Experience in Collateral/ Margin Management is a must
Global Collateral Operations
Collateral Operations sits within Global Market Operations and Middle Office (GMO & MO) and is responsible for mitigating the credit exposure created by the day-to-day trading of OTC derivatives across all BAML entities. Trading with all kinds of clients (Investment Banks, Hedge Funds, listed companies, Governments) upstream systems mark trades covered under the Credit Support Annex (CSA) to market (MTM) it is our responsibility to ensure these covered trades are sufficiently collateralize and that the bank as a whole is not subjected to unnecessary credit risk. The department consists of 6 distinct support functions as listed:
Margin Management responsible for processing Margin calls
New Business Involved in the on boarding of new clients and New Product Review
Funding & Optimization of Collateral posted / received from Clients, ensuring all inventory is well utilised
Collateral Deed Mgt & Reporting Monitoring data integrity and metrics reporting to senior management
Cash Mgt & Reconciliations Process cash adjustments and monthly reconciliation of Collateral books
Initiatives Drive change and review the impact of new regulation to Collateral
Our primary role is to ensure all the firms margin calls are answered, and agreed (where supported by underlying documentation/MTM data), and to respond to all our counter-parties calls in good faith. This often requires interfacing with a number of key groups such as:
Sales/Trading Desk: Front Office book/agree trades that feed Carbon / useful leverage point for client issues
Credit: Credit set limits for counterparty exposure/upfront for Collateral oversee trading activities
Legal /Documentation: Negotiate CSAs / responsible for static data captured within ATS (feeds Carbon)
Owing to our risk management mandate Collateral Operations receives plenty of attention from across the firm, especially in times of market volatility. It is, therefore, essential that we understand the risks involved in failing to perform our BAU activities.
The successful candidate joining the Margin Management team is doing so at a key juncture where the organization globally, is intensely involved in an operational efficiency program and UMR readiness planning. Therefore, subject to ensuring BAU activities are being completed to the levels and competencies expected, the incoming candidate will be given ample opportunity to assist and drive (where possible) the aforementioned change initiative.