an essential component.

PSO 3 To enable students to disseminate acquired knowledge by acting as resource persons for imparting such knowledge to others.

PSO 4 To enthuse students to use such acquired knowledge as a foundation for developing professional skills to promote public interest.

PSO 5 The course also aims to give solid grounding for further intensive studies and research which are now highly in demand in the field of insurance, banking, investment, financial services, risk management, regulatory needs etc…

Programme Structure of M.Sc. Actuarial Science

Semester Course Code Name of the course Credits

I

DAS-CC-511 Foundations of Financial Mathematics 4 DAS-CC-512 Probability and Statistics Part -I 4 DAS-CC-513 Reinsurance (Basic principles, Techniques) 4 DAS-CC-514 Techniques of Demographic Analysis Part -I 4 DAS-DE-515 Role of Actuaries in Insurance and Other sectors 2 DAS-DE-516 Group Insurance and Employee Benefits 2

II

DAS-CC-521 Applications of Financial Mathematics 4 DAS-CC-522 Probability and Statistics Part -II 4 DAS-CC-523 Practical (Based on DAS-C-412 and DAS-C-422) 2 DAS-CC-524 Techniques of Demographic Analysis Part -II 4 DAS-DE-525 Research Methodology 2

III

DAS-CC-531 Life and Other Contingencies Part - I 4 DAS-CC-532 Multivariate and Computer Applications 4 DAS-CC-533 Business Economics 4 DAS-CC-534 Principles of Insurance – Life, General and Health 4 DAS-DE-535 Basic Risk Modelling 2

IV

DAS-CC-541 Life and Other Contingencies Part - II 4 DAS-CC-542 Practice of Insurance In the Indian Context 4 DAS-CC-543 Dissertation/ Internship 6 DAS-DE-544 Agriculture Insurance 2 DAS-DE-545 Basic Principles of Investment 2

Any semester

(I-IV)

DAS-GC-501 Public Health 2 DAS-GC-502 Business Demography 2

SEMESTER I Course Code: DAS-CC-511 Credits: 4

NAME OF THE COURSE: FOUNDATIONS OF FINANCIAL MATHEMATICS

Course Outcomes: CO1: The clear idea about Actuarial Science, Actuarial profession and the examination

conducted by the Institute of Actuaries, India.

CO2: Ability to handling the Cashflow models, investments and the time values of money.

CO3: Aware about how interest rates or discount rates may be expressed in terms of different time periods.

CO4: To obtaining the present value and accumulated value of a sum of money or a series of cashflows are calculated.

CO5: Calculated of the present value and accumulated values of continuously payable annuities, annuities payable more frequently than yearly.

CO6: Knowledge of professional way of approaching a financial problem involving different types of Annuities.

COURSE CONTENT:

MODULE I: Introduction to Actuarial Science, Main subjects involved in Actuarial Science, Actuarial profession, professional standards and examination, Origin and

development of the profession, Institution involved. Actuarial profession around the world and Actuarial profession in India.

MODULE II: Cash Flow models and investments- Introduction, Cash Flow Process, Examples of cash flow scenarios, a zero-coupon bond, a fixed interest security, an

index linked security, Cash on deposit, an equity and Annuity certain. MODULE III: Interest rates- Introduction, Nominal rate of interest, accumulation

factors, force of interest, Formulae for accumulation and present values, the basic compound interest functions.

MODULE IV: Discounted value and Accumulated value of cash flows, Valuing cash flows, Constant interest rate, Change in interest rates and interest income.

MODULE V: Level Annuities and determination of their values- Introduction, Present

values of Annuities payable in arrear and Annuities payable in advance and their accumulated values.

MODULE VI: Continuously payable annuities, their present values and accumulated values.

ACTIVITIES, LEARNING RESOURCES & ASSESSMENT

Suggested classroom Activities; Ø Assignments

Ø Seminar presentations Ø Debates & Discussions

Ø Quiz Learning Resources References: • Mark S. Joshi“ The Concepts and Practice of Mathematical Finance”, Cambridge

University Press, 2nd Edition (2008) • Mc Cutcheon and Scott “Introduction to the Mathematics of Finance”, Heinemann

Professional Publishing, 1989 • Paul Wilmott, Sam Howison and Jeff Dewynne “The Mathematics of Financial

Derivatives” Cambridge University Press, 1995 • Ross S.M "An introduction to Mathematical Finance", Cambridge University Press.

Assessment;

Ø 40% continuous assessment Ø 60% End semester assessment (3 Hour written exam)

Model Questions; 1. Who is an actuary?

2. Describe the cashflows for an organisation that issues a zero-coupon bond?

3. Find the accumulation of a payment of Rs 400/- for 6 ½ years under compound interest rate 12 ½ % per annum.

4. Rs. 250 is invested in a savings account. The nominal rate of interest

convertible monthly for the first three months is 18% and the nominal rate of interest convertible quarterly for the next 9 months is 20%. How much is the

account at the end of the year. 5. A company expects to receive for the next five years a continuous cashflow

with a rate of payment of 100*0.8t at time t (years). Calculate the present value of the cashflow assuming a constant force of interest of 8% per annum.

6. Find the present value as at 1 june 2000 of payments of rs. 1000/- payable on the first day of each month from July 2000 to December 2000 inclusive,

assuming a rate of interest of 8% per annum convertible quarterly.


NAME OF THE COURSE: PROBABILITY AND STATISTICS PART - I

Course Outcomes:

CO1: knowledge related to concept of discrete and continuous random variables and

their probability distributions including expectation and moments.

CO2: knowledge to conceptualise the probabilities of events including frequentist and axiomatic approach. Simultaneously, they will learn the notion of conditional probability including the concept of Bayes’ Theorem, etc…

CO3: knowledge of important discrete and continuous distributions such as Binomial, Poisson, Geometric, normal, uniform, exponential, beta, gamma, Chi – square, Student’s t and F distributions.

CO4: Deep knowledge of complete sample, sampling frame, sampling distribution, sampling methods, sampling and non-sampling probabilities, principal steps in sample surveys, limitations of sampling etc.,

CO5: Concept of central limit theorem and its uses in statistics.

COURSE CONTENT:

MODULE I: Descriptive Statistics –Variables- Types of variables- Frequency distribution and graphic representation- Measures of central tendency and dispersion-

Moments- Skewness and Kurtosis MODULE II: Probability Concepts and Random Variables -Basic concepts- Addition

theoremMultiplication theorem- Conditional probability- Bayes’ Theorem- Probability Density FunctionDistribution Function- Expectations- Moment Generating Function-

Cumulant Generating Function and Characteristic Function MODULE III: Discrete and Continuous Distributions – Uniform distribution- Binomial-

PoissonGeometric- Exponential- Gamma- Beta and Normal distribution MODULE IV: Joint Distributions - Concepts of independence- jointly distributed

random variables and conditional distributions and application of generating functions to establish the distribution of linear combinations of independent random variables

MODULE V: Sampling and Sampling Distributions – Probability and Non-Probability Samplingdifferent sampling methods- Chi-Square- Student’s t and F distributions

MODULE VI: Central limit theorem and its applications.

ACTIVITIES, LEARNING RESOURCES & ASSESSMENT Suggested classroom Activities;

Ø Assignments


Ø Quiz Learning Resources References: • Chin Long Chiang “Statistical Methods of Analysis” World Scientific Books, 2003

• Dekking, F.M., Kraaikamp, C., Lopuhaa, H.P., Meester, L.E., “A Modern Introduction

to Probability and Statistics” Springer Text Series, 2nd Edition • Patrick Brocket Arnold Levine Saunders “Statistics and Probability and their

applications, College publications, USA

• Gupta S.C, V.K Kapoor, “Fundamentals of Applied Statistics”, Sultan Chand and

Sons,New Delhi • Gupta S.C, V.K Kapoor, “Fundamentals of Mathematical Statistics”, Sultan Chand

and Sons,New Delhi

Assessment; Ø 40% continuous assessment

Ø 60% End semester assessment (3 Hour written exam) Model Questions

1. Why is skewness important in statistics? 2. What is the probability that at least two out of n peoples have the same

birthday? Assume 365 days in a year and that all days are equally likely.

3. The outcomes of an experiment are represented by points in the square bounded by x=0, x=2, and y=2 in the xy plane. If the probability is distributed uniformly, determine the probability that 𝑥! + 𝑦! > 1.

4. Deduce the first four moments about the mean of the poisson distribution from those of the binomial distribution.

5. Define moments. Explain the relation between the central moments and raw moments of a frequency distribution and hence express the first four central

moments interms of the raw moments.

6. Discuss central limit theorem. 7. In descriptive research, is probability sampling or non probability sampling

utilized?


NAME OF THE COURSE: REINSURANCE (BASIC PRINCIPLES, TECHNIQUES)

Course Outcomes: CO1: The capabilities of assessing various reinsurance treaties and working of

reinsurance market.

CO2: An in-depth analysis of the working of Reinsurance market in India.

CO3: The students will acquire the capabilities of assessing various reinsurance treaties and working of reinsurance market.

CO4: To understanding the reinsurance treaties between the insurer and reinsurer will be established through practical examples.

COURSE CONTENT:

MODULE I: Reinsurance- introduction-functions and advantages. Forms of reinsurance. Factors affecting reinsurance. “Follow the fortune clause” in reinsurance.

MODULE II: Methods of reinsurance-Quota share, variable quota share, probable maximum loss method.

MODULE III: Reinsurance treaties-proportional treaty, quota share treaty, non-proportional treaty. Retention and reinsurer’s share. Non-proportional methods of

reinsurance-excess of loss cover method, stop loss method. MODULE IV: Reinsurance premium, ceding commission. Inception and termination

of reinsurance treaty. Distinguish between ceding commission and commission paid

to Agents and brokers. MODULE V: Reinsurance in India. GICRe, stabilization of claims ratio, protection of

solvency margin, stabilisation of profitability. MODULE VI: Reinsurance loss reserving programme objectives, primary objectives.




Ø Quiz Learning Resources References: • Harrison, Reinsurance principles and practise.

• Robert.W.Strain, Reinsurance

• IRDA regulations and guidelines on reinsurance.


Ø 60% End semester assessment (3 Hour written exam)

Model Question;

1. Describe briefly the functions and advantages of Reinsurance and also briefly explain "Follow the fortune clause" in Reinsurance.

2. Explain the salient features of variable quota share method and Probable maximum loss method

3. Distinguish between proportional treaty and non proportional treaty and briefly explain Excess loss method and Stop loss method.

4. Distinguish between ceding commission and commission paid to Agents and brokers.

5. How does Reinsurance stabilize claims ratio and protect the solvency margin of the Insurer.

6. What are the primary objectives of Reinsurance programme in India.


NAME OF THE COURSE: TECHNIQUES OF DEMOGRAPHIC ANALYSIS PART I

Course Outcomes:

CO1: gets up to date knowledge of available tools for analyzing demographic data

obtained from surveys, census and vital registration systems. CO2: knowledge about sources of demographic data, quality of data and

adjustments. CO3: To understand all the mathematical procedures that measure population

change. CO4: The basic measures of fertility and reproduction are explained in order to

understand the population dynamics and human reproduction process for the effectiveness of population control programmes and their evaluation.

CO5: Different measures of nuptiality and techniques for analyzing the marital data in understanding the process of marriage and its dissolution.

CO6: Migration which forms as an important component of population growth. CO7: get knowledge about appropriate measures of urbanization.

COURSE CONTENT

MODULE I: Introduction: Concepts and Definitions of terms- fertility, mortality-

Nuptiality- Migration- Structure of Population: Measures of Age and Sex Composition of the PopulationAge - pyramid, Quality of Age data- Errors in demographic data –

Whipple’s Index, Myer’s Index- UN Joint Score Index- Sources of data – Census- Vital Statistics- Sample Surveys- Population registers- Quality of Data – Evaluation and

Adjustment of Demographic Data Interpolation and Graduation

MODULE II: Population Growth: Measures of Population growth – Balancing Equation Arithmetic- Geometric- Exponential, Logistic- Doubling Time- Rates and Ratios –

Person years lived- Crude and Specific Rates- Standardization – Direct and Indirect Methods: Components of Rates

MODULE III: Mortality Measures Introduction- Crude and Specific Rates-

standardized/Rates Infant Mortality – Infant Mortality Rate- Neo-natal, mortality rate- Post neonatal mortality- Peri natal mortality- Foetal Death- Morbidity: Prevalence and

Incidence Rates- Maternal Mortality

MODULE IV: Fertility Measures :Introduction- Concepts- Types of Analysis- Period

and Cohort Measures - Crude and Specific Rates- Standardised Rates Coale’s Fertility indices –Total Fertility Rate- Gross Reproduction Rates- Net Reproduction Rate-

Replacement Index

MODULE V: Measures of Nuptiality – Introduction- Crude Marriage rate- General Marriage rate- Age – Specific Marriage rate- Total Marriage rate- Mean Age at

Marriage- Singulate Mean Age at Marriage.

MODULE VI: Migration and Urbanization- Introduction and Concepts- Measures of Migration- Measures of Urbanization- Degree, Tempo and Concentration- Population

and Distribution- Centrality and Hierarchy.-Labour Force- Measures of Dependency – Age and Economic – Work Participation Rates




Ø Quiz Ø Fieldwork and survey

Learning Resources References:

• Barclay G W Techniques of Population Analysis, New York, John Wiley and

Sons, Inc

• Hinde, Andrew Demographic Methods, London,1998

• Jaffe A J, Hand Book of Statistical Methods for Demographers, Washington, US

Govt. Printing Office

• MISRA B D An Introduction to the Study of Population, Madras, Publishing

• Athak, K.B. & F.RAM Techniques of Demographic Analysis, Mumbai, Himalaya

publishing house.

• Pollard J H Demographic Techniques Australia, Pengamon Press.

• Preston, Samuel H, Patrick Heuveline and Michel Guillot: Demography –

Measuring and Modeling Population Processes.

• Ramakumar R Technical Demography, New Delhi, Wiley Eastern Ltd.

• Shryock, Henry S, Jacob S Seigel and Associates, The Methods and Materials of Demography Vol. 1 & 2, Washington DC US Bureau of the Census.

• SPEEGELMAN M Introduction to Demography Cambridge, Harvard University

Press

• Srinivasan K, Basic Demographic Techniques and Applications, New Delhi Sage

Publications. Assessment;

Ø 40% continuous assessment


Model Questions; 1. Explain the various measures of fertility?

2. Explain the methodology of calculating Singulate mean age at marriage. Calculate SMAM for the following data.

Age at first

marriage

No. of women(in

thousands)

Age Group Percentage of women

never married

15-19 155 15-19 97.5

20-24 147 20-24 64.8

25-29 132 25-29 35.8

30-34 112 30-34 21.3

35-39 100 35-39 15.3

40-44 88 40-44 12.6

45-49 74 45-49 11.3

50-54 67 50-54 10.0

3. Write short notes on any two

a) Age Pyramid

b) Any four measures of migration

c) Census d) Net and Gross Reproduction Rates

4. Explain about any two indices that are used for measuring errors in age data. 5. Describe briefly any 4 ratios (not rates) that are used in demographic

analysis. 6. a) Describe how standardization technique helps in improving inference on

comparison of two crude death rates. b) Describe the various measures of population growth.

7. Explain the different methods for measuring Infant Mortality Rate?

8. What are the different measures of age and sex composition? 9. Explain the determinants of mortality?

SEMESTER I Course Code: DAS-DE-515 Credits: 2

NAME OF THE COURSE: ROLE OF ACTUARIES IN INSURANCE AND OTHER

SECTORS

Course Outcomes: CO1: The ability to develop basic knowledge of stochastic and liability models. CO2: To identify the emerging risks, execution and valuation of risk mitigation. CO3: To understand about premium pricing, calculation of surrender value and

calculation of solvency margin. CO4: To understand the Actuaries functions as a Chief risk officer. CO5: To understand the duties and responsibilities of Actuaries in life, general and

health Insurance.

COURSE CONTENT MODULE I: Role of Actuaries in life and general insurance-establishing estimates for

unpaid claim liabilities, premium pricing, surrender value calculations, underwriting, solvency calculations.

MODULE II: Role of Actuaries in health insurance-product development, pricing,

reserving, solvency calculations, health utilisation and trend forecasts, health risk status analysis.

MODULE III: Role of Actuaries in private pensions and other employee benefits-funding requirements of occupational pension schemes and its solvency requirements,

stochastic asset-liability model. MODULE IV: Role of Actuaries in ERM(Enterprise Risk Management)- functions as a

CRO(Chief Risk Officer), identify emerging risks, execution and valuation of risk mitigation.




Ø Quiz Learning Resources References:

• Anderson.A.W, Pension Mathematics for Actuaries • A.Standstorm, Solvency models, assessment & Regulation.

Assessment;


Model Questions;

1. Discuss the role of actuaries in life and general health insurance.

2. Describe, how to identify risk. 3. Explain the duties and responsibilities of an Actuary.

SEMESTER I Course Code: DAS-DE-516 Credits: 2

NAME OF THE COURSE: GROUP INSURANCE AND EMPLOYEE BENEFITS

Course Outcomes: CO1: To understanding of the various Group Insurance schemes. CO2: The students shall get to identifying the employee benefits like Pension,

Superannuation schemes and Group Gratuity schemes. CO3: An insight into the features of Group Insurance contracts vis-a-vis Life

Insurance contracts. CO4: To understand the advantages and disadvantages of group schemes and the

various employee benefit schemes.

COURSE CONTENT MODULE I: Introduction to superannuation schemes- Pension-various types of

pension and the options available. Two methods of calculation of pension-defined benefits scheme and defined contribution scheme.

MODULE II: Group life insurance-primary objective. Distinguish between group

insurance from individual insurance. Various group schemes and the benefits available in such group schemes.

MODULE III: Gratuity benefits under payment of gratuity Act. Funding of gratuity liability. Group gratuity scheme and the method of operation.

MODULE IV: Salient features of group pension schemes. Group savings linked insurance.

MODULE V: Employees state insurance schemes(ESIS) and group Mediclaim schemes.




Ø Quiz


• Employees state insurance Acts & rules. • Group insurance- a text book by I.I.I

• Payment of gratuity Act 1972

• S.G.Diwan, Group insurance



Model Questions;

1. Distinguish between Defined benefit scheme and Defined contribution scheme method of calculation of pension.

2. Distinguish between group insurance from individual insurance. List the various group schemes and the benefits available under these schemes.

3. Discuss Gratuity schemes and the two ways of funding gratuity liability. 4. Explain the following:- a. GSLI scheme. b. Irrevocable trust. c. ESIS scheme.

SEMESTER II Course Code: DAS-CC-521 Credits: 4

NAME OF THE COURSE: APPLICATIONS OF FINANCIAL MATHEMATICS

Course Outcomes:

CO1: The ability to present values of increasing annuities, decreasing annuities and

varying annuities calculation. CO2: Knowledge about the yield on a transaction, values of payments depending on

probability.

CO3: Ability to identify the various methods of repayments of a loan, calculating the outstanding loan after a certain period etc…

CO4: Knowledge of project appraisal, internal rate of return, payable period, discounted payback period.

CO5: Knowledge of money weighted return, time weighted return and linked internal rate of return and the different types of investments.

CO6: Broad description of various higher order financial products and practical compound interest problems will be analysed.

COURSE CONTENT: MODULE I: Deferred and Increasing Annuities, Continuously payable Annuities,

Annuities payable p- times a year, Varying Annuities and Decreasing Annuities. MODULE II: Equations of value, Yield on a transaction, solving an unknown quantity

and values of payments depending on probability. MODULE III: Analysis of loan schedules and EMI- Introduction and an example,

calculating the capital outstanding, Prospective and Retrospective method of calculating the loan outstanding. The loan schedule, flat rates and APRs.

MODULE IV: Project appraisal- Comparing two different projects, internal rate of return, net present value, accumulated profit, payback period and discounted payback

period. MODULE V: Different rates of return- Money weighted return, Time weighted return

and linked internal rate of return. MODULE VI: Investments- Fixed Interest Government bonds, Government bills,

Debentures, Unsecured loan stocks, Ordinary shares, Preference shares and

Convertibles.


Ø Assignments Ø Seminar presentations

Ø Debates & Discussions Ø Quiz

Ø Demonstration of simple experiments


• Mark S. Joshi “ The Concepts and Practice of Mathematical Finance”, Cambridge University Press, 2nd Edition (2008)

• Mc Cutcheon and Scott “Introduction to the Mathematics of Finance”,

Heinemann Professional Publishing, 1989

• Paul Wilmott, Sam Howison and Jeff Dewynne “The Mathematics of Financial

Derivatives” Cambridge University Press, 1995

• Ross S.M " An introduction to Mathematical Finance", Cambridge University

Press



Model Questions; 1. Describe what the symbol (𝐷𝑎****)"¬ represents and derive a formula for it.

2. An investor pays Rs. 100/- now in order to get Rs. 60/- back in 5 years time and another Rs. 60/- in 10 years time. What is the annual effective rate of

interest (yield) earned on this investment. 3. A bank lends a company Rs. 5000/- at a fixed rate of interest of 10% per

annum. The loan is to be repaid by five level annual payments. Calculate the interest and capital payments at each repayment date.

4. A speculator borrows Rs. 50,000/- at an effective interest rate of 8% per annum to finance a project that is expected to generate Rs. 7500/- at the end of each

year for the next 15 years. Find the discounted payback period for this investment.

5. A life office operates a far east fund which achieved quarterly money weighted

rates of return of 4.1%, 2.8%, 1.7% and 2.1% during the four quarters of 1999. Calculate the linked rate of return for 1999.

6. A friend of years says “ordinary shares are the most risky form of investment, so a prudent investor should avoid investing in them.” Comment briefly on this

statement.


NAME OF THE COURSE: PROBABILITY AND STATISTICS - PART - II

Course Outcomes: CO1: The ability to apply basic analytical tool to a set of data.

CO2: knowledge about important inferential aspects such as point estimation, test of hypotheses and associated concepts.

CO3: Knowledge of correlation, regression analysis, regression diagnostics, partial and multiple correlations.

CO4: carry out one way and two way Analysis of Variance.

CO5: Calculations of time series data, its applications to various fields and components of time series, fitting of trend by Moving Average method, measurement of Seasonal Indices by Ratio-to-Trend , Ratio-to-Moving Average etc…

COURSE CONTENT

MODULE I: Methods of Estimation and properties of estimators and their applications – the methods of moments- the method of maximum likelihood- unbiasedness-

consistency- efficiency- Mean square error- Asymptotic distribution of MLEs MODULE II: Confidence Intervals – derivation of confidence intervals- confidence

intervals for two-sample problems and interpretations on unknown parameter values MODULE III: Testing of Hypothesis – Level of significance- Type one and type two

errors- critical region- small sample and large sample tests- testing of hypothesis for

mean- variance and proportions and differences- Chi square tests for goodness of fit

and independence of attributes MODULE IV: Correlation and Regression – Relation between variables- Curve fitting

and Principle of least squares, two regression lines- Angle between regression Lines- Pearson coefficient of correlation- Rank Correlation Coefficient- testing of Correlation

Coefficient MODULE V: Analysis of Variance and their applications - One way classification Two

way classification MODULE VI: Time Series Analysis – Introduction- Meaning- Uses- Components of

Time Series- Measurements of trend.




Ø Demonstration of simple experiments Learning Resources References:

• Chin Long Chiang “Statistical Methods of Analysis” World Scientific Books, 2003

• Dekking, F.M., Kraaikamp, C., Lopuhaa, H.P., Meester, L.E., “A Modern

Introduction to Probability and Statistics” Springer Text Series, 2nd Edition

• Patrick Brocket Arnold Levine Saunders “Statistics and Probability and their applications“, College publications, USA

• Gupta S.C, V.K Kapoor, “Fundamentals of Applied Statistics”, Sultan Chand and Sons, NewDelhi

• Gupta S C, V.K Kapoor, “Fundamentals of Mathematical Statistics”, Sultan Chand and Sons, NewDelhi



Model Questions

1. What is meant by a time series analysis and methods of measuring trend

components? 2. Describe Analysis of Variance (ANOVA) with two-way classification explaining

the context in which they are done. 3. What is meant by correlation and Rank correlation? Explain the method of

calculation. 4. What are the properties of a good estimator? Discuss with suitable examples.

5. Explain method of moments. State its properties. 6. Discuss the five steps of hypothesis test.


NAME OF THE COURSE: PRACTICAL (based on DAS-C-412 and DAS-C-422)

Course Outcomes:

CO1: Students should acquire the exhibit ability to collect financial or demographic

data, to use computer and mathematical software to access information and process data, and to exercise good judgement in analysing data.

CO2: Students shall get the skills of data interpretation and report writing.

COURSE CONTENT

MODULE I: Questionnaire preparation, Data entry – Data view – variable view- insert variable- insert cases- sort cases- merge files- aggregate files- copy data set- split

files- select cases- weight cases. MODULE II: Compute variable- count values within cases- record – into same

variables- into different variables- automatic record- rank cases- time series creation- replace missing values- random number generators.

MODULE III: Reports – OLAP cubes- case summaries- report summaries in rows and in columns- Descriptive statistics – frequencies- descriptive- explore- cross tabs-

ratios- Q -Q plots- P- P plots- Tables – custom tables- multiple response sets. MODULE IV: Parametric tests - Compare Means – Means- one sample t test-

independent samples t test- paired-samples t test- one way ANOVA MODULE V: Non-parametric tests – Chi square- Binomial- one sample K-S test- two

samples tests. MODULE VI: Data interpretation and inference- report writing.



Ø Seminar presentations


Ø Demonstration of simple experiments Ø practical


• Ajai.S.Gaur, Sanjaya.S.Gaur “Statistical Methods For Practice And Research”, A

Guide to Data Analysis Using SPSS, SAGE publications,NewDelhi, Thousand Oaks, London-2007

Assessment;



NAME OF THE COURSE: TECHNIQUES OF DEMOGRAPHIC ANALYSIS PART -

II Course Outcomes: CO1: Understand the concept of life table.

CO2: how to construct a life table

CO3: Application of life table in various contexts

CO4: gets knowledge about the construction of multiple decrement life table – Multi state life table

CO5: to get the knowledge of structure of population. CO6: helps to understand all the demographic and mathematical procedures that

are used in estimation and projection of population. CO7: Carry out population projections independently.

CO8: can apply projections, which is required for the development planning process.

COURSE CONTENT MODULE I: Life Table- Concepts- Assumptions- Construction of Life tables-Complete

and Abridged MODULE II: Various types – Single Decrement Associated Life tables, Double

Decrement Life Table- Force of Mortality- Uses of Life Tables. MODULE III: Multiple Decrement Life table – Multi State Life table- Applications

Nuptiality Tables- Contraceptive Effectiveness-Working Life Tables MODULE IV: Structure of Population – Stable, Quasi-stable-Stationary Population-

Lotka’s Stable Population Theory- Applications – Population Momentums- Reproductive value

MODULE V: Population Estimation and Projections – Methods of Population

estimation and Projection – Mathematical and Cohort Component methods- Assumptions, on fertility- Mortality and Migration

MODULE VI: Sub-National Population Projections – Various Methods- URDG-Projection of Labour Force- Educational Population.





• Coale A J, The Growth and Structure and Human Population – A Mathematical

Investigation : Princeton Univ. Press, Princeton

• Coale A J & Demeny P: Regional Model Life Table and Stable Population :

Princeton Univ. Press, Princeton

• Frejka James, Future of Population Growth: Alternate Paths to Equilibrium:

John Wiley and Sons, Inc. N.York

• Henry, Louis, Population Analysis and Model: London, Edward Arnold

• Hinde Andrew, Demographic Methods: London, Arnold

• Keyfitz N, Introduction to the Mathematics of Population London, Wesley

• Keyfitz N, Applied Mathematical Demography John Wiley and Sons

• Krishsnan Namboodiri & Suchindran C M, Life Table Techniques and their Applications Florida, Academic Press

• Land Ckenneth & Rogers Andri, Multidimensional Mathematical Demography

New York, Academic Press

• Pathak K B & F Ram, Techniques of demographic Analysis, New Delhi, Himalaya

Publishing

• Pittenger B Donald , Projecting State and Local Population Cambridge Battenger

Publishing Company

• Pollard J H, Mathematical Models for the Growth of Human Population, London

Cambridge Univ. Press

• Preston Samuell H Patrick Heuveline & Michel Guillot, Demography Measuring & Modeling Population Processes Oxford, Blackwell

• Ramakumar R, Technical Demography, New Delhi, Wikey Eastern Ltd.

• Shryock H S et al, The Methods and Materials of Demography, New York,

Academic Press

• United Nations, Manual III Methods for Population Projection by Sex and Age:

New York

• United Nations, Methods of Analysing Census Data on Economic Activities of

the Population, New York Assessment;


Model Questions;

1. What are the applications of life table technique?

2. Describe the mortality trends in Kerala. What are the implications of the changing mortality pattern?

3. a) Calculate IMR for the year 2012 by different measures of IMR (10 marks)

Year Live Birth Infant deaths of

Current birth

cohort

Previous birth

cohort

2011 3159958 47566 5210

2012 3144198 45321 5204

2013 3167788 43183 5082

4. Explain the importance sources of data for the study of mortality.

5. Explain the different methods of conversion of ASDR to probability of death.

6. Complete the blanks in the partial life table explaining procedure

Age qx dx lx Lx Tx ex

41 0.00300 92785 92632 33.02

42 92479 92311 2971478 32.13

43 0.00397 92144 2879167 31.25

44 0.00435 91578 2787206 30.37

45 0.00476 91378 91161 2695628

7. Explain the determinants of mortality? 8. Explain the different methods for measuring Infant Mortality Rate?

9. What is population projection? Discuss about the mathematical methods of population projections?

10. Make population projection using the survival ratios given and find the

following. (Assume that the mortality conditions of the population remains the same for the next 15 yrs and there will be no migration.)

a) The number of males in the age group 15 – 64, in 2016

b) The number of males aged greater than or equal to 60, in 2026.

Age Group Population (Males)

Survival Ratio

0-4 44,000 0.9343

5-9 38,000 0.9728

10-14 33,000 0.9704

15-19 27,000 0.9645

20-24 23,000 0.9595

25-29 20,000 0.9552

30-34 17,000 0.9543

35-39 15,000 0.9372

40-44 11,000 0.9401

45-49 10,000 0.9265

50-54 8,000 0.9118

55-59 6,000 0.9074

60-64 5,000 0.8734

65-69 4,000 0.8234

>=70 5,000 0.7506

11. Describe any two methods of sub national population projection.

12. Describe multiple decrement life table and steps involved in the construction of life table by cause of death?

13. Describe about on any one

a) Gross and Net nuptiality tables b) Working life table

14. By using modified exponential function project the population to 2021

Year Population

1961 11032

1971 13549

1981 16904

1991 21347

2001 25454

2011 29034

SEMESTER II Course Code: DAS-DE-525 Credits: 2

NAME OF THE COURSE: RESEARCH METHODOLOGY

Course Outcomes: CO1: A general introduction to social science research methods. CO2: To develop understanding of the basic framework of research process. CO3: To develop an understanding of various research designs and techniques. CO4: To identify various sources of information for literature review and data

collection. CO5: Formulate good research questions and design appropriate research. CO6: Collect their own data using a variety of methods. CO7: Analyse both qualitative and quantitative data using computer-based skills. CO8: Critically evaluate their own research and that of other social scientists.

COURSE CONTENT MODULE I: Social Research- Scope of Social Research- Development of Research

Methodology- Nature and Importance of research, aims of social research- research

process- pure research vs- applied research- qualitative research vs quantitative research- exploratory research- descriptive research and experimental research-

Stages of research process MODULE II: Research Design- Meaning of Research Design- Functions and goals of

Research Design- characteristics- phases- design for different types of research- pilot study

MODULE III: Sampling design and sampling procedures- Probability Vs- Non-probability sampling techniques- determination of sample size- Questionnaire

Construction and Interviewing Case Studies-Content Analysis-Data processing and Analyses- Coding- Tabulation.

MODULE IV: Methods of Data Collection - Discussion on primary data and secondary

data- tools and techniques of collecting data- Observational- Survey Research- Qualitative- Secondary data analysis.

MODULE V: Testing of Hypothesis- Small sample test- Student’s- t distribution- chi- square test- F-test - test for Mean- Test concerning Proportions- Correlation and

Regression MODULE VI: Analysis Methods- Editing and coding, transform raw data into

information- basic data analysis- descriptive statistics- Interpretation and Report Writing- Bibliography- Citation




Ø Field work Learning Resources References:

• Arlene Finil & Jacqueline kosecoff, How to conduct surveys, - A step by step

guide, New Delhi, Sage Publications

• Desai P B, A survey of research in Demography, Mumbai, Popular Prakashan

18 18 • Devendra Thakur, Research Methodology in Social Sciences, New Delhi, Deep

and Deep Publication

• Goode, William J & Paul K Hatt, Methods in Social Research Mc GRAW HILL,

International Book Company

• Julian L Simon, Basic Research Methods in Social Science –The Art of Empirical

Investigation, New York, Random House

• Kenneth D Bailey, Methods of Social Research, New York, Macmillon Publishing Company. Inc.

• Kothari C R, Research Methodology Methods and Techniques, New Delhi,

Wishwa Prakashan

• Nachmias David & Chava Nachmias, Research Methods in the Social Sciences,

New York, St.Martin’s Press

• Therese L Baker Doing Social Research, New York, Mc. GRAW HILL

• Wilkinson T S & P L BHANDRKAR Methodology and Techniques of Social

research Mumbai, Himalaya Publishing House



Model Questions

1 Explain the important aspects embodied in a research design. 2 . How do you differentiate quantitative research from

qualitative research? Discuss about the advantages and disadvantages of each with appropriate examples

3. Discuss with example hypothesis formulation, testing, generalization and interpretation. Is hypothesis is a must for all research studies?

4. Distinguish between schedule and questionnaire. Explain the important guidelines followed in preparation of survey questionnaire.

5. Discuss in detail the methods of data collection and observation as an

important tool of data collection in scientific research. 6. Write a critical note on the theory of sampling and also explain the

various methods of sampling used in social science research.

7. Discuss in brief classification and tabulation of data.

8. Write short notes on any three (a ) Differentiate correlation and regression.

(b) Chi-square Test (c ) Sampling and Non sampling errors

(d) Pilot study (e ) Dichotomous questions.

SEMESTER II Course Code: DAS-GC-501 Credits: 2

NAME OF THE COURSE: PUBLIC HEALTH

Course Outcomes: CO1: Explain what public health and reproductive health are CO2: Explain indices of physical development

CO3: Explain the basic concepts in epidemiology

CO4: Summarize measures in epidemiology

CO5: Illustrate measures of morbidity and mortality

CO6: Identify the types of nutritional abnormalities

CO7: Explain the sampling design in various national surveys COURSE CONTENT

MODULE I: Concepts of health and morbidity- definition of health, physical development- indices of physical development- Measures of Morbidity and Disability-

Patterns of morbidity in developing and developed countries- communicable and non-communicable diseases- Trends and patterns in India and Kerala-Morbidity and

mortality linkages- Epidemiological and demographic Transition theories MODULE II: Health and Development- Social determinants of health- inter linkages

between health and Development at local and national levels- globalization and poverty- impact of development Policies on health- Health equity.

MODULE III: Basic Health Economics- Demand and Supply of Health- Health Care

Cost- Health insurance- Cost benefit analysis.

MODULE IV: Health policy-National and state – Critical appraisal- Health Programmes

and Health Care Systems in India – National Health Programmes- health care systems in different states.

MODULE V: Reproductive Health- Definition- General concepts- Maternal and child health- Prenatal and Antenatal care- sanitation- Hygiene- Reproductive Rights-

STD,RTI,HIV/AIDS- Male involvement in Reproductive health- Indian Scenario. MODULE V1: Nutrition- Nutrients- Nutritional deficiency diseases- Nutritional

requirement of special groups- Pregnant and lactating women- infants- children and aged- Nutrition Survey- Nutritional Tables-Nutritional situation in India (NFHS-1,2,3,4)

Anemia. ACTIVITIES, LEARNING RESOURCES & ASSESSMENT



Ø Quiz Ø Demonstration of simple experiments


• Charles H Hennekens and Julie E Burning (1987), ‘Epidemiology in medicine’

edited by Sherry L Meyrent; Little, Brown and Company

• Chatterji K D (1952), Human Parasites and Parasitic Diseases, Calcutta

• ICMR and ICSSR (1981) Health for All : An Alternative Strategy, Indian Institute

of Education, Pune.

• J E Park and K Park, Textbook of Preventive and Social Medicine

• Kark S L (1974), Epidemiology and Community Medicine

• Kleinbaum D G; Kupper L L & Morgenstern H (1982): “Epidemiologic Research – Principles and Quantitative Methods”. A Van Nostrand Reinhold Book, New

York 20 20

• Monica Das Gupta, L C Chen and T N Krishnan (Editors) “Epidemiologic and

morbidity transition” in the book Health, Poverty and Development in India

• Shyvin S Mader, ‘Human Biology’ Win C Brown Publishers

• W W Daniel (1974), Biostatistics: A foundation analysis in the Health Sciences,

John Wiley and Sons, Inc. New York

• WHO (1971): International Health Regulations Online Resources:

• https://www.teachepi.org/ • https://www.affordablecollegesonline.org/degrees/public-health-

programs/resources/ Assessment;

Ø 40% continuous assessment


SEMESTER III Course Code: DAS-CC-531 Credits: 4

NAME OF THE COURSE: LIFE AND OTHER CONTINGENCIES PART - I

Course Outcomes: CO1: The different types of assurances and how the probability of death and survival

are calculated using life tables.

CO2: The different types of Life annuities and increasing life Annuities.

CO3: Handling the different life tables, select tables, ultimate tables and also notation for different probabilities.

CO4: The clear idea for select period in a select Mortality table.

CO5: The after calculation for the single premium, Annual premium is arrived for different types of Assurances.

CO6: Also shows how the annual premium is arrived at for a with profit policy.

COURSE CONTENT MODULE I: Life assurance contracts such as Term Assurance, Whole Life Assurance,

Pure Endowment Assurance and Endowment Assurance.

MODULE II: Life Annuity Contracts such as Annuity for Life, Annuity payable for a certain period or till death if death happens earlier and increase in life Annuity.

MODULE III: Different Life Tables, notations for different probabilities used, select table and Ultimate table.

MODULE IV: Evaluation of single premium for different types of Assurances and Annuities.

MODULE V: Evaluation of Annual Premiums for different types of Assurances. MODULE VI: With profit policies and Calculation of Premium.





• Alistair Neil “Life Contingencies”, Butterworth-Heinemann Ltd., Illustrated

Edition (1977) • Smith B.H “Contingencies of Value”, Harward University Press, 1988

• Griffith Davis “Table of Contingencies”, Longman & Co, 1825: University of

California Library

• Life and Other Contingencies- P F Hooker & L H Longley-Cook – Cambridge –

ISBN 0- 521-05327-7 • Michael M Parmenter, “Theory of Interest and Life Contingencies with Pension”,

3rd Edition.


Ø 60% End semester assessment (3 Hour written exam) Model Questions;

1. What benefits are covered under an endowment policy issued to a person aged

40 if the term of the policy is 20 years and sum assured is Rs. 100000/-. 2. What benefits are available to a person who has taken a life annuity for a period

of 20 years at age 30 denoted by 𝑎$%:!%¬

3. What is select period in a select mortality table.

4. Derive the formula for calculation of single premium payable by a person aged (x) for an endowment policy for n years for a sum assured of rs. 1. Use LIC

(1970-73) ultimate table with 6% interest. Also calculate single premium. 5. On the basis of LIC (1970-73) ultimate table at 6% calculate the net annual

premium for a sum assured of rs. 1000/- for a whole life assurance on(30). 6. Calculate the office annual premium for a whole life assurance for rs. 20000/-

to person aged 40. Bonus loading is 25% per annum. Provide for first year expenses at 55% of premium and 17% sum assured; and renewal expenses of

5% of premium and 6% sum assured. Use LIC (1970-73) ultimate table with 6% interest.


NAME OF THE COURSE: MULTIVARIATE ANALYSIS AND COMPUTER

APPLICATION Course Outcomes: CO1: Knowledge on the need for multivariate analysis.

CO2: Understand the concept Qualitative and Quantitative Variables

CO3: Understand the terms, Dummy variables, Interaction, Autocorrelation and Multicollinearity.

CO4: To get an idea on Multiple Correlation and Multiple Regression CO5: Articulate the knowledge on various multivariate techniques.

CO6: Understand the theory and application of Logistic Regression. CO7: To get an idea on Survival models and theory and application

of Proportional Hazard Models.

COURSE CONTENT

MODULE I: The need for multivariate analysis- data requirements- statistical modelling- need causal relationships- testing of hypothesis- Chi square test- t-test, F-

test- ANOVA. MODULE II: Dummy variables- multicollinearity interaction – with correlation-

without correlation- autocorrelation- p value. MODULE III: Correlation and regression- Bivariate linear Regression- Non-Linear

Regression- Ordinary Least Square Method- Regression model as a statistical model- statistical inference- goodness of fit.

MODULE IV: Multiple Correlation and Regression- correlation matrix- Dummy variables- stepwise regression- multi-collinearity- homoscedasticity- interaction-

autocorrelation. MODULE V: Multiple Classification Analysis(MCA)- Basic MCA-unadjusted and

adjusted values- MCA with interactions- Path analysis- Factor analysis- Principal component analysis- Discriminant analysis.

MODULE VI: Linear probability model- Logistic function- Logit regression model-Multinomial regression model- Multivariate Logistic model and odds ratio- Statistical

inference- Survival Models- Life Tables- Actuarial Life Tables- Product Limit estimate- Proportional Hazard (Cox) Model Basic form- Relative risk- Regression Coefficient as

measure of effect- Statistical inference- Goodness of Fit.



Ø Debates & Discussions

Ø Quiz


• Alexander M Mood, Frankilin a Graynil, Guane C Boes, Introduction to the Theory of Statistics Third Edition: Mc Graw Hill Book Company, Singapore

• Donald F Morrison, Multivariate Statistical Methods Second Edition: Mc Graw

Hill Book Company, Singapore • Donald F Morrison, Multivariate Statistical Methods, Second Edition: Mc Graw

Hill Book Company, Singapore

• George H Dunteman, Introduction to Linear Models: Sage, New Delhi • James Stevens Lawrence, Applied Multivariate Statistics for the Social Sciences:

Erlbaum Associates, Publishers Hillsdale, New Jersey

• Jane Miller’ Statistics for Advanced Level – Second Edition: Press Syndicate of the University of Cambridge, New York

• Krishsnan Namboodiri & Suchindran C M, Life Table Techniques and their

Applications Florida, Academic Press • Medhi J, Statistical Methods – An Introductory Text: New Age International (P)

Ltd. Publishers, New Delhi

• Ramakumar R. Technical Demography, New Delhi, Wiley Eastern Ltd. • Richard F Gunst, Regression Analysis and its application – A Data Oriented

Approach

• Robert L Mason Library of Congress Cataloging in Publication Data 270 Madison Avenue, New York

• Wassermann and Neter, Regression Analysis.

ADDITIONAL RESOURCES • https://www.decisionanalyst.com/whitepapers/multivariate/

• https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3071962/

• https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3936971/ • http://www.unesco.org/webworld/portal/idams/html/english/E1mca.htm

• http://www.statisticssolutions.com/factor-analysis-sem-factor-analysis/

Assessment;


Model Questions 1. What do you mean by Autocorrelation?. What are the problems of

autocorrelation? Discuss its remedial measures. 2. Explain the Statistical Model and the adjusted and unadjusted effects in Multiple

Classification Analysis ( MCA). 3. What do you mean by Factor Analysis ? Discuss the application of Factor

Analysis. 4. Explain the Logistic Regression Analysis and its applicability and limitations.

5. What do you mean by Survival Analysis? Discuss the Cox Regression Model. 6. Briefly describe the ideas of Path Analysis and its applications.

7. If one wish to differentiate two or more groups of objects with different characteristics, which statistical techniques will you apply. Explain.

8. Write Short notes on any Three of the following (a) Dummy variable in regression.

(b) Interaction between variables. (c) Multicollinearity.

(d) P- value in testing of hypothesis. (e) Statistical significance.


NAME OF THE COURSE: BUSINESS ECONOMICS Course Outcomes: CO1: The theoretical and practical understanding of the economic concepts and

theories in the process honing their critical thinking, analytical and problem-solving skills.

CO2: The capacity to analyse the economic environment in which organizations function to be able to make economic decisions

CO3: The macroeconomic and microeconomic concepts, principles and theory to enable students to analyse and interpret the economic environment in making informed judgments.

CO4: To understanding the applications of theory of production and cost structure CO5: To understand the various forms of market structure and how they work to

allocate resources and the optimal decision making for efficient outcome. CO6: To understand efficient allocation of inputs through General equilibrium

analysis. CO7: The ability to analysing a firm profit maximising strategy under the various

oligopoly models. CO8: Identify the causes of market failure to provide efficient outcome. CO9: To derive aggregate demand and aggregate supply schedules and use if to

differentiate between effects of policy in short run and medium run COURSE CONTENT

MODULE I: Micro economics and macro economics-workings of competitive markets. The intervention of governments in the market in order to influence business

behaviour and the drawback of such intervention. The role of price mechanism in a free market. Factors that influence the market demand and supply and how market

equilibrium quantity and price are achieved. MODULE II: Effect of supply on business and economy. Types of supply-side policies

that can be pursued and their effectiveness. Calculation of elasticities of demand using both original and average quantities. Factors that affect elasticity-Effect of elasticity

on the workings of markets in the short and long run. Concept of utility. The way insurance companies help to reduce or remove risk, moral hazard and adverse

selection. Simple insurance problems in terms of utility theory. MODULE III: Revenue and production function and the relationship between inputs

and outputs in the short and long run. Explain how the meaning and measurement of costs vary with output in the short and long run. Explain how revenue and profit are

influenced by average and marginal revenue.

MODULE IV: Determination of exchange rates and the effects of changes in exchange rate on business. Relationship between the balance of payments and

exchange rates. Advantages and disadvantages of fixed and floating exchange rates. Determination of price level in economy by the interaction between aggregate supply

and aggregate demand in a simple AS-AD model.

MODULE V: Causes and costs of inflation and how inflation relates to the level of

business activity. Determination of interest rates. Relationship between money and interest rates. Emergence of monopolies-profit maximizing price and output. Profit

maximization under imperfect competitions. Main features of oligopoly and explain how firms behave in an oligopoly.

MODULE VI: Define product differentiation. Explain how product differentiation or diversification helps to achieve internal expansion. Relationship between growth and

profitability. Methods of price determination practice and factors that affect the ability of a firm to determine its prices. Pricing strategy for multiple products and explain

how pricing varies with the stage in the life of a product. ACTIVITIES, LEARNING RESOURCES & ASSESSMENT




• John Sloman, Kevin Hinde and Dean Garrat, “ Economics for Business”, Sixth

edition, Peason,2012 • Gerge.G.Kaufman, “Market discipline in Banking: Theory and Evidence”,

Amsterdam, Elsevier, 2003

• Grey Halseth, Sean Markey and David Bruce, “The Next Rural Economics constructing rural place in global economics” UK, CABI, 2010.

• Pinkil Shah, Jaydip Chaudhari, “Effect of Zodiac Signs and planets on Indian

Stock market”, New Delhi, Astral International Pvt.Ltd, 2014. • Shirine Rathore, Muneesh Kumar, Amitabh Gupta, “Indian Capital Market An

Empirical study”, New Delhi, Anmol publications Pvt.Ltd, 2003.



Model Questions

1 What do you mean by the term marginal coast and marginal revenue.

2 Discuss the macroeconomic objectives. 3 The market supply and demand for good X are as follows QD= 1400- P and

QS= 200+P . calculate the current equilibrium price and quantity of good X.

4 What is the difference between the term; change in supply and change in quantity supplied? Draw a diagram to explain the same.

5 Draw and explain the term Total utility, marginal utility and diminishing marginal utility.

6 Differentiate between bank multiplier and money multiplier. 7 Describe the factors that can lead to economics and diseconomies in scale.

8 Draw and describe why kinked demand model supports stable prices. 9 Describe the four Ps of marketing mix.


NAME OF THE COURSE: PRINCIPLES OF INSURANCE – LIFE, GENERAL AND

HEALTH

Course Outcomes: CO1: The ability to appreciate various practices and principles in the insurance

industry.

CO2: The thorough understanding of the various Insurance contracts.

CO3: Knowledge of the principles adopted by the Insurance companies.

CO4: The glimpse of the major differences between Life and Non- Life Insurance contracts.

COURSE CONTENT

MODULE I: Brief Introduction on origin of insurance and its current applications MODULE II: Modern Insurance – Principle of Indemnity and Guarantee- Insurable

Interest- Principle of Utmost Good faith- Insurance is a Contract - the basics of insurance contract- Principle of Equity

MODULE III: Life Insurance contracts and group life insurance Schemes. MODULE IV: Health Insurance Contracts distinguished.

MODULE V: General Insurance Contracts distinguished including Miscellaneous Insurance Contracts

MODULE VI: Pension and Employee Benefit contracts ACTIVITIES, LEARNING RESOURCES & ASSESSMENT



Ø Quiz Ø Demonstration of simple experiments


• Ben G Baldwin “The New Life Insurance Investment Advisor” 2nd Edition, Mc Graw Hill

• Harriett E Jones “Principles of Insurance “FLMI Insurance Education

Programme, Life Management Institute LOMA, (Dec 1995) • Neelam C Gulati “Principles of Insurance Management”, Excel Books, New

Delhi, (2007) • Robert I Mehr “Principles of Insurance “Richar D Irwin (Ed.), 8th Edition, 1985

Assessment;


Model Questions

1 Discuss the role of Insurance in the Economic development of a country.

2 Briefly describe the origin of Insurance and subsequent liberalisation of Insurance industry.

3 Explain with examples the importance of principle of indemnity and principle of insurable interest.

4 What is Group Insurance? How does it differ from Life Insurance. 5 What are the terms and conditions of a non-life insurance policy.

6 Explain normal pension and the various options available under normal pension.

SEMESTER III Course Code: DAS-DE-535 Credits: 2

NAME OF THE COURSE: BASIC RISK MODELLING

Course Outcomes:

CO1: To develop a clear understanding of basic theory of risk modelling.

CO2: Understanding the various functions of random variables and various counting processes.

CO3: To identify the various distribution functions like MGF, CGF and Joint density functions.

CO4: To apply the basic analytical tools to a set of data.

COURSE CONTENTS

MODULE I: Random variables and definition of Cramor-Lundberg risk model, Hazard rate function, moments, Transforms such as probability generating functions, moment

generating functions, characteristic functions, Laplace Transform. MODULE II: Counting random variables, continuous random variables, distributions-

Negative binomial, Weibull, Pareto, Log normal, Inverse Gaussian, Erlang.

MODULE III: Functions of random variables, joint density and distribution function,

conditional distributions, sum of random variables. MODULE IV: Counting processes-Poisson process, renewal process, Renewal

Function, recurrence times of a renewal process, Delayed renewal process, mixed Poisson process, compound Poisson process, P_olya-Aeppli process.





• Mark.S.Dorfman, “Introduction to risk management and insurance”, New

Jessey, Prentice Hall, 2002

• Patrick Brocket Arnold Levine Saunders, “Statistics and Probability and their

applications”, College Publishing, USA Assessment;


Model Questions

1. Find the MGF of the Gamma distribution and hence find the mean, variance and coefficient of skewness of the normal distribution using CGF.

2. Write the importance of Insurance risk theory in Hazard function. 3. Explain renewal process and renewal counting process.

4. Explain why Poisson process is called counting process.

SEMESTER III Course Code: DAS-GC-502 Credits: 2

NAME OF THE COURSE: BUSINESS DEMOGRAPHY

Course Outcomes: CO1: Familiarize the application Demographic Concepts, data , and Techniques in

Business decisions and Administration.

CO2: To understand how the Demographic Information and Techniques Benefited to Business.

CO3: Knowledge on the importance of Demographics in Business and Public Administration.

CO4: To have an idea on the importance Business Demography in the Context of Globalization and Privatization.

CO5: Understand the implications of changes in the Key Demographic variables on the Market.

CO6: Understand the basic concepts in Marketing. CO7: Articulate Market survey and research process. CO8: Knowledge on Market Planning and strategy.

COURSE CONTENT

MODULE I: Defining Business Demography-Demographics-Applied Demography- The Uses of Business Demography-Demographics- Population as a market for consumer

goods and labour market-Population Dynamics and its implications for change in the sizes and composition of market-Relevance of Applied Demography to business

organization- importance of the subject in the context of globalization and privatization.

MODULE II: Demographics- Segmenting & targeting population- targeting by Socio-

economic characteristics- Demographic data base for market research-Role of Population dynamics on Market- Age- Gender- Education and Income- religion-

Household structure -Implications of changes in the key demographic variables on the market for different products-changes in the age structure- House hold- geographic-

labour force and in the international population- Social & political Planning-Local Area Estimates and Projections- Education- Health services- Campaign Strategy- Legislative

Analysis.

MODULE III: Basic concept in marketing-Definition of market- Evolution of

marketing- Roles and Functions of Marketing-Importance of products, prizes and promotion in marketing activities – Marketing strategies-Need to understand life styles

and consumer behaviour- Cluster marketing- Investment Demographics-Domestic and International Demographics- Need to understand consumer demographics-

Importance in Market Research- Customarized global market- The System Model (holistic approach)- marketing environment- definition of customer.

MODULE IV: Market survey-Market research process, problems formulations-research design sampling data collection methods-analysis and interpretation of data-

cases study for some products. MODULE V: Market forecasts- Population projection-Projection for smaller areas and

for market segments family life cycle- household projection future market for products and activities related to children youth ad aged gender specific needs.

MODULE VI: Globalization- global economy, new people management (NPM)- knowledge- marketing planning and strategy





• Databases: How Long Will GM’s Salaried Retires Live?” In Demographics: A Casebook for Business and Government, ed Hallie J.Kintner, Thomas

W.Merrick, Peter A. Morrison, and Paul R.Voss. Santa Monica, CA: RAND. • Mitchell, Susan. 1995. “Birds of a Feather”. American Demographics 17(2):40-

48.

• Morrison, Peter A. and Allan F.Abrahamse.1996.” Applying Demographic

Analysis to Store Site Selection”. Population Research and Policy Review 15:479-489.

• Morrison, Peter A., Morlie H.Levin, and Paul M.Seever.1996.”Tracking Growth

of Emerging Consumer Marketers Worldwide: Where Demographic Analysis Fits In.” Paper presented at the Sixth International Conference on Applied and

Business Demography, Bowling Green, OH. • Pol. Louis G. and Richard K. Thomas. 1997. Demography for Business Decision

Making. Westport, CT: Quorum Books.

• Russell, Cheryl.1984. “The Business of Demographics”. Population Bulletin: 39(3). Washington DC: Population Reference Bureau.

• Siegel, Jacob S. 2001. Applied Demography: Applications to Business,

Government, Law and Public Policy. San Diego: Academic Press. Assessment;


Model Questions 1. Discuss the importance of Demographics in the present world.

2. Write short notes on any two. (a) Definition of Demographics.

(b) The role of International population trends on mark (c) Explain the demography of political planning

3. What is a Market?. What are the types of market ?

4. “Transition of the national economy to the global economy and global Society regarded as the most crucial and difficult of all the transitions so far”. Elucidate.

5. Discuss the implications of population dynamics on the changes in the size and composition of the market.

6. Explain how the Demographic changes affect the Market. 7. Write short notes on any two.

(a) Definition of Demographics. (b) The role of International population trends on market.

(c) Explain the demography of political planning.

SEMESTER IV Course Code: DAS-CC-541 Credits: 4

NAME OF THE COURSE: LIFE AND OTHER CONTINGENCIES PART - II Course Outcomes:

CO1: The understanding about the calculation of various assurance benefits and

annuities to a single life and joint life.

CO2: The retrospective and prospective reserves are calculated. And also acquire the mortality profits, expected death strain and actual death strain.

CO3: Knowledge of Joint life assurances and joint life annuities. CO4: Operates the contingent probabilities involving two lives and contingent

assurances involving two lives.

CO5: The meaning of 𝜇'(and values of assurances payable immediately on death.

CO6: Deep knowledge of six types of Reversionary annuities.

COURSE CONTENT

MODULE I: Gross Premiums and reserves for fixed and variable benefit contracts. MODULE II: Simple annuities and assurances involving 2 lives.

MODULE III: Contingent probabilities involving 2 lives.

MODULE IV: Contingent Assurance MODULE V: Force of Mortality involving 2 lives, values of benefits using integrals

when payment of benefit is immediately on death or payment is continuous. MODULE VI: Reversionary Annuities (Different types)





• Alistair Neil “Life Contingencies”, Butterworth-Heinemann Ltd., Illustrated Edition (1977)

• Smith B.H “Contingencies of Value”, Harward University Press, 1988

• Griffith Davis “Table of Contingencies”, Longman & Co, 1825: University of California Library

• Life and Other Contingencies- P F Hooker & L H Longley-Cook – Cambridge –

ISBN 0- 521- 05327-7 • Michael M Parmenter, “Theory of Interest and Life Contingencies with Pension”,

3rd Edition.

• Students will be expected to read relevant papers currently available in the net PFRDA related papers


Ø 60% End semester assessment (3 Hour written exam) Model Questions;

1. What are the conditions for equality of prospective and retrospective reserves. 2. What are the following probabilities;

a. 𝑝'()

b. 𝑝'(****)

3. Write the values of the integrals;

a. 𝑞'(+"

b. 𝑞'(!"

4. Write the values of the following using integrals; a. �̅�'(+

b. �̅�'(!

5. Prove using integrals; �̅�'( = �̅�'(+ + �̅�'(!

6. Prove, 𝑎*' (, = 𝑎*( − 𝑎*'(


NAME OF THE COURSE: PRACTICE OF INSURANCE IN THE INDIAN CONTEXT

Course Outcomes:

CO1: The skills in the different practices, laws and rules so as to enable to take up

an Actuarial career.

CO2: To familiar with the different methods and practices adopted by both Life and non-life insurance companies.

CO3: An insight into the various grievance redressal system that are available for the policy holder.

CO4: The Insurance Ombudsman as a mediator resolves the disputes that might arise in the Insurance industry.

CO5: To develop knowledge in the ways and methods of real insurance practice.

COURSE CONTENT MODULE I: Role of Actuaries in Insurance practice – Appointed Actuary System- -

Formation of insurance company and its restrictions, IRDAI MODULE II: Proposal Form, Acceptance of Insurance and Policy Documents- Pricing

of Insurance Contracts – principles- Capacity to insurance and Reinsurance requirements

in the Indian context MODULE III: Taxation of Insurance business- Investment Regulations- System of

scientifically valid provisions for unexpired contracts – Reserves

MODULE IV: Maintenance of separate funds for policyholders and shareholders- Profit sharing Regulations between policyholders and shareholders- Principle of

Average Clause and Indisputability clause- Subrogation MODULE V: General differences between Life and Non-life insurances- Medical Care

Insurance and related matters MODULE VI: Solvency of insurers and requirements of Solvency margins- Grievance

Redressal system for policyholders- Insurance Ombudsman- Requirements of speedy

settlement of Claims and Role of third parties – surveyors and average- Miscellaneous

matters - accounting etc ACTIVITIES, LEARNING RESOURCES & ASSESSMENT




• Michael G. McMillan, Jerald E. Pinto, Wendy Pirie and Gerhard Van de Venter

(Feb 8, 2011) “Investments: Principles of Portfolio and Equity Analysis” • Goff T.G, “The theory and practice of investment”

• Timothy E. Johnson, “Investment Principles”, Prentice Hall College Div; 2 Sub

edition (December 1982) Assessment;


Model Questions

1. Explain the formation of Insurance companies and its restrictions. 2. Describe the various sections discussed in a policy document.

3. Explain the various types of reserves maintained by the Insurance companies to pay off the claims.

4. Briefly narrate the importance of the Average clause, Indisputably clause and the Principle of Subrogation.

5. What are the general differences between life and non-life insurance contracts. 6. Enunciate the various grievance redressal systems available for resolving the

disputes of the policy holders.


NAME OF THE COURSE: DISSERTATION / INTERNSHIP

Course Outcomes:

CO1: Students will acquire the skills, including soft skills, to plan, conduct, and

manage projects and assignments independently.

CO2: Exhibit ability to design and carry out research and analyse data using any software package.

CO3: Demonstrate the ability to keep ethical standards and to show and commit oneself to professional responsibilities.

CO4: The ability to write detailed report of the scientific research carried out. CO5: Possess the ability to conduct scientific research in any area of Actuarial

Science.

SEMESTER IV Course Code: DAS-DE-544 Credits: 2

NAME OF THE COURSE: AGRICULTURE INSURANCE

Course Outcomes: CO1: The knowledge of Indian agriculture and an overview of the agriculture

insurance in India.

CO2: The clear picture of the history of an Indian Agricultural Census.

CO3: The deep knowledge of Indian agriculture Insurance schemes (PCIS, CCIS, ECIS, NAIS, FIIS etc…)

CO4: The knowledge and benefits of crop insurance and the insurability of agricultural risk.

CO5: Demonstrate competency in understanding the Area approach based crop insurance suits the Indian conditions.

COURSE CONTENT

MODULE I: Introduction to Indian Agriculture- Agriculture Situation In India- Role of Agriculture in Indian Economy- agriculture Research & Network.

MODULE II: Agricultural Census-Phase I- Phase II- Phase III- Phase IV- Agricultural Resources- Land Records(Computerisation etc..)

MODULE III: Evolution of Crop Insurance In India - Individual Based Crop Insurance- Pilot Crop Insurance Scheme (PCIS)- Comprehensive Crop Insurance Scheme (CCIS),

Experimental Crop Insurance Scheme (ECIS)- National Agricultural Insurance Scheme (NAIS)- Farm Income Insurance Scheme (FIIS)

MODULE IV: Agricultural insurance in India- Types of Agricultural Insurance schemes available- Obligations of Insurers in Rural Sector

MODULE V: Crop Insurance Design Considerations - Insurability of Agricultural Risks- Crop Insurance- Crop Insurance Vs Agricultural Relief- Crop Insurance As Risk

Management- Benefits of Crop Insurance. MODULE VI: Why Area Approach Based Crop Insurance Suits the Indian Conditions-

Key Elements & Generic Considerations In Crop Insurance Design And Operations


Ø Assignments



• Rao K.N (2010), ‘Agricultural Insurance’, Insurance Institute of India, Mumbai. • Paul.K.Freeman, Howard Kunneuther, “Managing Environmental Risk Through

Insurance”, London, KLUWER ACADEMIC PUBLISHERS, 1997.



Model Questions

1. Discuss the Agricultural Insurance schemes presently available in the Country (India)

2. Briefly explain the agriculture revolutions in India. 3. Explain role of agriculture in Indian Economy.

4. Discuss the agriculture situations in India. 5. Briefly explain the evolution of crop insurance in India.

6. Explain the history of agriculture census in India. 7. What is Agriculture risk? Explain the types of agriculture risks.

SEMESTER IV Course Code: DAS-DE-545 Credits: 2

NAME OF THE COURSE: BASIC PRINCIPLES OF INVESTMENT

Course Outcomes: CO1: To understand what are shares and stocks. CO2: An insight into the various stocks and shares available in the stock market. CO3: Students will acquire to ability to calculate the methods of NAV,EPS, P/E ratio,

Redemption yield etc CO4: To assimilate the basic principles of investment.

COURSE CONTENT

MODULE I: Company stocks and shares. Companies and their shareholders. MODULE II: Settlement options, Transfer of title. Importance of a contract note.

MODULE III: Taxation, New issues, tax on capital gains, yield, flat yield, redemption yield.

MODULE IV: Assessment of ordinary shares, Net Asset per share, Earning per share.

P/E ratio, Assessment of share prices. MODULE V: protecting the unwary-prevention of fraud 1958. Licensed dealers rules

1960, equity linked life insurance. ACTIVITIES, LEARNING RESOURCES & ASSESSMENT


Ø Seminar presentations



• T.G.Goff, Theory and Practice of Investment • Timothy E Johnson, Investment Principles

Assessment;


Model Questions 1. What are debentures? Bring out the major differences between convertible

and non -convertible debentures. 2. Briefly describe corporation tax and Capital gains tax.

3. Explain the factors which provides a valuable tool in caculating the returns on ones investment.

4. Briefly sketch the importance of the P/E ratio. 5. Discuss about Equity linked insurance plan.

6. Explain the two laws which protects the investor against investing by unfair

means.