Sustainability and Climate Risk Director

 SMBC Group is a top-tier global financial group. Headquartered in Tokyo and with a 400-year history, SMBC Group offers a diverse range of financial services, including banking, leasing, securities, credit cards, and consumer finance. The Group has more than 130 offices and 80,000 employees worldwide in nearly 40 countries. Sumitomo Mitsui Financial Group, Inc. (SMFG) is the holding company of SMBC Group, which is one of the three largest banking groups in Japan. SMFG’s shares trade on the Tokyo, Nagoya, and New York (NYSE: SMFG) stock exchanges.

In the Americas, SMBC Group has a presence in the US, Canada, Mexico, Brazil, Chile, Colombia, and Peru. Backed by the capital strength of SMBC Group and the value of its relationships in Asia, the Group offers a range of commercial and investment banking services to its corporate, institutional, and municipal clients. It connects a diverse client base to local markets and the organization’s extensive global network. The Group’s operating companies in the Americas include Sumitomo Mitsui Banking Corp. (SMBC), SMBC Nikko Securities America, Inc., SMBC Capital Markets, Inc., SMBC MANUBANK, JRI America, Inc., SMBC Leasing and Finance, Inc., Banco Sumitomo Mitsui Brasileiro S.A., and Sumitomo Mitsui Finance and Leasing Co., Ltd.

The anticipated salary range for this role is between $198,000.00 and $231,000.00. The specific salary offered to an applicant will be based on their individual qualifications, experiences, and an analysis of the current compensation paid in their geography and the market for similar roles at the time of hire. The role may also be eligible for an annual discretionary incentive award. In addition to cash compensation, SMBC offers a competitive portfolio of benefits to its employees.

Company Description

SMBC Group is a top-tier global financial group. Headquartered in Tokyo and with a 400-year history, SMBC Group offers a diverse range of financial services, including banking, leasing, securities, credit cards, and consumer finance. The Group has more than 130 offices and 80,000 employees worldwide in nearly 40 countries. Sumitomo Mitsui Financial Group, Inc. (SMFG) is the holding company of SMBC Group, which is one of the three largest banking groups in Japan. SMFG’s shares trade on the Tokyo, Nagoya, and New York (NYSE: SMFG) stock exchanges.

In the Americas, SMBC Group has a presence in the US, Canada, Mexico, Brazil, Chile, Colombia, and Peru. Backed by the capital strength of SMBC Group and the value of its relationships in Asia, the Group offers a range of commercial and investment banking services to its corporate, institutional, and municipal clients. It connects a diverse client base to local markets and the organization’s extensive global network. The Group’s operating companies in the Americas include Sumitomo Mitsui Banking Corp. (SMBC), SMBC Nikko Securities America, Inc., SMBC Capital Markets, Inc., SMBC MANUBANK, JRI America, Inc., SMBC Leasing and Finance, Inc., Banco Sumitomo Mitsui Brasileiro S.A., and Sumitomo Mitsui Finance and Leasing Co., Ltd.

Role Description

Sustainability and Climate Risk Management Director

This position sits within the Enterprise Risk Management of SMBC’s Risk Management Department, which is the 2nd line of defense independent risk management function for the bank.  As a Climate Risk Management Director, you will play an important role in the buildout of SMBC AD’s climate risk management program. This program is under development to support the bank in its decarbonization transition and to measure and embed climate risk considerations throughout the business. You will work with leaders across risk disciplines and business units to develop climate risk measurement methodologies and analytic tools. You will also help advise senior leaders in Risk, Business, and Regulatory Compliance functions on the operation of their businesses in a manner consistent to meeting SMBC’s climate policies, targets, and goals. Additionally, the role will involve close partnership with the firm’s Technology functions to develop and implement the required systems and processes to support achieving the goal of integrating climate change into all business areas.

Role Objectives:

• Climate Risk Management Strategy:
  • Develop and execute the bank's strategy for climate risk modelling and assessment.
  • Collaborate with senior management to integrate climate risk into the bank's overall risk management framework, including integration into credit, liquidity, operational and market risk, etc. 
• Model Development:
  • Develop and enhance climate scenario analysis and stress testing.
  • Design and develop advanced models to quantify the financial risks associated with climate change, including physical and transition risks.
  • Develop climate risk appetite metrics including KRIs and limits.
  • Enhance risk inventory to include assessments of climate risks across various physical and transition scenarios.
  • Collaborate with external experts and institutions to enhance modelling capabilities.

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• Data Management & Analysis:
  • Oversee the collection, processing, and analysis of climate-related data.
  • Ensure the integration of climate data with existing financial and risk data systems.
  • Utilize statistical and machine learning techniques to improve model accuracy.
• Regulatory Compliance & Reporting:
  • Ensure compliance with emerging regulations related to climate risk, including those from central banks and international regulatory bodies.
  • Prepare and present climate risk assessments to regulatory authorities and internal stakeholders.
  • Develop and implement processes for regular climate risk reporting.

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• Stakeholder Engagement:
  • Collaborate with internal teams, including Credit Risk, Market Risk, and Sustainability teams, to align climate risk management efforts.
  • Engage with external stakeholders, including regulators, investors, and industry groups, on climate risk issues.
  • Represent the bank at industry conferences, workshops, and regulatory consultations.
• Continuous Improvement:
  • Stay informed of the latest developments in climate science, financial risk management, and regulatory requirements.
  • Drive continuous improvement in climate risk modelling methodologies and processes.
  • Foster a culture of innovation and excellence within the climate risk team.

Qualification

• Education:
  • Master’s or Ph.D. in Finance, Economics, Environmental Science, Climate Science, or other quantitative fields. BA/BS with 6+ years’ direct climate risk modeling experience will also be considered.
• Experience:
  • Minimum of 5+ years of experience in climate risk modelling, or financial risk modeling with a focus on climate risk.
  • Must have hands-on experience in climate scenario analysis and stress testing.
  • Good understanding of usage of climate scenario analysis in business applications and its integration into various risk categories such as credit, liquidity, etc.
  • Must have hands-on experience in developing climate risk appetite metrics.
  • Proven experience in managing complex modelling projects.
  • In-depth knowledge of climate risk factors, financial markets, and regulatory requirements.

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• Accountability:
  • Take full responsibility for the end-to-end management of assigned projects, ensuring that all tasks are completed to the highest standard. Demonstrate a proactive approach in driving projects forward, anticipating challenges, and addressing issues promptly.
  • Exhibit a strong commitment to meeting deadlines and delivering high-quality work. Maintain a disciplined approach to project timelines, consistently managing priorities and resources to achieve project goals without compromising on quality.
• Skills:
  • Expertise in quantitative modelling techniques and financial risk assessment.
  • Strong understanding of climate science and its implications for financial markets.
  • Proficiency in statistical software and programming languages (e.g., Python, R).
  • Excellent communication and presentation skills.
  • Ability to work collaboratively with cross-functional teams.

SMBC’s employees participate in a Hybrid workforce model that provides employees with an opportunity to work from home, as well as, from an SMBC office. SMBC requires that employees live within a reasonable commuting distance of their office location. Prospective candidates will learn more about their specific hybrid work schedule during their interview process. Hybrid work may not be permitted for certain roles, including, for example, certain FINRA-registered roles for which in-office attendance for the entire workweek is required.

We are an equal employment opportunity employer. All qualified applicants will receive consideration for employment without regard to race, color, religion, gender, national origin, disability status, protected veteran status or any other characteristic protected by law. SMBC provides reasonable accommodations for employees and applicants with disabilities consistent with applicable law. If you need a reasonable accommodation during the application process, please let us know at accommodations@smbcgroup.com.