Risk Manager - Options

As a Risk Manager - Options at Hudson River Trading, you will design and improve risk control measures for options trading strategies, manage market and liquidity risk, collaborate with trading teams, develop risk models, and monitor any potential limit breaches. Your role is critical to ensuring the stability and performance of trading operations.

To step into the Risk Manager - Options position at Hudson River Trading, you'll need over 5 years of experience working with options in a trading environment. A solid understanding of options markets, strong analytical skills, and proficiency in programming languages like Python and SQL are crucial for success in this role.

At Hudson River Trading, the culture for a Risk Manager - Options is one of collaboration and innovation. You’ll work alongside diverse talents in a supportive environment that values openness and transparency. With opportunities to bond over shared interests and break barriers in various sectors, you'll feel right at home.

Hudson River Trading is committed to supporting its Risk Managers - Options through ongoing professional development, collaborative projects, and the provision of cutting-edge technological resources. The firm fosters an environment where innovative ideas and feedback from team members at all levels are welcomed and encouraged.

The annual base salary for a Risk Manager - Options at Hudson River Trading ranges from $200,000 to $300,000. Additionally, compensation may include bonuses based on performance, as well as other benefits such as company-paid medical coverage.

A Risk Manager - Options at Hudson River Trading might design and implement strategies that control operational, funding, and market risks. This includes building robust risk models to evaluate trading strategies and implementing risk monitoring tools to ensure compliance and facilitate real-time decision-making.

At Hudson River Trading, a Risk Manager - Options will have the opportunity to collaborate on various tactical projects involving Finance, Operations, and Engineering. These projects could involve the development of new risk monitoring tools or the evaluation of bespoke trading opportunities.

When discussing the risks associated with options trading, focus on market risk, liquidity risk, credit risk, and operational risk. Explain how each risk impacts trading strategies and the steps you would take to mitigate those risks effectively.

Outline your process for assessing trading strategies, including analyzing historical performance, identifying market conditions, and matching these factors against the firm's risk appetite. It's also essential to mention collaboration with senior management to provide comprehensive risk assessments.

Share specific quantitative methods you utilize to evaluate and calibrate risk thresholds, such as statistical analysis of historical data and stress testing. Be sure to highlight how these approaches improve decision-making and risk management processes.

Present a real-life example of a risk limit breach you encountered. Discuss how you identified it, the actions taken to communicate and resolve the issue, and how you worked with other teams to prevent future breaches.

Discuss your hands-on experience building risk models, including the types of models you've developed and how you've validated their effectiveness. Highlight your familiarity with relevant software and tools to demonstrate your technical expertise.

Express your methods for keeping abreast of trends in options trading, such as subscribing to industry newsletters, attending webinars, and participating in relevant professional organizations. This demonstrates your commitment to continuous learning.

Emphasize your ability to effectively communicate and collaborate with trading teams by sharing your strategies for building trust and understanding their objectives. Highlight a collaborative project or initiative that had a positive outcome.

Share your perspective on the most critical skill for a Risk Manager - Options, whether it be analytical skills, communication, or risk assessment capabilities. Provide rationale with examples that showcase how you embody this skill in your work.

Give a detailed example of a complex risk scenario you encountered and outline the steps you took to manage it effectively, including analyzing data, communicating with relevant teams, and the final outcome.

Outline the risk management technologies and tools you have used, explaining your level of expertise with each. Mention specific applications, algorithms, or systems that you believe are notable in the industry.