Building Global Risk Management

Role: Head of Corporate Model Risk Management

Our client is a bank holding and diversified financial services company. The company provides retail, commercial and corporate banking services. Our client offers services via banking stores and offices, the internet and other distribution channels to individuals, businesses and institutions in all 50 US states and other international locations.

Objective

For the world’s largest financial institutions, regulators have determined that despite having multiple lines of defense for risk management, it is very important to study and assure consistency and control regarding how firms build and utilize risk models. As a result, our client decided it was necessary to go beyond traditional “model validation,” and establish a leader across the firm that would drive firm-wide creation and utilization of models across all disciplines of risk as well as establish risk governance throughout all business lines globally.

Strategy and Result

Given that the creation of this role has been a fairly recent development for many international firms, our research and recruiting efforts were narrowly defined to focus on finding someone currently working in this capacity for one of the world’s largest financial institutions. Taking a global approach to the search, we presented a very talented and diverse slate of candidates for consideration. Knowing a limited amount of successful and proven model risk management programs existed, we concentrated our efforts on recruiting only the best, which resulted in the successful placement of someone who had previously built an outstanding model risk management division for a large British retail bank.