Description of the Business Line or Department
The FIG team within GLBA/CRE is the team responsible for all aspects of FI credit analysis in respect of GLBA PCRU clients. The London team prepares credit applications on behalf of the primary client relationship unit (“PCRU”), seeking internal approval for the Bank’s exposure to EMEA FIs (excluding French counterparties, hedge funds and central clearing counterparties).
The role is wide in scope and involves managing a diverse portfolio of Non-Bank Financial Institutions (NBFI) clientele. Counterparties analysed primarily include broker/dealers, insurance and reinsurance groups, pension funds, private equity funds, regulated and unregulated funds, and other NBFI’s.
The main objectives of the team are to provide consistent, unbiased and independent analysis of the EMEA FI portfolio with the aim of:
- Freeing up the PCRUs in order to increase the marketing effort;
- Achieving a consistently high standard of credit files;
- Ensuring that counterparty ratings are reviewed so as to maintain Basel III consistency;
- Advising on acceptable structures for new facilities; and
- Ensuring all reviews and renewals are undertaken by their due dates.
In addition, the team provides a service to certain business lines that require credit approvals/opinions on specific EMEA FI risks for non-GLBA clients.
Summary of the key purposes of the role
- Writing credit applications and monitoring total group exposures;
- Preparing and submitting internal rating proposals;
- Participation in structuring of transactions to accommodate the requirements of both the bank and its clients
- On-going monitoring of a portfolio consisting of NBFI clients throughout the EMEA region (ex-France);
- Managing the credit process, including obtaining credit approval within deadlines;
- Participation to “Watchlist” discussions and provision of recommendations in connection with clients within the portfolio;
- Ensure that all transactions with a ‘UK Nexus’ are identified, with the relevant functions included in all risk approval process e-mails, memos and workflow systems, and appropriate approvals obtained;
- Provision of support to the relevant Coverage teams in circumstances where full recovery of our debt is unclear, including formal work-outs;
- Assisting with the support and training of more junior Credit Analysts (where applicable);
- Reporting into the UK Head of CRE – Financial Institutions; and
- Provision of support to UK Head of CRE – Financial Institutions in respect to ad hoc projects and wider team support covering holiday absence and peaks in workflow.
Summary of responsibilities
- Annual Reviews / flow business
- Credit management and monitoring of a portfolio of EMEA-based Non-Bank Financial Institutions (NBFI) to be in a position to advise on credit quality and overall exposure;
- Preparation of counterparty credit analysis to include (but not limited to) industry dynamics, business profile, management strategy financial position and projections, including non-standard situations e.g. weak borrower or security structure, new client, highly structured facility;
- Responsibility for ensuring that all annual reviews within assigned portfolio are completed on time (exceptions to be agreed with Head of Team and subject to good justification);
- Responsibility for flow business in respect to assigned portfolio, proactively managing workload to ensure all reasonable deadlines are met;
- Preparation of credit memoranda in connection with breaches/amendment of covenants, general facility amendments and excess requests; and
- Review of credit applications received from overseas branches and subsidiaries seeking approval for exposure to local subsidiaries of clients of the EMEA FI PCRUs;
- Internal Credit Ratings
- Proposal of FI Counterparty Credit Ratings in respect to assigned portfolio;
- Ensure the integrity and accuracy of ratings and that all ratings within assigned portfolio remain valid within permitted tolerances (currently 98% based on exposures); and
- Ratings proactively managed to reflect changes to the credit standing of the client group / counterparty and to ensure consistency of ratings across subsidiaries of each group.
- Facility structuring and documentation
- Liaising with the Coverage teams to assist and advise with the structuring of corporate borrowing facilities credit terms including financial covenants); and
- Liaising with the relevant business line or coverage team & Group Legal in connection with the preparation of ISDA and other documentation.
- Watch List
- Where required, participation in “Watch List” and “Provisioning” discussions and meetings;
- Provision of recommendations in connection with clients within the assigned portfolio; and
- Providing assisting to the quarterly watch list and provision processes of the team including the review of portfolios and completion of internal forms where required.
- Credit Administration
- Obtaining all necessary approvals in accordance with SGCIB credit policies and delegations;
- Administration of the credit process and follow up of conditions (if any) of sanction;
- Updating of various credit and internal rating systems; and
- Updating details of group exposures and monitoring exposure concentration.
- Reporting and Management Information
- Monthly one to one meetings with UK Head of CRE – Financial Institutions to provide two way feedback, discuss workloads, objectives and address any issues;
- Attend monthly team meetings;
- Meetings with Head of CRE London as may be required;
- Immediately notify and keep management updated on any large, contentious, difficult or high profile requests;
- Immediately notifying Head of Team and Head of CRE London of any operational incidents; and
- Completing quarterly Management Information and may be required from time to time.
- Operational and Conduct Risk & Regulatory Responsibilities
- Be prepared to speak up where there are weaknesses in processes or procedures;
- Ensure compliance with policies, procedures within the business line (including clear desk policy); and
- Completion of all regulatory training within deadlines.
Level of Autonomy and Authority
- Autonomy of operation is expected in this position and at this level
- Credit Analysts have some authority to mark credit lines for specific counterparty types, notably regulated investment funds. For other counterparty types, most credit proposals require final validation by the RISQ/CIB team in Paris.
- Senior Credit Analysts have a signing authority that enables submission of credit applications (within specified limits) directly to RISQ for validation, without needing intermediate approval from CRE management (applicable to VP’s only).