1. Risk Assessment & Mitigation:
o Identify, assess, and monitor various types of risks, including market risk, credit risk, operational risk, and liquidity risk.
o Implement risk mitigation strategies to minimize the firm's exposure to financial losses.
o Monitor daily trading positions, margin calls, and client exposures to ensure they are within approved risk limits.
2. Risk Framework Development:
o Design and implement a comprehensive risk management framework, policies, and procedures in line with SEBI (Securities and Exchange Board of India) and other regulatory guidelines.
o Ensure the firm’s risk appetite aligns with business goals and regulatory requirements.
o Continuously update and refine the risk management framework based on market conditions, regulatory changes, and firm-specific needs.
3. Margin & Exposure Management:
o Set and monitor margin requirements for clients to ensure compliance with regulatory standards.
o Monitor client positions and ensure that exposure limits are adhered to, issuing margin calls when necessary.
o Work closely with the trading desk to manage client risk positions and take corrective actions when needed to protect the firm's capital.
4. Regulatory Compliance:
o Ensure full compliance with SEBI regulations and other relevant governing bodies related to risk management.
o Prepare for and assist with internal and external audits, ensuring accurate and timely reporting of risk metrics.
o Keep updated with the latest regulatory changes and adapt the firm’s risk strategies accordingly.
5. Data Analysis & Reporting:
o Analyze market trends, trading patterns, and economic indicators to assess risk levels.
o Prepare daily, weekly, and monthly reports on the firm’s risk exposure, highlighting any areas of concern.
o Present risk management reports to senior management and provide recommendations for mitigating potential risks.
6. Technology & Systems:
o Utilize risk management software and tools to automate and enhance risk monitoring processes.
o Collaborate with the IT department to ensure proper implementation and maintenance of risk management systems and platforms.
o Ensure that data integrity is maintained within all risk monitoring systems.
7. Client Risk Monitoring:
o Monitor client portfolios, ensuring adherence to risk limits and addressing any issues related to high-risk trades or margin requirements.
o Analyze client behavior and trading activity to detect and respond to unusual or risky patterns.
8. Stakeholder Collaboration:
o Work closely with trading, operations, compliance, and finance teams to ensure coordinated risk management efforts.
o Collaborate with the legal and compliance teams to ensure all risk management policies and processes comply with local and international laws.
9. Training & Development:
o Provide training to team members and other departments to promote a strong risk culture across the organization.
o Keep the team updated on emerging risks, market developments, and regulatory changes affecting the risk landscape.