Senior Director, Model Validation
Canada's Challenger Bank™If you're looking for a workplace where employees are passionate about their work environment, then read on. What sets Equitable Bank apart from other companies is its culture. We celebrate and embrace the fabric of diversity, the employee engagement process and collectively take pride in our business successes. Our commitment to our customers, our partners and our employees creates a stimulating and exciting atmosphere that generates innovative products and outstanding service quality.
Equitable Bank is Canada's ninth largest independent Schedule I bank, serving Canadians coast to coast. It offers a diverse suite of residential lending, commercial lending and savings solutions, including high-interest savings products and GICs. Through its proven branchless approach and customer service focus, Equitable Bank has grown to approximately $31 billion in assets under management. In 2016, Equitable Bank launched a digital banking operation, EQ Bank, and introduced the EQ Bank Savings Plus Account. Equitable Bank currently employs over 750 employees across the country.
Within Equitable Bank's Core Lending business, Single Family Lending Services funds mortgages for owner-occupied and investment properties across Canada, while Commercial Lending Services provides mortgages on a variety of commercial properties on a national basis.Equitable's Securitization Financing business originates and securitizes insured residential mortgages under the Canada Mortgage and Housing ("CMHC") administered National Housing Act.Equitable Bank also offers a range of deposit products including short-term, long-term and Cashable GICs, available in non-registered or Tax Free Savings Account ("TFSA") across Canada. And it offers a High Interest Savings Account, available from authorized investment advisors through the FundServ network.
Equitable Bank is a growing Canadian financial services business and a wholly owned subsidiary of Equitable Group. It was founded in 1970 as The Equitable Trust Company.
Job Title: Senior Director, Model Validation
Department: Quality Assurance - Credit Risk
Reports To: Vice President, Credit Risk
Purpose of Job
The Senior Director, Model Validation (“SDMV”) reports to the Vice President, Credit Risk and is the leader of all aspects of Model Validation activities within the Bank. The SDMV is responsible for the development of strategies to validate all models applied in production on an enterprise-wide basis, and in executing on the required validation procedures. The SDMV will also be responsible to ensuring model risk be appropriately managed according to the Bank’s Model Risk Policy and Framework and comply with regulatory requirements. This includes (not limited) the models for credit risk management (such as AIRB and IFRS 9), ICAAP and asset liability management. The SDMV is responsible to manage individuals within the Model Validation team and to ensure that adequate resources are available to support the Bank’s validation efforts.
The incumbent will be instrumental in fostering the relationship with Model Development teams, including validation of model framework, assumptions, data; benchmarking; providing analysis, findings, recommendation and conclusion; documentation of the items above in the Model Validation report.
- Leader of the Model Validation team, responsible to engage and oversee the model validation and vetting activities of the bank, including the identification of key resources required to operationalize strategic plans to develop and maintain an effective Model Validation function at the Bank.
- Actively contribute to the Model Risk Management framework development, including the maintenance of the Model Risk Corporate Policy and key supporting documents such as Model Risk Assessment Template; make recommendations or enhancements where required in order to adhere to regulatory standards and expectations on an ongoing basis.
- Lead the development, implementation and maintenance of the model inventory; ensure that documentation and monitoring procedures are in place to maintain the model inventory to industry standards.
- Educate, influence and hold accountable key stakeholders to manage model risk according to the Bank’s Model Risk Corporate Policy and relevant OSFI guidelines (for example, E-23 Model Risk Management Guidance)
- Develop necessary model validation procedures for Model Validation such as Model Validation Report Templates; ensure that key stakeholders also establish and document their model development procedures where applicable.
- Provide input and recommendations to senior management on model risk management to minimize potential audit or regulatory issues that may arise. Address Internal/External and Regulatory requests and answer their questions on an ongoing basis
- Establish a framework to validate and monitor all existing and future AIRB model implementations including UAT, master scales, prototypes etc.
- Propose a vetting/validation strategy and plan for each vetting/validation project.
- Assess the appropriateness and construction of models with respect to their current or planned use and determine the level of model risk associated with the model, its assumptions, mathematical implementation, the underlying data and its system implementation.
- Provide appropriate model risk assessments consistent with the model’s risk content and intended usage.
- Produce validation reports according to the policy and format including identification of model limitations, weaknesses, conditions for model use and level of model risk.
- Ensure key information such as model review dates, conditions and triggers are captured accurately in the model risk management system.
- Provide regular project status updates to Senior Management for tracking and monitoring validation projects.
- Identify and make recommendations on staffing resource requirements needed to adequately execute on key strategic objectives of the group.
- Develop team members to enhance their Model Validation skills through strong communication and sharing of knowledge of models and validation projects and processes.
- Provide timely and effective feedback to staff; identify knowledge or experience gaps in team members and identify appropriate training opportunities or external courses in order to improve staff effectiveness.
- Manage stakeholder relationships to ensure model validation findings and recommendations are appropriately informed by business purpose and context.
- Set expectations, obtain and provide information on models, and communicate model risk issues and suggestions during the validation process; ensure that model stakeholders are compliant with model controls.
- Ensure that model stakeholders are aware of Model Risk issues and limitations identified during model validation.
- Escalate difficult or complex project-related client issues to VP, Credit Risk or other Sr Management where appropriate.
- Where appropriate, collaborate with key internal stakeholders to address findings from Internal Audit or external stakeholders as they pertain to Model Validation activities; create actions plans where appropriate to address the findings and ensure models are compliant with regulatory standards.
- Master degree or Ph.D degree in Math, Math Finance, Statistics, Engineering, Finance, Economics or equivalent quantitative background.
- Fifteen years or more experience of quantitative modeling in the financial industry.
- Expert knowledge and/or broad experience in Retail, Commercial and Corporate Credit Risk modeling, Asset-Liability Management modeling, ICAAP, AIRB or IFRS 9 models.
- Expert knowledge of model risk management and governance.
- Expert level knowledge of risk management principles and practices.
- Experience in at least two of programming languages/tools preferred. This may include Python, R, SAS, C++, C#, Java and Matlab.
- Developed project management and time management skills.
- Strong technical documentation and report writing skills.
- Solid and proven communication skills.
Equitable Bank is an equal opportunity employer and encourages applications from all qualified candidates. Accommodations are available on request for candidates taking part in all aspects of the selection process. All candidates considered for hire must successfully pass a criminal background check and credit check to qualify for hire. While we appreciate your interest in applying, an Equitable recruiter will only contact leading candidates whose skills and qualifications closely match the requirements of the position.
- Pay Type Salary
- Equitable Bank, 30 St. Clair Ave West, Suite 700, Toronto, Ontario, Canada