Choosing the Best Calculator for Actuarial Exams: A Guide

Preparing for actuarial exams can be a daunting task, but equipping yourself with the right tools can significantly enhance your performance. Two of the most recommended calculators for these exams are the Texas Instruments BA II Plus and the HP 12C. While both calculators offer the necessary features for financial mathematics and statistics, it's crucial to understand their key differences and benefits to make an informed decision. Let's delve into a detailed comparison:

Texas Instruments BA II Plus: A Comprehensive Overview

The Texas Instruments BA II Plus is a popular choice among aspiring actuaries. It is known for its user-friendly interface and affordability, making it a favorite among students and industry professionals.

Features

Easy-to-use interface: The calculator features a straightforward interface that is quick to understand, even for those who are new to it. Financial calculations and functions: The BA II Plus offers essential functions such as Net Present Value (NPV), Internal Rate of Return (IRR), and amortization, which are crucial for the exams. Statistical capabilities: This model includes statistical functions that help in analyzing data, making it suitable for exam-related tasks. Professional version: For even more advanced users, the BA II Plus Professional offers additional features, though it may not be necessary for all exams.

Pros

User-friendly: The simplicity of the BA II Plus makes it easy to navigate through the interface. Affordable: Compared to some of its competitors, the TI BA II Plus is a more cost-effective option. Widely used: This calculator is common in both exams and the industry, increasing its reliability and familiarity among users.

HP 12C: The RPN Calculator for Professionals

The HP 12C is a well-respected, Reverse Polish Notation (RPN) calculator that stands out in the finance and actuarial communities. It is known for its durability, long battery life, and strong financial and statistical functions.

Features

RPN Reverse Polish Notation: This unique system allows for faster and more efficient calculations. Strong financial and statistical functions: The calculator offers robust functions for handling complex financial and statistical problems. Durable and long battery life: The HP 12C is built to last and can operate with minimal hassle.

Pros

Widely respected: The HP 12C is highly esteemed in the finance and actuarial communities. Compact and portable: Its lightweight design makes it easy to carry around, making it ideal for exam days.

Exam Specifics and Choosing the Right Calculator

The type of calculator allowed can vary depending on the specific actuarial exam you are taking. It's crucial to check the exam guidelines to ensure compliance. Additionally, consider the following factors when making your choice:

Familiarity: Choose a calculator you are comfortable with, as this will enhance your efficiency during the exam. Availability: Consider the availability of the calculator in the exam hall and its support in the industry.

Some exam centers may have specific rules regarding calculator types, and in some cases, calculators may be provided by the examiners. It's important to understand these regulations to avoid any misunderstandings.

For instance, in some past exams, candidates were not allowed to use calculators for the initial sections, and only specific types of calculators were permitted for subsequent sections. Additionally, candidates were required to clear the memory of the calculators while the proctor supervised. By the time I sat for my exams, I had to use a specific model calculator, and even that was sometimes replaced by a calculator issued by the actuarial society.

Personal Experience: Using the Casio Fx-82es Plus

My experience with the Casio Fx-82es Plus has been positive so far. This calculator strikes a balance between affordability and functionality, making it a reliable choice for aspiring actuaries. While it may not offer all the advanced features of the BA II Plus or HP 12C, it is easier on the budget and has proven to be a great tool for my exams. It's easier to use and slightly cheaper than the Texas Instruments counterparts.

In conclusion, the Texas Instruments BA II Plus and the HP 12C are both excellent choices for actuarial exams. The best calculator ultimately depends on your specific needs and preferences. Whether you lean towards the user-friendly interface of the BA II Plus or the efficiency of the HP 12C, both calculators offer the necessary features to excel in your actuarial exams.