Valuation Risk Controller - Hybrid Equity Derivatives

  • Competitive
  • London, England, United Kingdom
  • Permanent, Full time
  • Morgan Stanley
  • 20 Sep 17

See job description for details


Company Profile

Morgan Stanley is a leading global financial services firm providing a wide range of investment banking, securities, investment management and wealth management services. The Firm's employees serve clients worldwide including corporations, governments and individuals from more than 1,200 offices in 43 countries.

As a market leader, the talent and passion of our people is critical to our success. Together, we share a common set of values rooted in integrity, excellence and strong team ethic. Morgan Stanley can provide a superior foundation for building a professional career - a place for people to learn, to achieve and grow. A philosophy that balances personal lifestyles, perspectives and needs is an important part of our culture.



Department Profile



The Finance Division reports to the Chief Financial Officer and consists of some 3,000 employees worldwide. Finance protects the Morgan Stanley franchise by serving as guardian of the Firm’s books and records and by contributing to firm wide risk management and risk reduction. This division maintains relationships with Morgan Stanley’s various industry and government regulators and also serves as the conduit of financial information to the outside investment community. Finance plays a critical role as advisor to Morgan Stanley’s various businesses and its senior management team.

Team Profile

The Valuation Review Group (VRG) is responsible for all valuation control issues in Morgan Stanley’s trading businesses. VRG provides an independent valuation opinion across the entire range of financial instruments, ranging from vanilla products to the most complex structured and derivative transactions. The group acts as a guardian and approver of valuation models and methodologies. The group's key clients are senior trading management, senior finance management and the firm’s regulators.

VRG is responsible for performing an independent monthly review of the portfolio valuation and relevant valuation adjustments, which involves pre-approval of valuation methodologies, testing compliance to such methodologies, comparison of Morgan Stanley marks to external marks/benchmarks, identification and resolution of potential pricing discrepancies and provides a valuation summary assessment to senior management. The team is also involved in the continuous advancement and enhancement of the valuation control infrastructure with a view towards global and cross-product standardisation. The team works closely with other groups within the Financial Control Group, Business Unit traders, Model developers (Strategists), and Risk Management.

This position is within the Equities team within VRG, focussed on the mark review (independent price verification) of the Hybrid Equity Derivatives business. The role will cover the full spectrum of equity derivative products, from vanilla Equity Options, Variance and Volatility Swaps and Dispersion Trades through to more exotic derivatives and Structured Notes.

Primary Responsibilities



· Work on the production of a number of monthly independent mark reviews within the Equity Derivatives team, specifically Exotics and Hybrids.

· Communicate results to team management as well as participation in review of detailed results with trading desks.

· Mid-month support mark review analysis and process improvement by performing in depth analysis on valuation issues or supporting process and infrastructure development.

· Partner with the model control team within VRG to develop and enhance independent valuation methodologies; ensure the group’s documentation around mark review methodologies is fully up to date and make revisions as required.

· Take ownership of balance sheet categorisation based upon observability in accordance with FAS157

· Pro-active management of valuation risk; where necessary lead the coordination of solutions in partnership with the Business Unit Controllers, front office Quantitative Modelling group, Market Risk Department and other institutional groups

· Challenge existing working practices and improve efficiencies



Qualifications:


Skills Required

· Demonstrable independent price verification or product control experience in exotic or structured derivatives;

· Analytical approach; attention to detail and mind set of accuracy;

· Confidence and strong communication skills are essential;

· Ability to influence and work across teams and regions;

· Ability to develop strong internal client relationships;

· Ability to work under pressure to tight deadlines;

· Excellent academics including a highly numerate degree or equivalent;

· PC literate with strong command of excel spreadsheets, preferably with experience in the visual basic language

Morgan Stanley is an equal opportunities employer. We work to provide a supportive and inclusive environment where all individuals can maximise their full potential. Our skilled and creative workforce is comprised of individuals drawn from a broad cross section of the global communities in which we operate and who reflect a variety of backgrounds, talents, perspectives and experiences. Our strong commitment to a culture of inclusion is evident through our constant focus on recruiting, developing and advancing individuals based on their skills and talents.