Manager – Market Risk Advisory East

Texas, United States of America

Job Family Group:

Finance

Worker Type:

Regular

Posting Start Date:

November 13, 2023

Business unit:

Finance

Experience Level:

Experienced Professionals

Job Description:

What’s the role?

The role of the Market Risk Advisory East function is to identify, measure and report on the level of risk, to advise the commercial teams on mitigation strategies consistent with defined risk appetite and to provide assessment and insight to senior management.

This role will report to the Head of Market Risk Advisory, Shell Energy Americas and will be in Houston office serving as the focal point for Market Risk to the Gas and Power portfolio managers and other local enabling functions.  This role will manage a team located in the Houston office.  The primary regional focus will be our Eastern gas and power markets including: PJM, NYISO, ISO-NE and associated gas markets.

As a Manager – Market Risk Advisory East, your team will have the responsibility to:

• Understand supply and demand fundamentals, including regional/locational price differences, fundamental drivers of changes in these spreads, historical market direction and trends/underlying fundamental causes
• Develop and mentor a talented team of Senior analysts and analysts to enable their growth and performance.
• Ensure adherence to mandated exposure and risk limits and provide guidance on actions to be taken to reduce risk if necessary
• Work closely with functional stakeholders to ensure trading risks and returns are fully understood, captured, and challenged where necessary. This will also include longer term risks, inherent in contracts such as, but not limited to, storage, pipelines, tolling agreements and environmental products.
• Manage risk identification of model & portfolio assumptions and market inputs, pricing issues, and drive understanding of the design and utilization of VaR, stress testing, and scenario analysis.
• Partnering with the other Market Risk team managers to align best practices across the Shell Energy Americas platform.
• Understand, propose, and manage the local adoption of policy and methodology for the evaluation of any new or adapted market risk exposures.
• Understand and manage the development of mechanisms to value risk inherent from optionality contained in the portfolio and how this can be created and managed within Trading.
• Ensure that trading activities are properly represented within the relevant quarterly Market Risk committees and provide input into STN Enterprise Risk Management committees as needed.
• Evaluate new business opportunities by providing independent deal assessment including strategic/portfolio fit, limits impact evaluation, analysis of portfolio performance in various scenarios, identification of risks associated with the new deal, and back-testing strategies in collaboration with other Market Risk groups and the Deal Valuation team. Where applicable, provide peer review and challenge to deal proposals for other T&S businesses
• Analyze performance or hedge effectiveness/back-tests of trading strategies, identify multiple factors driving position and profit and loss changes and provide insight to stakeholders and consumers of risk data for context
• Provide daily, insightful, commentary of key portfolio activity including market intelligence, exposure changes and new deal activity
• Develop and refine the fair economic valuation approach and provide steer on usage of market risk reserves

What we need from you

• Must have legal authorization to work in the US on a full-time basis for anyone other than current employer
• Bachelor’s degree in Business, Economics, Mathematics, Engineering or IT, Master’s preferable.
• 10+ years Gas and Power experience or 7+ in the East markets markets with 5+ years in risk preferably
• Advanced grasp of North American supply/demand dynamics, deal structures, demand forecasting, stress testing, scenario analysis, VaR and exposure reporting.
• Experience modelling long-term energy transactions, tolling agreements, renewable power purchase agreements (solar, wind, batteries, biomass), capacity agreements, contractual flexibilities, and non-linear products
• Advanced knowledge of deal structures and types, interpreting positions, P&L, mark to market concepts
• Capable of being independent from front office; able to objectively analyze, develop a view and challenge risks and exposures
• Strong stakeholder engagement skills, having the self-confidence to challenge traders on deals, valuations, positions, limit mandates
• Strong business analysis skills, modeling capabilities, research, and problem-solving skills, technologically oriented, proficient in working with computers and software app