Product Features
Blog
Contact Us
Sign In
Bank of England
,
London, Greater London
FRMD Collateral Analysts
Overview
Job Description
The Markets Directorate promotes monetary and financial stability by leading the Bank's market operations, and by using our presence, expertise and influence in financial markets to inform and shape the Bank's policy decisions and priorities. The Markets Directorate includes 6 Divisions which are: * Sterling Markets * Foreign Exchange * Market Intelligence * Financial Risk Management * Middle Office * Markets & Banking COO Department Overview These roles sit in the Collateral Risk Management team within the Financial Risk Management Division (FRMD). FRMD sits within the Markets Directorate, which conducts the Bank's market operations to implement monetary policy, support financial stability through providing collateralised liquidity insurance to banks and other financial institutions and manage the UK's foreign exchange reserves. In addition, the Markets Directorate gathers intelligence on financial market developments to inform policymakers on the Monetary Policy Committee, Financial Policy Committee and the Prudential Regulation Committee. FRMD is responsible for first-line risk management of all financial risks faced by the Bank, working closely with staff across Markets and Banking, with the second-line Risk directorate, the rest of the Bank and extensively with the Bank's counterparties. Its main responsibilities include: * managing the credit risk of the Bank's counterparties; * managing the risk of the very large amount of collateral placed at the Bank by these counterparties, including portfolios of residential mortgages, * consumer and business loans as well as securitisations of those loans and a range of other securities, such as government and corporate bonds; * managing the market risk in the UK's foreign exchange reserves. Job description We are recruiting for two Collateral Risk Analysts. One to support the Residential Mortgage portfolios and Residential Mortgage Backed Security (RMBS) function, and the second to support the Consumer and Corporate loan portfolios and Asset Backed Securities (ABS) function, although there is also scope for cross function work. Both roles sit within the 12-people-strong Collateral Risk Management team. The team currently manages hundreds of billions of pounds worth of collateral, positioned by a significant number of counterparties to be able to draw liquidity from the range of facilities designed and run by the Bank, including eg the new Term Funding Scheme with additional incentives for SMEs (TFSME). The team is responsible for: * designing the policy and methodology for valuing and assessing the financial risks of these assets as well as assessing whether the Bank should accept new types of loans or ABS/MBS as collateral; * deciding the appropriate haircuts to be applied to those assets to protect the Bank against the risk of losses in the event that a counterparty defaults; * assessing the risk management of the counterparties that deliver these assets; * contributing to the Bank's capacity to manage and sell these assets in the event that a counterparty defaults - working where relevant with Resolution Directorate and other stakeholders. The primary objectives of the Collateral Risk Analysts are: * To lead in assessing the quality and financial risks of counterparties' (a) mortgage loan assets, or (b) consumer and corporate assets (predominantly consumer loans, SME loans, social housing loans and asset finance loans) including undertaking end to end assessment of loan portfolios, such as: assessment of loan origination, risk management and loan servicing processes; collateral valuation and haircuts based on detailed loan-level data analysis; presenting recommendations to Senior Management at Risk Committees. * Maintaining stakeholder relationships with banks. * To work on the design of the collateral assessment framework and to manage its effective implementation....