Manager, Capital Markets Risk
SUMMARY OF POSITION:
The Manager, Capital Markets Risk (MCMR) is responsible for managing all aspects of the Federal Home Loan Banks Office of Finance (OF) Dealer Compliance Program, including counterparty credit and financial performance monitoring, and dealer management and relations. In addition, the MCMR is responsible for the OF’s daily settlement risk exposure reporting and monitoring process, including the annual recalibration of applicable settlement limits, and maintaining awareness of significant capital markets risk issues relevant to the OF, the FHLBank System, and the broader agency debt market.
The MCMR is also responsible for helping the OF’s Risk Management organization maintain an effective enterprise risk management (ERM) program, and plays a critical role participating in and supporting key risk initiatives and other activities. These responsibilities include involvement in organization-wide initiatives, remediation of regulatory findings, and preparation and/or review of regular risk reporting as well as executive level reports and Board presentations in coordination with the Chief Risk Officer (CRO) and/or Director, Capital Markets Risk (DCMR). The MCMR works under the supervision of the DCMR.
- Manages the established evaluation process for new broker-dealer counterparties, which involves analyzing the prospective firms’ financial information and regulatory examinations exceptions, including reviews of all the documentation supporting each firm’s application.
- Facilitates the Dealer Evaluation Working Group (DEWG), which meets on a regular basis to review dealers and shares relevant information with the DEWG members and/or Capital Markets Oversite Committee (CMOC).
- Develops, maintains and updates compliance review programs to ensure conformity with OF, Federal Home Loan Bank (FHLBank) System, Federal Housing Finance Agency (FHFA), SIFMA, and industry standards.
- Conducts dealer/counterparty reviews to ensure compliance with executed agreements.
- Facilitates the onboarding of new dealers.
- Prepares reports, as necessary, for senior management, OF Board Risk committee and the FHFA regarding the OF’s dealer compliance activities, as well as organizational ERM activities.
- Maintains a relationship with and participates in the FHLBank System Credit Risk Officers Working Group to share information and gain relevant insight.
- Maintains the debt product underwriting and dealer eligibility matrix (“Tier I/II”) and works with OF Capital Markets to implement changes as necessary to support business and risk needs.
- Works with OF Legal to ensure appropriate agreements are maintained by all broker-dealer counterparties and direct placement investors.
- Works with OF Debt Services personnel to support accurate dealer permissioning.
- Identifies and assesses risks that are specific to agency (or more broadly) fixed income capital markets; particularly risks that have the potential for affecting market access, dealer distribution, funding costs, investor demand, and reputation.
- Monitors FHLBank and System aggregate daily settlement exposure and identifies and immediately reports any breaches of the applicable triggers and/or thresholds.
- Works with OF Capital Markets and appropriate counterparts within the FHLBank System to update the settlement risk monitoring framework annually, as prescribed by the program.
- Assists the CRO and DCMR as necessary in the discharge of risk management and reporting responsibilities.
- Supports the OF’s diversity and inclusion strategy by following policies and procedures that help create opportunities for diverse business partners (broker-dealers), consistent with OF strategy.
- Assists with other job duties as assigned, including backing up other business units on critical tasks.
PRINCIPAL JOB REQUIREMENTS:
- A bachelor’s degree from an accredited college or university, or relevant work experience.
- A minimum of seven to ten years of relevant work experience, ideally in institutional financial services such as treasury, corporate finance, or credit risk management. Regulatory compliance, internal audit, and/or accounting experience will also be considered.
- A Master’s Degree (MBA, MS, or equivalent) and/or professional certification as a CFA, CPA, CTP, and/or Certified Risk Management Professional is preferred.
- Broad based fixed income capital markets knowledge and experience (e.g. cash and derivative interest rates, U.S. government securities, agency debt, money markets, housing/mortgage finance, counterparty credit risk, trading desk operations, and securities industry regulations, etc.).
- Strong analytical and reporting skills; experience with Excel, Access, Bloomberg, and business intelligence reporting tools (e.g. Business Objects or Python, etc.) required; financial modeling experience a plus.
- Problem solving skills and the ability to manage projects/tasks to success.
- The ability to travel, as needed, to accomplish on-site dealer reviews and other business activities.
- The ability to work independently; to initiate and complete work assignments effectively and in a timely manner, with minimal supervision.
- The ability to communicate effectively both orally and in writing.
- Ability to listen and integrate ideas from diverse groups of individuals, build and maintain respectful relationships, collaborate with others, and resolve conflicts constructively.
- Proof of eligibility to work in the United States.
EQUAL EMPLOYMENT OPPORTUNITY
It is the policy of the Federal Home Loan Banks Office of Finance to ensure equal employment opportunity (EEO) for all employees and applicants for employment without regard to race (including traits historically associated with race, such as hair texture, hair type and protective hairstyles), color, religion, sex, pregnancy (including childbirth, lactation, or related conditions), national origin or ancestry, age, physical or mental disability, veteran status, uniformed service member status, sexual orientation, gender identity, status as a parent, marital status, genetic information (including testing and characteristics), citizenship status, or any other characteristic protected by applicable federal, state, or local law. It is the OF's policy to comply with applicable laws concerning the employment of persons with disabilities, including reasonable accommodation for applicants and employees with disabilities.