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Liquidity & Market Risk Oversight Officer
Ref No.: 17-00406
Location: Illinois
Position Type:Full Time/Contract
Start Date: 08/02/2017
Position: Liquidity & Market Risk Oversight Officer
Location: Rosemont, IL. 60018 (Local Candidates only for now)
Full time permanent role
Salary is commensurate with experience. $140K to $190K plus bonus DOE
Company will Not provide sponsorship for candidates or relocation moving expenses for position.

Key points: If applying for this role, please summarize the key points and provide how many years of experience and if you have (none, some or advanced knowledge) for the key points.
  • Bachelor's degree required. CFA, FRM, or MBA a plus.
  • 3-5 years working within a 1st line Treasury/ALM (Asset Liability Management) function or performing 2nd line liquidity and market risk oversight activities in an Enterprise Risk Management function at a financial institution
  • Knowledge and experience with liquidity and market risk practices and Treasury management as it pertains to interest rates ( not looking for risk on traders, modelers),
  • Regulatory experience with either Client, OCC or?
  • Knowledge of the banking industry and regulatory guidelines as they relate to liquidity and interest rate risk management practices including Enhanced Prudential Standards, OCC Heightened Expectations, SR 10-6, Reg YY, SR 96-13, and SR 10-1.
  • Strong leadership skills, understand how policies are written and evaluated correctly, metrics, market trends,
Summary: The Senior Liquidity & Market Risk Oversight Officer is in an independent 2nd line of defense function reporting directly to the CRO. The fundamental goal of the Liquidity & Market Risk Oversight Officer is to work closely with the 1st Line of Defense Liquidity & Market Risk functions to ensure liquidity and market risk management practices are appropriate for the size and scope of the organization and in line with supervisory guidance.

General Responsibilities Include:
  • Ensuring the proper identification, measuring, monitoring, and reporting of liquidity & market risks in the organization
  • Providing effective challenge to the 1st Line Treasury team activities and operating procedures to ensure proper governance and control over liquidity and market risks in line with Risk Appetite, Policies, and within Regulatory Guidance
  • Development and monitoring of appropriate liquidity and market risk appetite metrics and KRIs for inclusion in enterprise risk management reporting as well as for line of business reporting within Treasury
  • Ensuring the integration of broader Enterprise Risk Management framework throughout liquidity and market risk activities
  • Participation in the Risk and Control Self-Assessment (RCSA) process and development and maintenance of the risk and control library for liquidity and market risk.
  • Monitor operational risk events and work with appropriate stakeholders to define root cause and support remediation actions
  • Participation in the Asset Liability Committee as required
  • Remain up to date on regulatory guidance related to liquidity and market risk management practices and keep abreast of current trends/industry events, future developments, significant economic change and political policies and regulations that impact our liquidity and market risk management practices
  • Monitor and evaluate liquidity and market risk exposures and regularly apprise the CRO and executive management of risk exposure, emerging risks, and risk related developments
  • Continue to refine and improve the risk infrastructure around liquidity and market risk management activities to ensure that its liquidity and market risk management infrastructure is evolving as the organization grows and evolves
  • Coordinate with senior management within the 1st line Treasury function in reviewing overall operations, developing, and conducting risk assessments, and advising on risk framework, risk oversight, and risk management policy questions as they related to liquidity and market risk
Specific Responsibilities with Respect to Interest Rate Risk Management oversight include:
  • Assess consistency of policies and interest rate risk governance with regulatory guidance
  • Assess the adequacy of interest rate risk identification, measurement, and reporting processes
  • Assess the adequacy of the strategies and internal control system around interest rate risk management,
  • Assess accuracy/completeness of inputs used in the interest rate risk measurement system,
  • Assess the reasonableness and validity of the scenarios and assumptions used in the interest rate risk management system (e.g. shifts, slopes, and twists in the yield curve, asset betas, deposit betas, prepayment rates, etc), and
  • Assess the validity of the risk measurement calculations used in senior management and board reporting
  • Prepare an annual summary for the Board of the findings of its assessments including the bank's interest rate risk management practices and measurement techniques, the major critical assumptions used in the risk measurement process, a summary of the process used to describe those assumptions, and an assessment (sensitivity) of those assumptions on the bank's measured interest rate risk exposure.
Specific Responsibilities with Respect to Liquidity Risk Management oversight include:
  • Assess consistency of policies and liquidity risk governance with regulatory guidance
  • Assess the adequacy of liquidity risk identification, measurement, and reporting processes
  • Assess reasonability of baseline cash flow projections used for the funding plan and liquidity stress testing
  • Determine the overall soundness of the liquidity stress testing framework including effective challenge of governance, scenario design, methodology, and assumptions
  • Evaluate the methodology, assumptions, and data integrity around liquidity risk metric reporting
  • Assess the adequacy and proper functioning of the contingency funding plan, including the procedures for monitoring emerging liquidity stress events, the effectiveness of the liquidity early warning indicators, and the structure and governance around the liquidity response team
  • Assess management practices for posting, receiving, and monitoring margin collateral
  • Prepare an annual independent assessment of the bank's liquidity risk management practices and measurement techniques and the major critical assumptions used in the risk measurement process
Qualifications:
  • Bachelor's degree required. CFA, FRM, or MBA a plus.
  • 3-5 years working within a 1st line Treasury/ALM function or performing 2nd line liquidity and market risk oversight activities in an Enterprise Risk Management function at a financial institution
  • Knowledge and experience with liquidity and market risk practices and Treasury management
  • Knowledge of the banking industry and regulatory guidelines as they relate to liquidity and interest rate risk management practices including Enhanced Prudential Standards, OCC Heightened Expectations, SR 10-6, SR 96-13, and SR 10-1.
  • Excellent verbal and written communication skills
  • Proven track record of establishing a proactive, constructive dialogue and partnering with professionals internally and externally