Northern Trust - Model Validation Role - Quants - Model Risk Management Team

Northern Trust Job Description

Summary :

This opportunity is for a role within the Model Risk Management team at Northern Trust. The Model Risk Management Group oversees the enterprise-wide model risk guidelines and performs the independent validation of models that impact strategic risk, credit risk, operational risk, market risk and the capital allocation framework.

The role is responsible for the model validation process. In this capacity, the resource will be tasked with building out a local model validation team, as well as serving as a point of contact within the global model validation function. This is a highly visible role across Corporate Risk function. The successful candidate will gain a broad exposure to the new bank regulatory environment and will have the opportunity to make a contribution to Northern's evolving model risk monitoring process and governance guidelines.

Major Duties :

- Work in a local model validation unit and a team of quantitative risk analysts

- Conduct hands-on evaluation of models proposed by the company's risk and business units. This includes assessing model risks by performing detailed model validation reviews, evaluating performance thresholds, researching model approaches and creating alternative models.

- Communicate findings to model owners and management, and ensure those findings are addressed appropriately.

- Support internal capital allocation methodologies by ensuring that the underlying modeling approaches meet internal corporate needs and regulatory requirements.

- Provide technical expertise to resolve model risk issues and enhance overall model risk framework. Work with other Risk teams to ensure that model risk management policies/processes and quantitative modeling approaches are consistent.

- Proactively provide training to promote understanding of model risk measurement throughout the company.

- Advise junior team members in the resolution of technical problems. Provide leadership for projects and strategic directions on validation activities.

Required Knowledge/Skills:

- Excellent oral and written communication skills.

- A solid understanding of general statistical principles (e.g. estimation, hypothesis testing) and modelling techniques (e.g. OLS, logistic regression, time series analyses).

- Strong conceptual and technical knowledge of risk concepts and quantitative modeling techniques.

- Strong analytical and problem solving skills.

- Strong project management and time management skills.

- Prior model building experience is highly desirable

- Recent programming knowledge in SAS or R is required.

- Experience in CCAR model development/validation is highly preferred.

- Financial Regulation knowledge (Dodd Frank, BASEL III) is preferred.

Candidate Qualification :

- Advanced degree in a related field (math, statistics, economics)

- 5-6 years of relevant industry experience (financial services)

- At least 3 years of people management experience (responsible for project management and performance reviews).