Jnr Oil Market Risk Analyst (2) w/Path to Trading at Major International Trader
A marquee merchant commodities trading firm is seeking a bright, energetic individual, possibly a recent graduate or graduating senior for oil desks, The ideal candidate is someone with limited experience who doesn’t quite have a direction as to what they want to do but is motivated to help out wherever possible and provide some optionality to slide them into a normal risk/analytics position over time. With technical skills being willing to float around the office and improve existing processes (often spreadsheets) or build better reports from scratch with Python/VBA. The individual would also help out on the pricing data maintenance side.
Oil market risk is accountable for providing deep understanding of risk controls through the delivery of value-added analysis and reporting. Work with traders - ops - finance to book trades and estimate the risks associated with the transactions before and after deal execution based on market and internal information. Coordinate the creation of valuation methodologies for physical exposures for use in daily mark-to-market (MTM) valuation in daily PL leveraging experience in physical market and communication with traders. For options book utilize options theory for valuation/position/P&L reporting. Economics and valuation of products based on the technical specifications and blending operations by understanding chemical compositions. Coordinate month end reported profit/loss process with accounting group to ensure valuation methodologies conform to international accounting standards (IAS). Maintain an organized book structure and execute hedges for the physical and derivative trades in a high pressure environment. Seeking energetic candidates eager to dive into oil trading, with good math prowess, as communication skills. BA plus 1-year energy market experience up to seasoned professional. Engineering degree, any investment banking experience welcome. NY. MS Office, VBA a plus.
Specific key job functions of a Risk Analyst
1. Accountable for providing deep understanding of risk controls through the delivery of value-added analysis and reporting.
2. Work with traders/ops/finance to book trades and estimate the risks associated with the transactions before and after deal execution based on market and internal information
3. Coordinate the creation of valuation methodologies for physical exposures for use in daily mark-to-market (MTM) valuation in daily PL leveraging experience in physical market and communication with traders. For options book utilize options theory for valuation/position/P&L reporting.
4. Economics and valuation of products based on the technical specifications and blending operations by understanding chemical compositions
5. Coordinate month end reported profit/loss process with accounting group to ensure valuation methodologies conform to international accounting standards (IAS).
6. Maintain an organized book structure and execute hedges for the physical and derivative trades in a high pressure environment where small mistakes can lead to large losses
7. Manage physical and paper trading positions and develop enhanced reports when necessary. Create and develop processes to support trading activity and identify position gaps.
8. Generate P&L ensuring the relevance of MTM methodology, report relevant issues to the trading team, investigate unexplained PL resulting from system entry issues, incorrect MTM, physical logistics occurrences requiring strong quantitative and problem solving skills
9. Work closely with finance, front office, andcompliance department to ensure the desk is following internal/external regulations
10. Assist risk management department in project initiatives using technical expertise in excel and other internal systems. Must innovate to create/improve processes that add value to the business
11. Daily review of VaR and performing analyses of product/price correlations using statistical methods
12. Foreign language skills appreciated and used often for certain businesses
Required mathematical and technical knowledge/skills
1. Good grasp of Statistical and Stochastic Analysis methods
2. Ability to review and analyzelarge amounts of data
3. Thorough understanding of system analysis, risk assessment, andcontrol methods
4. Familiarity with industry compliance standards and regulations
5. Strong financial acumen, and problem-solvingskills
6. Petroleum Industry and market awareness
7. Ability to understand basic chemistry and capability to learn more in this discipline
8. Ability to understand finance options theory and learn more in this discipline
9. Ability to translate not very objective concepts and risks into specific and measurable items, such as key risk indicators
10. Familiarity with project management practices
11. Strong command of Microsoft office suite
12. The ability to explain complex issues and present technical information clearly
13. Ability to work independently and in a multidisciplinarysetting
Software or other applications utilized in completing the work.
Microsoft Office Suite,VBA, other skills appreciated and utilized