Financial Services

Industry Segments

• Fixed Income
• Equity
• Investment Management and Trading
• Reinsurance and Insurance

Reinsurance and Insurance

Reinsurance transactions occur in an increasingly complex, international, and interdependent environment. Globalization has introduced additional variables and competition, requiring reinsurers to more carefully calculate the risk they accept and the prices they charge. As a result, research groups continually create and modify mathematical models to calculate pricing, analyze reserves, and research the effects of dependencies.

"By using MATLAB® as the computation engine for our Excel models, we have been able to significantly improve the accuracy of our simulations and reduce computing time by up to 95%."

The MATLAB product improves the performance of rerating models (left). Simulink® software lets you create block diagram models for insurance applications (right). Click on image to see enlarged view.

Reinsurance and insurance research groups use MATLAB and MATLAB toolboxes to reduce development time and improve the performance of Microsoft Excel models. Using the thousands of math and graphics functions provided, these groups can easily access historical customer and industry data, perform statistical trend analysis, run Monte Carlo simulations to evaluate risk, determine pricing, and view cash flows. Researchers use MATLAB as the computational engine behind their Excel models to improve run-time speed by as much as 90%.

Select any of the following links for more information on:

• Introduction to MATLAB in Finance
• Why use MATLAB
• Analyzing and modeling financial data
• Rapidly Deploying Financial Applications