Team Lead, Derivatives Risk Remediation

Team Lead, Derivatives Risk Remediation

The Brokerage Risk Operations team, a part of Brokerage Operations, is responsible for the daily monitoring and remediation of market and credit-related risks within client margin trading accounts, adapting to evolving market conditions. Additionally, the team daily monitors non-margin delinquent client accounts to ensure timely closure of positions with cash debit balances and the execution of related cross-account offsets before these accounts are transferred to the collections team.

We are seeking a Team Lead to head a new function within Brokerage Risk Operations : Derivatives Risk Remediation. This role involves executing risk remediation activities for complex trading products, including margin lending and various complex option derivative strategies (e.g., covered calls, secured puts, spreads, naked strategies), in adherence to established policies. As our business expands into additional complex derivatives, the team is expected to grow to maintain comprehensive risk coverage. Ultimately, the successful candidate will manage a team of Associates and serve as the execution arm for policies set by cross-functional brokerage stakeholders.

About the Role

• Serve as the execution arm for policies set by cross-functional brokerage stakeholders.
• Close client positions and / or apply appropriate account restrictions based on single stock and broad-based stress testing metrics to ensure that client exposures are within established stress guidelines, according to established policies and procedures.
• Close client positions at the direction of the Margin Supervision team, subject to ongoing market and credit risk considerations.
• Monitor expiration risk for options and ensure that in-house automated tools remediate option exposures. Serve as a critical backup to automated tools to ensure timely redundancy measures and / or trades are placed to prevent option assignment risk.
• Work with cross functional teams to remediate any post-expiration options assignment exposures.
• Monitor early assignment risk of options and remediate exposures according to established procedures.
• Execute liquidation of short positions resulting from option assignment.
• Monitor for and remediate uncovered option positions.
• Actively monitor client portfolios for option strategies outside their approved trading levels and close positions as required.
• Liaise with cross functional stakeholders to answer any technical client questions received, including but not limited to margin requirements for complex derivatives and associated actions taken on exposure remediation.
• Create and maintain comprehensive policies and procedures for the team, ensuring documentation remains current with evolving products, regulations, and internal processes.
• Establish, track, and ensure adherence to Service Level Agreements (SLAs) for risk remediation activities, providing regular reporting on performance metrics to senior leadership.
• Draft memos and presentations to senior stakeholders when required.

What You Bring :