Role Title: Global Head of Traded Risk Technology
Business: HSBC Operations Services and Technology, Group Functions IT, Risk Technology
New or Existing Role? Existing
Risk Technology provides IT services in support of HSBC’s “Second line of Defence” Global Risk Function.Global Risk is a diverse and evolving function, acting as “Risk Steward” for many of HSBC’s financial and non-financial risks.Given HSBC’s global and universal banking model, the Risk Function is structured to “Protect and enable” HSBC’s four global business across all regions.
To achieve these critical, dual goals, Global Risk is organised into a number of Sub-Functions: Wholesale and Market Risk, Retail Credit Risk, Operational Risk, Risk Strategy, Resilience Risk, Global Risk Analytics and Global-business aligned Chief Risk Officers.
The Wholesale and Market Risk (WMR) Sub function focusses on managing the distinct financial risks arising from the bank’s wholesale lending and trading activity. WMR is organised to manage these specific risks through departments focussed on Wholesale Credit Risk (WCR) and Traded Risk.
Traded Risk’s diverse and critical responsibilities give rise to a wide range of technology demands spanning:
Market data storage, scenario calculation and distribution
Credit exposure calculations and aggregations for derivative products
Real-time credit limit management
Market risk exposure calculations and aggregations
Market risk limit management
Value at Risk calculations
General data distribution, process orchestration and reporting
These services must be provided reliably, in an environment of evolving regulatory obligations whilst driving towards HSBC’s goal of delivering its IT services in a cloud-first manner.
To meet the demands posed by Cloud re-platforming, investment in HSBC’s major businesses and the regulatory demands of Basel 3, Traded Risk Technology partners with Traded Risk line teams and Traded Risk Transformation, Global Markets line teams and Global Markets technology.
Purpose of the job
Reporting to the CIO, Global Risk the Global Head of Traded Risk Technology takes end-to-end ownership of the Traded Risk IT Service Line, and is a senior member of the Global Risk IT ExCo.
Risk IT designs, develops, implements and supports technology solutions for the Global Risk Function.With a budget exceeding $100m and over 1,000 staff based in HSBC’s hubs, professional sites and offshore technology centres, Risk IT is a major department within HSBC Technology’s Global Functions IT division.
- Traded Risk Technology is a major Service line within Risk Technology and is comprised of teams focussed on designing, developing, implementing and supporting technology solutions in support of WMR’s Traded Risk teams and Global Markets sales and trading teams.
Impact on Business
The role holder manages all aspects of the Traded Risk Technology service line, including:
- Functional, day-to-day management of a team of over 350 technical product managers, pod managers, analysts, developers, testers, and production support staff based in Hong Kong, Guangzhou, Xi’an, London, Paris, New York and Toronto
- IT Service ownership of a current portfolio of 45 applications and services, aiming to drive up stability and safety whilst reducing operating costs
- Management of a technology investment budget (CTB) of >$30mio and an operating (RTB) budget of >$30mio
- Evolution of the cloud-centric, future Traded Risk technology strategy in collaboration with Global Risk architecture, Group Functions architecture and the Global Markets technology teams
- Technology architecture for the Traded Risk technology platform in collaboration with Global Risk architecture, Group Functions architecture and the Global Markets technology teams
- Relationship management of the GCB1 Global Head of Traded Risk, the Traded Risk ExCo and aligned COO and Risk Transformation teams
- HSBC’s history, culture and geographic footprint create a truly unique and complex organisation
- Although HSBC weathered the 2008 financial crisis better than most, the organisation must still respond robustly to changes in the market and regulatory environment
- HSBC’s strength has created a stable work-force. Limited levels of staff turn-over limit opportunities to leverage product and platform innovation
- HSBC is very publically seeking to increase its efficiency, with HOST seen as a key enabler of this process
- HSBC’s Global Risk Function is a key contributor to the success of the wider group, acting as Risk Steward for a diverse range of Financial and Non-Financial risks with a mission to Protect the bank and Enable its strategy
- The Global Markets Risk domain is highly complex and fragmented with complex and diverse datasets and a large amount of technical debt to be paid-down. This needs to be achieved whilst meeting a demanding business agenda and the significantly increased regulatory expectations (e.g. Basel 3 trading book reforms, Libor)
- To be successful, the chosen candidate must therefore be able to:
- Navigate HSBC’s unique complexity and its need for consensus-driven decision making
- Influence various business and IT stakeholders to deliver solutions in-line with agreed Global Markets Traded Risk strategy
- Understand and promote the value of strategic, enterprise architecture in the sustainable reduction in long-term operating costs
- Assist the Risk CIO, Risk Technology and Group Functions management teams in building and maintaining strong business relationships in difficult times
- Key focus areas for the role holder include senior stakeholder management, traded risk technology strategy development, high-level solution design, technology oversight, day-to-day management, budgeting, resource planning, talent management, and agreement and subsequent successful delivery of the prioritised book-of-work for Traded Risk.
- Through their global management team, the role holder oversees the design, delivery and implementation of all technology change impacting the platforms, from bug-fix through to major platform enhancements and re-engineering, whilst always seeking to evolve services in-line with the agreed technology and business strategy.
- Investment in Traded Risk technology platform is currently significant, with a focus on migrating solutions to Public Cloud. This requires the role holder to manage the Traded Risk IT management team to develop and execute a coherent technology strategy through robust and achievable delivery plans, in line with the Traded Risk, Global Risk and Group Functions Technology strategies.
- The role holder is a strong people manager and will continually develop their increasingly diverse team. They will collaborate with the broader Risk Technology community to embed DevOps principles, creating diverse, self-managing, multi-disciplinary and multi-skilled pods that pragmatically apply agile methods to deliver prioritised outcomes. They will focus on creating an environment that values technology professionalism, continuous improvement, collaboration and a creative approach to problem solving.
- Testing, release and environment management require particular rigour for a large, complex and integrated technology platform.The role holder must work with the Risk IT and Group Functions IT communities of practice to maximize automation, increase efficiency and ensure that best practice, and the latest tools, techniques and processes have been adopted.
- The role holder is accountable for the safe, secure and sustainable production operation of Traded Risk technology platform.The role holder must therefore work through the Traded Risk technology management team to focus on customer service, minimising production outages, and ensuring that all change is managed in a rigorous, increasingly automated and sustainable manner. The role holder will also ensure that their teams work with the Risk IT and Group Functions IT Production Service Communities of Practice to ensure best practice is adhered to.
- The role holder is also responsible for promoting a culture of cyber security, ensuring that the Traded Risk technology platforms are ever-greened and that all Risk and Control matters are well managed.
- The role holder will manage all operational aspects of the Traded Risk Technology Organisation. They are therefore responsible for promoting a culture of commercial awareness, ensuring that all operational targets are met including headcount, headcount mix, and budgets. The role holder must maintain a sustainable global organisation that meets HSBC’s organisational design principles.