Risk Associate

Location: London, United Kingdom
Rate: Competitive
Job Type: Permanent, Full time
 

Job description:

The objective is two-fold: to ensure the smooth and effective execution of several functional responsibilities and as required perform independent validations of aspects of the risk management framework. The functional responsibilities are Group Risk or 2nd line management of margin models, back-testing, stress testing, exposure management, default management and new product approval. The independent validations will be on aspects of risk management framework and related procedures. The role involves significant liaison with key internal/external stakeholder groups on a regular basis such as CROs, Heads of Business, IT, Audit, Compliance and Regulators.

The product universe covers exchange traded futures and options, OTC brokered futures and options, interest rate and foreign exchange derivatives, cash equity/bond related DVP activity and Repo.  Asset classes cover equities, interest rates, and foreign exchange.

Key responsibilities:

Margin Models / Pricing Models / Back Testing & Performance

  • Review model performance and ensure 1st line remains compliant to the Group standards;
  • Evaluate model change requests;
  • Ensure appropriate independent model validation processes are in place;
  • Review outcomes;

Default Funds – Stress Testing Sizing and allocation

  • Ensure LCH has sufficient financial resources on an on-going basis including stressed periods;
  • Ensure overall stress testing regimes are rigorous, adequate and well documented on an on-going basis.
  • Ensure processes across services are harmonious, where differences exist ensure they have been appropriately challenged and justified.

Exposure Management

  • Ensure market risk exposures are measured and managed within a coherent limit framework in compliance with LCH policies and procedures;
  • Assess member risk across different markets in a comprehensive manner rather then silo approach;
  • Assess the aggregation of risks by risk type and product;
  • Assess other risks (such as liquidity risk) that may not be captured in the margin models;
  • Review Business line default management procedures and test the Group DMG.

Risk Change

  • Lead change from Group Risk perspective;
  • Ensure objectives are clear, agreed and sufficiently documented;
  • Ensure Risk Governance is appropriately maintained;
  • Ensure adequate project management processes are in place to avoid delays and unforeseen costs;
  • Be aware of and manage upcoming changes from upstream services.
  • Organise and facilitate internal changes within group risk.
  • Support manager in managing the workload (including team) of all internal and IT changes

Project & Systems

  •  Facilitate the Programme Board and IT initiatives.
  • Provide managerial support in organising and facilitating IT changes
  • Identify areas where technology requires improvement and assist the business analysis and implementation of technology change;
  • Assist in the origination and completion of business requirements, conduct functional and end user testing where appropriate;

BAU Reporting

  • Organise and/or perform daily, weekly, monthly, quarterly reporting for Group Risk
  • Provide managerial support in improving BAU processes and minimising operational risks
  • Support regulatory requirements
  • Support and/or facilitate senior management requests

Independent Validations

  • Perform quantitative testing and analysis which will feed in as input to the Independent Model Validation deliverable.
  • Perform independent validations of the initial margin models, pricing models, credit rating models, stress test scenarios, liquidity risk framework, collateral haircuts and related risk procedures.
  • Given the nature of the risk models a high degree of quantitative testing and analysis is required.

Required Skills & Qualifications:

  • Demonstrated experience within a central clearing organisation, broker or investment bank, incorporating knowledge of the full product life-cycle within a Risk Management environment.
  • Extensive exposure to financial securities and markets.
  • Degree in quantitative finance, mathematics, economics or science-related disciplines, at least Masters level.
  • Hands-on experience in developing quantitative models, building pricing models, and/or quantitative analytics.
  • Experience of risk exposure measurement, evaluation and management.
  • Previous experience of managing a small team.
  • Strong conceptual / technical knowledge of financial risk management across all asset classes.
  • Ability to convey complex or abstract concepts across to a variety of audiences.
  • Experience of process automation and enhancement.
  • Advanced Excel and programming competency, in particular VBA, SQL, Matlab/Python/C++.
  • Strong numerical competency.
  • Effective critical analysis and reasoning skills.
  • Effective communication skills (written and oral).

To apply please email your CV to the following consultant:  

Nicholas Ferrie
Nicholas.ferrie@trevosepartners.com
020 3763 3903