Market Risk Senior Associate

About the Role

FR&G’s mission is to provide effective and efficient identification, measurement, monitoring and control of market, liquidity, and Stress Testing related to the clearing and settlement processes for DTCC, its members, and the markets. In addition, FR&G provides critical governance and quality assurance capabilities for key risk functions designed to meet rigorous organizational and regulatory standards. FR&G works under delegated authority from the Board and senior management to manage these risks within defined risk tolerances.

FR&G collaborates closely with Quantitative Risk Management and the Counterparty Credit Risk teams to maintain an integrated and comprehensive approach to financial risk management at DTCC, supporting an effective second line of defense. The team’s prime directive includes:

• Maintaining sufficient collateral to cover losses associated with the liquidation of any defaulting member or family portfolio under extreme but plausible scenarios.
• Ensuring sufficient liquidity resources are available to settle all transactions as contracted in the event of a failure by the single largest member or family under extreme but plausible circumstances.
• Exercising continuous improvement of policies, procedures, and processes that support robust, ongoing member surveillance and effective response to distress events.
• Managing FR&G to maintain deep and broad product knowledge and a risk framework to effectively measure and manage market, liquidity, and credit risks.

Market Risk for Fixed Income Clearing Corporation (FICC) and National Securities Clearing Corporation (NSCC) is responsible for monitoring daily margin calculations and managing market and liquidity risk exposures arising from trade execution and settlement activities. Responsibilities also include driving new business initiatives, overseeing risk systems design and enhancements, and ensuring compliance with Risk Management policies and procedures. The role requires a keen understanding of margining methodologies, financial markets, client profiles, and collaboration with other DTCC teams to identify, analyze, and mitigate potential risks.

Responsibilities

• Proactively identify and evaluate changes in members’ market risk exposures, liquidity needs, and settlement obligations, providing timely solutions to mitigate exposures.
• Monitor market conditions and economic trends to anticipate potential risks and their impact on members’ margin requirements.
• Mitigate risk by following established procedures, identifying and escalating emerging risks, and demonstrating strong ethical behavior.
• Perform day-to-day functions such as researching significant increases in margin requirements, tracking trading patterns of member firms, and monitoring liquidity usage.
• Develop a strong understanding of clients’ business and risk profiles to serve as a point of contact for risk-related support and inquiries.
• Collaborate with cross-functional teams including Counterparty Credit Risk, Liquidity Risk, Operations, Quantitative Risk, and Relationship Management to bolster risk management practices.
• Educate clients on risk management tools and initiatives.
• Align risk and control processes into day-to-day responsibilities to monitor and mitigate risk; escalate appropriately.

Note: The responsibilities of this role are not limited to the details above.

Requirements

• Minimum of 6 years of related experience.
• Bachelor’s degree preferred or equivalent experience.

Skills

• Fosters a culture where honesty and transparency are expected.
• Stays current on changes in their specialist area and seeks learning opportunities to ensure knowledge is up to date.
• Invests effort to individually coach others.
• Builds collaborative teams across the organization.
• Communicates openly, keeping everyone across the organization informed.

Pay and Benefits

• Competitive compensation, including base pay and annual incentive.
• Comprehensive health and life insurance and well-being benefits, based on location.
• Pension/retirement benefits.
• Paid Time Off and Personal/Family Care, and other leaves of absence to support physical, financial, and emotional well-being.

Schedule

DTCC offers a flexible/hybrid model of 3 days onsite and 2 days remote (onsite Tuesdays, Wednesdays, and a third day unique to each team or employee).