There are a lot of career options when you are working as a pensions actuary; you could work at a small and intimate firm, or one of the Big Three consultancies. There are benefits of both, as well as a handful of downsides. By understanding what the different roles entail, you will be able to find a job that ticks all of your career boxes.
Regardless of where you work and the exact role, the pensions actuary market presents a lot of opportunities for you to develop your skills and credentials. There are various career paths available, and you are not locked into one type of work, as the experience you gain will determine how you progress. Below, we have taken a look at the benefits of becoming a pensions actuary, and the difference between working at a large and small firm.
The advantages of becoming a pensions actuary
- There is a lot of demand for pensions actuaries at the moment, which means that you shouldn’t find yourself short of job opportunities. This is especially true if you are looking for a role at a part-qualified or newly qualified level.
- As a pensions actuary, you will have the ability to develop a range of consulting skills. This includes communication, time management, people management and project management. These skills are transferable from one role to another.
- There are a lot of career progression options as a pensions actuary, giving you a variety of options and flexibility about where to take your career. Plus, pensions actuaries are rewarded with strong pay options.
- Pensions actuaries use a lot of data, calculation, analysis and statistical skills, and these are all transferable. The technical skills developed as a pensions actuary will benefit you in other professional areas.
- Though the pensions actuary market is changing, and the range of roles available changes accordingly, there is no risk of the market going anywhere. As long as pension schemes exist, pensions actuaries will be needed.
Why people choose to work for a large consultancy
There are a lot of pensions actuary roles out there, but a lot of people have dreams of working for one of the Big Three consultancies. There are a number of benefits of doing so, some of which we have detailed below.
- Big Three consultancies work with a range of clients, including some of the biggest clients in the industry. Working on these larger projects provides valuable experience, which is sure to stand out on your CV, and benefit you throughout your career. It’s also a great way to work with others who can provide information on a variety of other topics, not just pensions.
- Large consultancies have the resources needed to provide impressive rewards, such as high salaries and promotion opportunities. There tends to be a lot of career progression when you are working for one of the larger firms.
- Working for a large consultancy gives you the chance to work with a diverse group of people; you will work with people who are just starting out in the industry, as well as those who have risen through the ranks. For part-qualified and newly qualified pensions actuaries, working with a range of professionals will help you to learn a lot about the industry.
- Large consultancies tend to have clients located in various locations, which means pensions actuaries find themselves working with colleagues from a variety of backgrounds and places.
It’s important to remember that working for a large consultancy usually means having a high workload, and this could hinder you finding a perfect work life balance. However, since the pandemic, there has been a lot more flexibility in the industry, with many large firms now offering remote working opportunities.
Why some pensions actuaries choose smaller consultancies
For some pensions actuaries, working for a smaller consultancy is preferable, and there are many benefits of doing so.
- It’s a lot easier to achieve professional seniority at a smaller firm, as there are fewer people to compete with for promotions and progressions. You’ll have the chance to take on more responsibilities and tasks earlier on in your career, something that can take many years at a large consultancy.
- You’re likely to find a better work life balance at a smaller firm, as the workload tends to be less demanding. A lot of smaller firms focus on the quality of your work, rather than the amount of hours worked.
- Working with a smaller term usually puts you in close proximity to partners and senior stakeholders, allowing you to learn from them and impress them. This isn’t as easy in a large consultancy, as teams tend to be managed from further afield.
- A smaller team usually means a more relaxed, friendly working environment. You will have the chance to get to know everyone on an individual basis, which isn’t as easy when you are working with a large and multinational team.
One of the main downsides of working for a smaller firm, is that they don’t tend to advise across all areas. For example, some firms might focus on risk transfer, whereas another might only work with trustee clients. This could mean that your career is less varied.
Which is the right pensions actuary role for you?
There is no ‘one size fits all’ answer when it comes to deciding which pensions actuary role is right for you. It comes down to what you want from the role, and what the company offers. Even similar firms will vary slightly on the role being offered, the benefits and the day to day running of the team.
When you are considering changing roles within the pensions actuary sector, it’s important to think about what you are hoping to gain from a role. Perhaps you are looking for a role with a lot of career progression, or maybe you are wanting to work within a close knit team. Luckily, there is a lot of variety in the pensions actuary market, and there are no shortage of roles available.