1. 1 Personality Types of Actuaries Associate Professor Leonie Tickle Macquarie University, Sydney

2. 2 The Actuarial Stereotype Marketing audit of the Australian actuarial profession: –Perception: “technical”, “conservative”, “specialist” and “respected” –Actual: “technical”, “respected”, “specialist”, “challenging” –Ideal: “respected”, “creative”, “ethical” and “influential”. (Gale et al. 1995)

3. 3 Overview Why study personality types of actuaries and accountants? Myers-Briggs Type Indicator Personality types of accountants and accounting students Personality types of actuaries Personality types of actuarial students Implications

4. 4 Why Study Personality Types of Actuaries? Students and careers advisers: Career decisions Academics: Students’ learning styles; curriculum that encourages diversity Employers: Fully utilising talents of staff Actuarial Profession: Health and vibrancy of the profession All individuals: Personal development; working with others

5. 5 Myers-Briggs Type Indicator

6. 6 Myers-Briggs Type Indicator (MBTI) Energy orientation E xtraversion Energised by interaction, and direct energy outward I ntroversion Energised by inner world, and direct energy inward Information perception S ensing Focus on reality observed through the senses i N tuition Focus on pattern, context and interrelationships Decision- making T hinking Decisions are based on objective, logical analysis F eeling Decisions are based on personal, subjective values Dealing with the outer world J udging Like to make decisions and come to closure P erception Like to continue collecting information and exploring

7. 7 MBTI - Energy orientation E xtraversion Energised by interaction, and direct energy outward I ntroversion Energised by inner world, and direct energy inward energised by interactionenergised by internal world expressivecontained learn and work best through discussion with others learn and work best by processing information alone think out loudthink before speaking (not “loud” or “talkative”)(not “shy” or “inhibited”)

8. 8 MBTI – Information perception S ensing Focus on reality observed through the senses i N tuition Focus on pattern, context and interrelationships “facts speak for themselves”“facts illustrate principles” focus on facts before broad concepts focus on broad concepts before facts concrete, practical, specific, detailed conceptual, creative, theoretical, general oriented to present realityoriented to future possibility

9. 9 MBTI – Decision-making T hinking Decisions are based on objective, logical analysis F eeling Decisions are based on personal, subjective values critique and analyseempathise and honour justicemercy fair = everyone treated equallyfair = everyone treated as an individual (not “cold-hearted”)(not “emotional” or “irrational”)

10. 10 MBTI – Dealing with the outer world J udging Like to make decisions and come to closure P erceiving Like to continue collecting information and exploring like to finish thingslike things open-ended scheduled, organisedspontaneous, flexible like to make decisions and complete tasks like to postpone decisions and continue exploring (not “judgmental”)(not “perceptive”)

11. 11 MBTI - Type Table ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall Type names are from Keirsey (1998)

12. 12 MBTI - Type Table ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

13. 13 MBTI - Type Table ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

14. 14 MBTI - Type Table ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

15. 15 MBTI - Type Table ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

16. 16 = Population (Myers, I.B. et al, 1998). Each represents 1%. ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

17. 17 Personality Types of Accountants and Accounting Students

18. 18 = Population (Myers, I.B. et al, 1998) = Accountants (Satava, 1996) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

19. 19 = Population (Myers, I.B. et al, 1998) = Accountants (Satava, 1996) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

20. 20 = Population (Myers, I.B. et al, 1998) = Accountants (Satava, 1996) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

21. 21 I S T J Inspector (18% - 27% of accountants, 12% of population) Practical, matter-of-fact and realistic Logical, analytical, objective Dependable, dutiful, trustworthy, loyal Value tradition and accepted methods May overlook the big picture and new possibilities May not consider the impact of decisions on people Personality types of accountants

22. 22 Personality types of accountants E S T J Supervisor (14% - 19% of accountants, 9% of population) Practical, matter-of-fact and realistic Decisive, assertive in implementing plans, confident Organised, efficient, dependable Logical, systematic, pragmatic May overlook wider ramifications of actions May not consider the impact of decisions on people

23. 23 Personality types of accountants Lack of diversity? 35–46% -STJ (21% in pop) Filtering out of E-, N-, F-, P- (Laribee, 1994) Type and role: Managers and senior partners more often N- than S- (Schloemer et al, 1997) “Perhaps we are not attracting and retaining what the accounting profession needs, or not giving students the opportunity to develop the skills required… We need a better mix of personality NOW.” (Briggs et al, 2007)

24. 24 Personality Types of Actuaries

25. 25 = Population = Accountants (Satava, 1996) = Actuaries (Patrick, 1996) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

26. 26 = Population = Accountants (Satava, 1996) = Actuaries (Patrick, 1996) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

27. 27 Personality types of actuaries I S T J Inspector (23% of actuaries, 18-27% of accountants, 12% of population) Practical, matter-of-fact and realistic Logical, analytical, objective Dependable, dutiful, trustworthy, loyal Value tradition and accepted methods May overlook the big picture and new possibilities May not consider the impact of decisions on people

28. 28 Personality types of actuaries I N T J Mastermind (16% of actuaries, 2% of population) Global, creative, conceptual, long-range thinkers Concise, rational, objective, critical Value innovation over authority or accepted methods May overlook practical details, engage in abstractions May not see impact of decisions on people, give praise

29. 29 Personality types of actuaries I N T P Architect (12% of actuaries, 3% of population) Curious, insightful, ingenious Logical, analytical, objective, critical, skeptical Flexible, dislike routine problems May be impractical May not consider the impact of ideas on people

30. 30 Is the actuarial stereotype justified? More Introverts (70%: accountants 50%, pop 50%) More Thinkers (80%: accountants 70%, pop 40%) More Intuitives (50%: accountants 30%, pop 30%) Stereotype of meticulous, detail-oriented not supported More diverse than accountants?: ISTJ (23%), INTJ (16%), INTP (12%), ESTJ (9%)

31. 31 Personality Types of Actuarial Students

32. 32 Study of actuarial students (Tickle, 2009) 109 first year Macquarie University actuarial students (60% response rate) Sex: Male (57%), Female (43%) Country of birth: Australia (27%), China (31%), Hong Kong (3%), Malaysia (15%), Korea (7%), India (5%), Pakistan (3%), Vietnam (3%) - also Taiwan, Kenya, Singapore, Egypt, Russia, Sri Lanka. English is first language for only 24%. English is spoken at home for only 32%. Age of decision to study actuarial studies: <15 (2%), 15- 17 (8%), 17-18 (45%), 18-21 (27%), 22-23 (10%), 24+ (8%).

33. 33 = Population = Actuaries (Patrick, 1996) = Actuarial students (Tickle, 2009) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

34. 34 = Population = Actuaries (Patrick, 1996) = Actuarial students (Tickle, 2009) ISTJ Inspector ISFJ Protector INFJ Counsellor INTJ Mastermind ISTP Crafter ISFP Composer INFP Healer INTP Architect ESTP Promoter ESFP Performer ENFP Champion ENTP Inventor ESTJ Supervisor ESFJ Provider ENFJ Teacher ENTJ Field Marshall

35. 35 Recap of MBTI Profiles MBTI DimensionOverall E IS NT FJ P Population Accountants– S T J ActuariesI – T – Actuarial students – – T – References: Myers, I.B. et al (1998); Kovar et al (2003); Patrick (1996); Tickle (2009).

36. 36 Factors in choosing actuarial program very imp s/w imp mods/w unimp very unimp Strong job prospects46 800 Actuarial career is highly paid4548810 Good at mathematics (N)51331330 Intellectually challenging (N, T)46331830 Prestige / actuaries are highly respected42351760 Opportunities to work overseas302927113 Avoid career requiring very good English1222181631 Didn't know what else to do516291734 Family pressure316132841 Didn't get marks for first preference5591666

37. 37 Alignment between personality and … very close s/w close modnot very close not close at all …degree subject matter, at time of choice13571892 …degree subject matter, now (first year)17502380 …future career17502840 Significant shift between alignment now and in career ENTP and ESTJ reported closest alignment INFP, INFJ and ISFP (and F types in general) reported the least alignment (but reasonably high satisfaction)

38. 38 Satisfaction with degree Choice to major in Actuarial Studies: –40% very satisfied –41% somewhat satisfied –14% neutral –5% somewhat dissatisfied Satisfaction rated higher than alignment ENTJ and ENTP most satisfied ENFJ and ESFP (and F types in general) least satisfied

39. 39 Discontinuance Choice of major 72% would choose Actuarial Studies again Low for ENFJ, ESFJ, ENFP, ESFP (F types in general) Discontinuance 3% have seriously considered discontinuing, and a further 26% have considered it but not seriously. Types most often reporting considering discontinuance are ESFP, ESFJ, ENFP, INFP (F types in general) Main reasons cited – workload and difficulty

40. 40 Career Plans Intend to complete Part III Yes79% No18% Not sure 3% Role Using actuarial skills in a traditional actuarial role42% Using actuarial skills in a non-traditional actuarial role50% Not using actuarial skills but in the financial sector 6% Not using actuarial skills and not in the financial sector 2% INTP, ENTJ, INFJ, INFP more inclined toward non-traditional roles

41. 41 Career Plans - continued Intended practice area Investments 23% Banking and finance 20% Life insurance 15% Risk management 7% Superannuation 3% GI / health 3% Not sure 27% E and N types most inclined towards investments and banking

42. 42 Summary of study Personality profile of actuarial students similar to the general population. Job prospects and pay are important factors in choosing actuarial studies. Limited evidence that F-types are less satisfied, feel less alignment and are more likely to discontinue. Limited evidence that INTP, ENTJ, INFJ, INFP types are more inclined toward non-traditional roles, and E and N types toward investment and banking.

43. 43 Implications

44. 44 Implications: Careers Advice Are students choosing the degree because of pay and job prospects rather than alignment with interests? Interest in maths is important for students and probably also emphasised by careers advisers – need to also promote problem-solving skills and business judgement. Importance of communication skills needs emphasis. Positive IAAust developments (e.g. More than Maths). Differences between actuarial studies and accounting.

45. 45 Implications: Learning and Teaching NT students: are analytical, logical, critical; like to work independently; like challenge; enjoy being creative; are concerned with relevance and meaning. ST students: want concrete, specific information; learn from actual experience; like a structured environment; want immediate feedback and lose interest if not practical. SF students: process information based on personal experience; respond to collegiality, trust and encouragement; learn best by talking and group activity. NF students: look for possibilities and patterns, uniqueness, originality, personal relevance; like a flexible and innovative environment; bored by routine. Silver and Hanson (1996)

46. 46 Implications: Learning and Teaching It wasn't what I expected… I’m used to having someone in every subject or in anything I do and I love company, I hate being by myself. I find it very hard to motivate myself to do the work as it is very challenging and I have no one to make it more enjoyable. [However, the] subjects are thought- provoking and testing, which keeps me interested and appeals to my curious and determined nature. (ESFP)

47. 47 Implications: Learning and Teaching [Actuarial studies] is so interesting and sparks my passion and curiosity. However, I dislike it as I struggle to make friends with people in the course … I would definitely be loving university life if I had one or two people to come along for the ride. However, the high expectations I have in myself … and being able to provide for my future family, is too strong of a drive for me to give up. (ESFP)

48. 48 Implications: Learning and Teaching Appears boring, with a concentration on known facts rather than theories. (INTP) In 5-10 years time, I hope to be a well respected professional actuary, and admired for my abilities and talents, as well as my ability to think outside the square. (ENTP)

49. 49 Implications: Actuarial Profession What is the “ideal” personality profile for actuaries? Is diversity a good thing? Could we be attracting a diverse range of people into the profession but failing to retain them?

50. 50 Acknowledgements QED NZ Society of Actuaries Consulting Psychologists Press Macquarie University Department of Actuarial Studies Maree Moses, Sharon Collett and Alison Petto-Hamilton

51. 51 References Briggs, S.P., Copeland, S. & Haynes, D. (2007). Accountants for the 21st Century, where are you? A five-year study of accounting students' personality preferences. Critical Perspectives on Accounting, 18, 511-537. Gale, A.C., Ballantyne, M.R., Lyon, J.A., Merten, A.E., Shuttleworth, D. & Torrance, D.M. (1995). A marketing audit of the actuarial profession. Transactions of the Institute of Actuaries of Australia, 636-712. Keirsey, D. (1998). Please Understand Me II: Temperament, Character, Intelligence. Prometheus Nemesis:. Kovar, S.E., Ott, R.L. & Fisher, D.G. (2003). Personality preferences of accounting students: A longitudinal case study. Journal of Accounting Eduction, 21, 75-94. Laribee, S.F. (1994). The psychological types of college accounting students. Journal of Psychological Type, 28, 6. Myers, I.B. (1999). Introduction to Type, (Sixth edition edn) Palo Alto, CA: Consulting Psychologists Press. Myers, I.B., McCaulley, M.H., Quenk, N.L. & Hammer, A.L. (1998). MBTI Manual: a Guide to the Development and Use of the Myers-Briggs Type Indicator (3rd edition). Melbourne: Consulting Psychologists Press. Patrick, M.C. (1996). Actuarial Profile Research Project Canada. In Institute of Insurance and Pension Research. University of Waterloo, Ontario. Satava, D. (1996). Personality types of CPAs: National vs. local firms. Journal of Psychological Type, 36, 36- 41. Schloemer, P.G. & Schloemer, M.S. (1997). The personality types and preferences of CPA firm professions: An analysis of changes in the profession. Accounting Horizons, 11(4), 24-39 Silver, H. F. and Hanson, J. R. (1996). Learning Styles and Strategies. Silver, Strong and Associates. Tickle, L. T. (2009). Survey of first year actuarial students. Unpublished.

52. 52 Thank you

53. 53 Links Accountants: The Lion Tamer http://www.youtube.com/watch?v=XMOmB1q8W4Yhttp://www.youtube.com/watch?v=XMOmB1q8W4Y

54. New Zealand Society of Actuaries Financial Services Forum 27 November 2009