Senior Options Credit Risk Analyst

Senior Options Credit Risk Analyst | London

We are Monex, a specialist in commercial foreign exchange. We offer a range of FX services aimed at corporate and institutional clients to manage foreign exchange exposure and international payments. Our team of experts provides personalized and proactive service, helping clients execute thoughtful FX strategies tailored to their specific business needs.

As part of the Monex SAB de CV financial group, we support over 70,200 clients worldwide, offering local expertise in various regions including the UK, Luxembourg, Canada, and Singapore. Our goal is to empower clients to make better-informed business decisions in a fast-moving and volatile market.

Department Overview

The Risk Department is tasked to establish, implement and maintain risk management policies and procedures that are effective in managing the risk exposure of Monex Europe. The aim is to maintain Monex Europe’s risk profile within the risk appetite while allowing the group to pursue its goals. The department facilitates the implementation of the risk management framework that governs the risk-taking activities of Monex Europe.

To perform these tasks, the department is split into three teams:

The Credit Risk Team; undertakes the due diligence and the monitoring process for all clients where Monex Europe has credit risk exposure, and to ensure that risk-taking decisions across the group are within and aligned to the risk appetite;

The Financial Risk Reporting Team; continually monitors the capital and financial resources adequacy of Monex Europe. The team produces regular risk management information reports to the risk committees and the Executive Board, as well as the regulatory reports to the FCA; and

The Operational Risk Team; oversees the risk management framework, which includes risk assessment, risk decision making, and implementation of risk controls, which results in acceptance, mitigation, or avoidance of risk.   

Job Overview

As a member of the credit risk team, the Senior Credit Risk Analyst is responsible for assisting the team to manage the counterparty credit risk exposure of the business including option products and Target Redemption Forwards (TARFs).

The role involves assessing the creditworthiness of counterparties, negotiating collateral terms in contracts in conjunction with Front Office, monitoring credit risk indicators, exposures, limits, and reviewing the credit quality of Monex Europe’s counterparties on a portfolio basis.

The main goal is to ensure Monex Europe’s counterparty credit risk exposure is controlled and maintained within the risk appetite and limits.

Key Responsibilities & Accountabilities

Providing assistance and support to the Risk team in any risk related matters, such as:

• Assisting the Head of Risk in team related duties and tasks;
• Being vigilant to look out for tasks that may not have been completed by the team or missed;
• Carrying out financial analysis on the group’s client and liquidity provider counterparties and making recommendations in line with best practice and the group’s risk appetite.

• Evaluate and manage credit risks associated with option products, including TARFs.
• Managing multiple credit requests in a timely and effective fashion, producing well-researched and accurate credit reports, and working directly with colleagues across business units and across borders to address credit requests and issues.
• Striving to drive and develop processes and procedures to limit risk and to improve credit risk management efficiency.
• Preparing margin facility proposals for consideration by the client and management.
• Assisting with the preparation of any risk related documentations, including collateral agreements, ISDAs, guarantee agreements, etc.

Monitoring credit risk exposures, such as:

• Calculating the Mark to Market value of an open position.
• Ensuring that the credit risk exposure of a client is within the risk limits.
• Monitoring and reporting a client’s initial margin and variation margin position.
• Monitoring and reporting the exposure concentration of the group’s credit portfolio.
• Escalating limit excesses appropriately to management.

General risk related responsibilities, such as:

• Monitoring the progress of a margin call.
• Understanding the risk policy framework in the context of the group’s overall risk appetite.
• Coordinating stress analysis on a client’s credit profile.
• Producing risk analysis and risk information reports for the management ‘s review;
• Monitoring changing market conditions that might affect the credit quality of the group’s credit risk exposure. Providing timely alert to the management for appropriate actions;
• Creating and implementing rules and ideas in raising the risk management standard of the business and raising the front office’s risk awareness;

Coordinating the risk committees, including producing papers, taking minutes and following up on all action points

Business Knowledge / Technical Skills:

• Demonstrable experience working in a credit risk analytics role in either a private bank or a retail bank;
• Minimum of 5 years of experience in credit risk analysis, with a focus on option products and TARFs.
• Strong technical skills, including VBA and Excel;
• Proven experience of analysing credit risk portfolios;
• Ability to work in a dynamic business and demonstrable experience of working on a number of projects simultaneously;
• Strong analytical skills and ability to deal with large data sets;
• Strong communication skills (both verbal and written);
• Ability to work to tight deadlines and to prioritize accordingly;
• Good understanding of financial products; including Forward and Derivative products.
• Strong organisational and time management skills.