Consultant job specification

Client

Financial markets division of major retail and commercial bank

Region

UK

Client need

The client wished to upgrade its credit risk management system for its dealing room business. The client needed advice in respect of the required functionality and whether it should buy a vendor solution or build in-house.

Our deliverables

We initially produced a high level functional requirements document and a roadmap for how this would be delivered over the coming years. This involved helping the client to clarify its policy and methodology in a number of areas.

We produced a business case for the system which included an analysis of the build or buy options.

We identified a shortlist of potential vendors that would meet the client’s requirements and, in conjunction with the client, produced the questionnaire for the Request for Proposal and scored the responses submitted by the vendor.

We performed business analysis in relation to the implementation of the first phase of the system and wrote the functional requirements specification.

We also provided systems development and business analysis for a number of tactical systems initiatives.

Client

Pension fund manager

Region

Benelux

Client need

The client had decided to upgrade its risk management capabilities and was in the process of building a risk management department. The client had produced a draft risk management policy but wished to have this reviewed to ensure compliance with best market practice.

Our deliverables

Having held a series of meetings with senior client employees to ensure we fully understood the business, we reviewed the policy to identify areas of policy and procedures which could be improved and where the client fell short of best market practice. The scope included all areas of the fund manager’s risk practices including market risk, liquidity risk, tracking error and compliance with investment mandates.

Our findings were detailed in a report which was presented to management.

Client

Retail and commercial bank

Region

Middle East

Client need

The client wanted to improve its operational risk capabilities, in respect of governance, product approval process, control self-assessment and Key Performance Indicators.

Our role

We assisted in the identification of gaps and the development of processes and controls to improve the operational risk environment.

Client

Major hedge fund manager

Region

UK

Client need

The client needed to develop a methodology for the measurement of credit exposure for certain products (credit and equity related) which could not be handled by its current risk management system. This was required both for limit control purposes and for the measurement of economic capital.

Our deliverables

We developed a methodology for the measurement of potential future exposure and documented this in a methodology paper. We developed a model for the calculation of exposure which the client now uses on an ongoing basis in its business.

Client

US Investment bank

Region

UK

Client need

The client aimed to re-engineer its collateral management infrastructure to meet (and ultimately exceed) market best practice. The scope of this initiative covered all of the bank’s collateralised product lines (OTC derivatives, repo, securities lending, futures & options, prime brokerage) and the end-to-end collateral process – from margin management to inventory management and the pledging of collateral.

Our role

We provided:

• Advice on market best practice across all areas of the collateral management process
• Analysis of existing environment and identification of system, process and organisational shortcomings
• Advice on the strengths/weaknesses of collateral management software vendors
• Strategic advice on functional and architectural design and future state operating model.