How complex is audit in insurance / funds?

lightspeed

Hi can anyone give me an insight into how complex audit in financial services such as insurance or funds compared to industry audit?

I feel that i my interests are pointing to either insurance or asset management for a graduate audit position.

Im worried that insurance might be much more technical and i might not be so suited to it.

From what i read, there is a lot of reading and research required to keep up to date with regulations and legislation. This part interests me but im worried that i would need to have some actuarial skills for very senior positions down the line and i dont think there would be room to progress into other areas if i found i wasn't suited for that down the line.

Im also interested in auditing investment funds but my fears regarding funds are similar to insurance audit.

Its not that im not confident in my accounting abilities, its just that there is a lot of uncertainty that has me questioning myself.

Would the safer bet be to accept a position in industry audit?

actuar90

lightspeed wrote: »

Hi can anyone give me an insight into how complex audit in financial services such as insurance or funds compared to industry audit?

I feel that i my interests are pointing to either insurance or asset management for a graduate audit position.

Im worried that insurance might be much more technical and i might not be so suited to it.

From what i read, there is a lot of reading and research required to keep up to date with regulations and legislation. This part interests me but im worried that i would need to have some actuarial skills for very senior positions down the line and i dont think there would be room to progress into other areas if i found i wasn't suited for that down the line.

Im also interested in auditing investment funds but my fears regarding funds are similar to insurance audit.

Its not that im not confident in my accounting abilities, its just that there is a lot of uncertainty that has me questioning myself.

Would the safer bet be to accept a position in industry audit?

I think insurance audit is probably less complex than you're thinking. As with other areas there is a lot of technical terminology to get used to and a number of additional items to deal with in the audit, but these are all things you will not be expected to know about starting out and there will be plenty training on these. As for the technical pieces, in insurance audits actuaries are usually brought in to look at these on behalf of the accountants.

I'm not an accountant but my personal opinion would be that it's easier to go from a specific type of audit to general audit than the other way around seeing as in insurance audit you will still be using the skills you'd use in other audits on top of the specific insurance skills.

lightspeed

Ok thanks for your help. ive seen some senior positions for people coming from big 4 so im just trying to understand what would be required in such positions such as head of operational risk ect.

At such positions, would it be expected to have some actuarial skills or would you just be expected to have a vast knowledge of regulatory issues to resolve insurance related issues.

Would you also be able to advise what are the possible exit opportunities from auditing funds/asset management?

Ive seen some senior positions in hedge fund management but would they be looking from people coming from an investment banking area or would i be just as qualified for such positions coming from an audit background in funds and without actual hedge fund management experience?

I like working in a large team environment. Would you say the social seem is as good in each regardless of which area i choose to go into?