Senior Director - Trading Credit Risk

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What You’ll Be Doing:

The SD, Private Credit is accountable to the Senior Director, NBFI Trading, Trading Credit Risk for the overall management, leadership, oversight and performance of counterparty credit risk (CCR) function as it relates to Private Credit lending. This role will have oversight of Trading, Financing and/or Lending facilities for private credit counterparties. This accountability is to be achieved through the development and implementation of strategies, policies, procedures and practices designed to manage and control the counterparty credit approval process, credit quality targets and the general functioning and integration of the Credit groups.

The incumbent has significant authority for the adjudication of credit facilities covering private credit funds under Non-bank Financials, and may also extend to other NBFI counterparties including some or all of Banks and Sovereigns, Central Clearing Counterparties (CCPs), Governments and Public Sectors. This is a critical function requiring a combination of credit skills, people skills, extensive practical experience and trading product knowledge. Partnership with the business heads at the most senior level is essential.  The designated portfolios cover regions globally in Canada, US, Europe & Asia Pacific.  Within the overall management responsibilities of the position, the incumbent interfaces with the Global Markets and Corporate Banking teams in Canada, US, Europe & Asia Pacific, as well as other areas within Risk Management and external auditors and regulators as required.

The incumbent also provides (i) direction to senior CCR managers on accounts within their Delegated Approval Authority (DAA) (ii) authorizes accounts within the incumbent’s DAA, (iii) provides recommendations to the Senior Vice President or Executive Vice President  on accounts in excess of the incumbent’s DAA (iv) provides advice to the Bank’s senior executives on industry-related matters, and (v) works closely with line management counterparts concerning formulation and achievement of their business and financial plans.

How You’ll Succeed:

The Bank, through its Capital Markets business, incurs counterparty credit exposure to a broad range of entities, including hedge funds, funds/SPVs, pensions, insurance companies, brokers, banks, CCPs and sovereigns. A determining factor in the ability of any bank to raise capital and effectively serve its various constituents is the maintenance of a high standard of credit quality. CIBC is committed to the goal of maintaining such a high standard of credit quality while at the same time providing returns to shareholders that are recognized as being attractive for its industry.

The incumbent is responsible for achieving the above mentioned goal with respect to the designated portfolio through (a) recommendation, and upon approval, implementation of sound credit policies and practices; (b) excellent judgmental decision-making within their DAA; (c) effective management of higher risk or deteriorating credits (d) accumulation and communication of relevant industry knowledge; (e) informed direction provided to senior credit risk managers concerning accounts within the overall portfolio; and (f) assistance provided to the Senior Vice President and to line management counterparts in the identification and pursuit of opportunities, and identification and avoidance of excessive risks in managing the overall portfolio of assigned industries.

The incumbent is expected to take all necessary steps to become and remain an informed industry specialist with respect to the designated portfolio, particularly with regard to the factors influencing counterparty credit risk. The incumbent will participate in select external activities, such as client meetings and industry forums, which represent essential aspects of maintaining the required industry expertise.

The incumbent is also responsible for keeping the Senior Vice President and Credit Committee apprised of significant developments in industries within the designated portfolio, making written and oral presentations to Credit Committee concerning these developments, as required from time to time. The incumbent is responsible for ensuring that both senior risk managers and specialist line officers having responsibilities related to the designated portfolio are regularly provided with the incumbent’s analysis of the prevailing conditions of, and prospects for, the relevant industries:

• Ensuring that risk ratings are objective, transparent and reflective of each transaction’s risk profile

• Ensure all aspects of the Bank’s Global Reputation and Legal Risk Policy are met

• Provide and be perceived as providing professional stewardship of the Bank’s credit risk and CCR analysis

• Provide quality service to all CIBC business units with respect to their management of the relevant credit risk and CCR portfolios

• Achieve and apply relevant effective industry expertise and industry forums

• Establish and recommend various product or client related credit policies which establish and shape the strategies of the various client businesses

• Provide expert input and assist in the development and maintenance of risk rating models

The incumbent will specifically cover the following:

To provide management, leadership, and responsibility for the management of counterparty credit risk and financing functions globally as it applies to NBFI-Private Credit. The department manages credit and counterparty credit risk on a large set of counterparties covering complex products, transactions and also high volume. To adjudicate counterparty credit facilities and transactions covering sophisticated derivative users such as private credit funds, hedge funds, pensions, insurance companies and sovereigns.  This also covers liquidity providers such as Banks, Dealers, SPVs, and Central Counterparties (CCPs). The incumbent has significant authority for the adjudication of counterparty credit facilities and transactions. To assist in managing the Global Markets Financing – Risk Operating Framework which has risk oversight across the financing activities of Global Markets including the repo, loan warehouse/CLO, securitization (covering CIBC’s conduits and credit portfolio),  securities lending, equity derivative, prime brokerage, securitization and commodity/metals businesses.  These businesses cover over US$120 billion of financing activities (both on and off balance sheet) across fixed income and equity collateral with a cross section of counterparties across tenors.

Shaping/influencing business strategies and strategic planning:

• Work in partnership with various businesses to ensure that the intended products, transactions or client bases are commensurate with the firm’s counterpart credit risk appetite and that individual business strategies reflect such.

• Establish in consultation with key Business and Risk Management executives, key performance metrics that measure credit quality for the various portfolios.

• Establish and recommend various product or client related credit policies which establish and shape the strategies of the various client businesses.

Internal and external business development/client service:

The group interacts to some degree directly with external clients when issues of confidentiality or product knowledge and credit skills require such contact. The clients range from funds/SPVs, brokers, banks, sovereigns, central counterparties, large pensions, hedge funds, insurance companies, asset managers to high net worth individuals. The ability of the incumbent of this position to demonstrate to client’s high degrees of competency, people skills and knowledge is an absolute requisite.

Risk Management:

Ensure effective management of credit risk and CCR for the various portfolios through identification, measurement and monitoring in line with the Bank’s risk policies and standards.

Develop credit policies and standards for various client segments, for example, Private Credit funds, Hedge Funds, Pension Funds, Sovereigns, Insurance Companies, Asset Managers, Prime Brokerage, Broker Dealers, Banks and various others.

Key Cross Fucntional Relationships:

• All trading floor businesses at all levels; necessary to understand the trading floor credit needs and ensure that the appropriate credit facilities are written and adjudicated.

• Senior management of Capital Markets relating to the product, policies, procedures and practices, in addition to individual credit situations.

• Regulators in Canada (OSFI) and the US (SEC/ FED/NFA) and internal and external auditors who regularly conduct examinations on the quality of credits, policies and procedures and issues related to Reputation and Legal Risk.

• Regular contact with risk managers and relationship managers across the CIBC Group of Companies.

• Contact with senior executives in Risk Management including the Senior Credit Committee.

• CIBC Senior Executives and Line of Business Leaders in:

  • Global Markets

  • Corporate Banking

  • Internal Audit

• At a senior level at various external clients; necessary to ensure a complete understanding of the client’s credit risk and needs.

Decision Rights & Authorities:

• As an employee of CIBC, the incumbent must comply with all applicable CIBC and Line of Business policies, guidelines and controls.

• The incumbent receives delegated approval authority for credit adjudications and portfolio management, from the Senior Vice President, Trading Credit Risk. The delegated approval authority is documented in the incumbent’s Delegated Approval Authority (DAA). DAAs are reviewed annually.

Who You Are:

• Comprehensive knowledge of private credit products and structures and how they work in practice; necessary to ensure that the various credit and counterparty credit risks of often complex products and transactions are identified, understood and appropriately articulated and adjudicated.

• Knowledge of loan evaluation, marking and structuring – particularly in BSL/MML or leverage finance

• Knowledge of credit and CCR products, their appropriateness for different customer needs, risk factors, and profitability potential.

• Broad and deep knowledge of various industries given the diverse client base, with specialist knowledge of certain industries, examples would include Pensions, Hedge Funds, Asset Managers, Insurance and Broker Dealers. This knowledge is critical to ensure appropriate adjudication of complex clients and their credit risks.

• Detailed working knowledge of CIBC operations sufficient to apply, adapt and modify practices and processes in response to the changes affecting the delivery of products and services.

• Extensive working knowledge of external financial and regulatory environment, specifically as it relates to other financial institutions and foreign governments, from a risk perspective.

• Advanced presentation/interactive skills to convey complex conceptual information/ideas on issues requiring extensive interpretation and opinion.

• Extensive working knowledge of external financial and regulatory environment, specifically as it relates to private credit industry.

• Cooperative entrepreneurial team player with mature judgment, strong interpersonal skills and original approaches to problem resolution.

• Well-developed influential skills sufficient to apply in situations involving significant promotion/ negotiation on CIBC’s behalf.

• Excellent writing skills sufficient to prepare interpretative, analytical and creative materials involving precise articulation of ideas and opinions.

• Problem solving skills sufficient to select and modify general approaches and solutions suitable for given problems or issues

• Values matter to you. You bring your real self to work and you live our values – trust, teamwork, and accountability.

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At CIBC, we offer a competitive total rewards package. This role has an expected salary range of $225,000 - $275,000 for the New York, New York  market based on experience, qualifications, and location of the position. The successful candidate may be eligible to participate in the relevant business unit’s incentive compensation plan, which also may include a discretionary bonus component. CIBC offers a full range of benefits and programs to meet our employee’s needs; including Medical, Dental, Vision, Health Savings Account, Life Insurance, Disability, and Other Insurance Plans, Paid Time Off (including Sick Leave, Parental Leave, and Vacation), Holidays, and 401(k), in addition to other special perks reserved for our team members.

Candidates hired to work in other locations will be subject to the pay range associated with that location. Additional total compensation and benefits details will be provided during the hiring process.

What CIBC Offers

At CIBC, your goals are a priority. We start with your strengths and ambitions as an employee and strive to create opportunities to tap into your potential. We aspire to give you a career, rather than just a paycheck.

• We work to recognize you in meaningful, personalized ways including a competitive salary, incentive pay, banking benefits, a benefits program*, a vacation offering, wellbeing support, and MomentMakers, our social, points-based recognition program.

• Our spaces and technological toolkit will make it simple to bring together great minds to create innovative solutions that make a difference for our clients.

• We cultivate a culture where you can express your ambition through initiatives like Purpose Day; a paid day off dedicated for you to use to invest in your growth and development.

*Subject to plan and program terms and conditions

What you need to know

• CIBC is committed to creating an inclusive environment where all team members and clients feel like they belong. We seek applicants with a wide range of abilities and we provide an accessible candidate experience. If you need accommodation, please contact [email protected]

• You need to be legally eligible to work at the location(s) specified above and, where applicable, must have a valid work or study permit.

• We may ask you to complete an attribute-based assessment and other skills tests (such as simulation, coding, MS Office). Our goal for the application process is to get to know more about you, all that you have to offer, and give you the opportunity to learn more about us.

Job Location

NY-New York, 300 Madison Ave Fl 5

Employment Type

Regular

Weekly Hours

40

Skills

Analytical Thinking, Capital Markets, Credit Risks, Financial Markets, Group Problem Solving, Long Term Planning, People Management, Risk Management, Risk Monitoring, Risk Profile