The Bank of England is the UK's central bank. Our mission is to deliver monetary and financial stability for the British people.

The Bank of England is a diverse organisation, made up of approximately 4,000 people – each committed to public service and dedicated to promoting the good of the people of the United Kingdom by maintaining monetary and financial stability.

The Markets Directorate promotes monetary and financial stability by leading the Bank's market operations, and by using our presence, expertise and influence in financial markets to inform and shape the Bank's policy decisions and priorities.

The Markets Directorate includes 6 Divisions which are:

• Sterling Markets
  
• Foreign Exchange
  
• Market Intelligence
  
• Financial Risk Management
  
• Middle Office
  
• Markets & Banking COO
  

Department Overview

FRMD is responsible for first-line risk management of all financial risks faced by the Bank in order to protect the Bank’s balance sheet and public money.  FRMD works closely with staff from across Markets and other parts of the Bank, as well as with the Bank’s counterparties.

FRMD’s main responsibilities include

• Managing the credit risk from the Bank’s counterparties

• Managing the risks associated with the loan portfolio and securities collateral placed at the Bank by these counterparties, including

  • Portfolios of mortgages, consumer, corporate and other business loans;

  • Securitisation notes and covered bonds;

  • Corporate bonds;

  • Government bonds;

  • Certain other securities,

• Managing the market and liquidity risks across all operations undertaken by the Bank, including those related to the management of the UK’s foreign exchange reserves on behalf of the Government

Job Description

We are recruiting for a Senior Collateral Risk Analyst. The primary focus of the role will be actively risk managing one or more of the loan-based collateral asset classes that the Bank accepts, ie loan portfolios, securitisation notes and covered bonds secured against those loans. These assets represent the vast majority of the hundreds of billions of collateral held by the Bank and are positioned by a wide range of banks and building societies in order to borrow against the Bank’s liquidity insurance (lending) facilities and funding schemes (Report on the Bank’s official market operations 2019–21 | Bank of England).

The role is at the forefront of the Bank’s market operations conducted in support of monetary and financial stability and will enjoy high visibility within the Bank and with the Bank’s counterparties. The jobholder will ultimately develop a unique insight into the practice of collateral risk management, which is constantly evolving as the Bank’s market operations respond to the evolving needs of the economy and financial system.  There is also scope to tailor the exact focus of the role to the interests, skills and experience of the jobholder. The role will be an excellent opportunity for experienced analysts who want to deepen their financial risk analysis, assessment and management skills and a great stepping stone for more senior roles.

The jobholder will be part of the 14-strong and growing Collateral Risk Team, which is responsible for

• Valuing and assessing the quality and financial risks of assets accepted as collateral, as well as assessing whether the Bank should accept new types of loans or securities and under which terms;

• Deciding the appropriate haircuts to be applied to those assets to protect the Bank against the risk of losses in the event that one of its counterparties defaults;

• Assessing the strategy, lending policies and  risk and control processes of the counterparties that deliver those assets;

• Ensuring the Bank is able to manage and sell these assets in the event that a counterparty defaults – working with the Resolution Directorate. PRA and other stakeholders.

The Senior Collateral Risk Analyst will be leading all of the analysis and assessment underpinning the Team’s aforementioned responsibilities for the collateral assets and counterparties that the Analyst will take ownership of.  As part of their role, the Analyst will

• Proactively monitor and assess emerging risks affecting collateral assets, and identify appropriate risk mitigants;

• Present analysis and recommendations to the Bank’s Risk Committees;

• Make significant and tangible contributions to ensure FRMD’s collateral risk framework continues to evolve in order for it to remain first class, robust and efficient;

• Build trust and strong relationships with the Bank’s counterparties and undertake counterparty site visits across the UK (including occasional overnight stays);

• Participate on  Bank-wide contingency planning exercises to ensure the Bank is able to manage and dispose of collateral following the default of a counterparty;

• Bring a strong cross-team approach to working with other teams in FRMD and a range of other areas of the Bank, such as Sterling Markets, Middle Office, Risk oversight (second line of defence), Resolution Directorate, PRA, Legal Directorate and COO.

Role Requirements

Minimum Essential Criteria

• Knowledge of credit risk modelling and / or market knowledge for at least one of the following asset classes: mortgages, consumer credit, corporate credit and / or securitisation notes and covered bonds secured against those assets;

• Strong analytical and numerical skills, with proven experience in conducting quantitative analysis of economic or financial data;

• Ability to acquire new technical knowledge;

• Strong communication skills – written and verbal – and experience of presenting to senior management;

• Experience of managing and influencing various stakeholders;

• Strong organisational skills and ability to work independently and adapt to changing priorities;

• Approach to work that is team oriented and proactive.

Desirable Criteria

• Client / counterparty relationship management experience;

• Experience of working with large economic or financial datasets;

• Experience of contributing to cross-organisation workstreams.

The Bank values diversity and inclusion – we want to reflect the society we serve better, we want the best people to work for us and we want our workplace to be inclusive.  We value all forms of diversity, including but not limited to age, disability, ethnicity, gender, gender identity, race, religion and sexual orientation.  One way we support diversity and inclusion is through our staff-run networks, which are summarised here.

We are fully committed to having a diverse and inclusive working environment, and are open to considering how the role might be carried out with flexible working.  This role is therefore open to flexible working patterns.

Where a role can be carried out from home, we are working towards colleagues spending at least half of their time in the office, so that we can all benefit from working together in person, while maintaining the flexibility offered by home working. From 6 June 2022, we expect colleagues to spend a minimum of 40% of their working time in the office per month.  Subject to that minimum requirement, individuals and managers should work together to find what works best for them and their team.

We are also committed to making adjustments for candidates and employees where possible, and have partnered with external expert organisations to support us in this.  We are a member of the Disability Confident scheme, summarised here, and people who wish to apply under this scheme should check the box in the ‘Candidate Personal Information’ under the ‘Disability Confident Scheme’ section of the application.

We anonymise applications so hiring managers will not be able to see your personal information when reviewing your submission, including your CV. Please fully complete the application form questions as requested, as any incomplete submissions may not be reviewed.

The Bank of England is a distinctive institution and our rewards are one of the things that set us apart. As well as enjoying a competitive salary you will work in a collaborative, inclusive environment, with a subsidised restaurant, flexible working opportunities and plenty of wellbeing initiatives.  

This specific role offers a base salary of circa £45,900 - £59,000 per annum, dependent on experience, along with our comprehensive benefits package as follows:

•    A non-contributory, career average pension giving you a guaranteed retirement benefit of 1/95th of your annual salary for every year worked. There is the option to increase your pension (to 1/50th) or decrease (to 1/120th) in exchange for salary through our flexible benefits programme each year.
•    A discretionary performance award based on a current award pool.
•    A 7% benefits allowance with the option to take as salary or purchase a wide range of flexible benefits.
•    25 days annual leave with option to buy up to 13 additional days through flexible benefits.
•    Private medical insurance and income protection.