Capital Markets Manager
Capital Markets Manager
Website Federal Home Loan Bank of Boston
Federal Home Loan Bank of Boston (FHLBank Boston) is a leading provider of wholesale funding for housing and community finance serving financial institutions across New England. FHLBank Boston is committed to making New England a better place to live and do business, and our employees are integral to our success. As a cooperative, we are owned by more than 400 banks, credit unions, insurance companies, and community development financial institutions that access our reliable, wholesale funding each year. Our funds are a vital resource that helps our members succeed, provide families with safe, decent affordable housing, and generate economic development that creates jobs in communities throughout our region.
Our highly skilled team of 200 is diverse, innovative, collaborative, and passionate about the work we do. We seek other professionals excited to share their knowledge, talent, and passion for our mission to join our team. We offer opportunities for career development, robust benefits, and a work-life balance.
Job Profile Summary
The Capital Markets Manager (CMM) will be primarily responsible for hedging and funding the Bank’s balance sheet. The CMM will work with the Funding Manager to strategize and execute funding strategies to finance the Bank’s lending and investment activities. This entails sourcing debt financing through the capital markets (through negotiation and/or auction facilities) as well as hedging activities using interest rate derivatives. The CMM will also be responsible for pricing complex advance structures involving the use of embedded derivatives as well as executing hedges on any such products. The CMM will be asked to closely manage the portfolio of floating rate assets and liabilities with a keen focus on funding projections and risk management. The CMM will also be asked to serve as a backup to the Liquidity Manager (LM) for the short-term investment activities as well as contribute to the management of the Bank’s liquidity. The CMM will also have primary oversight over the US Treasury portfolio and work with the Funding Manager and Liquidity Manager in its facilitation. The CMM will also be asked to collaborate with the Member Funding Desk in cross-training and general management of Treasury’s functions. Finally, the CMM will be asked to provide ad-hoc analysis for new product development efforts, workflow redesign efforts, profitability enhancement efforts and other related special projects.
This role will have a hybrid work schedule in our Boston office in accordance with the Bank’s Hybrid Work Program.
· Execute Bank-sanctioned hedging strategies tied to assets and/or liabilities with significant consideration given to risk management and best execution
· Provide derivative-embedded advance pricing to members through Member Services
· Anticipate, coordinate, and execute derivative life-cycle events such as option exercises and unwinds
· Design, construct, and test hedging strategies for new product development efforts in the context of hedge effectiveness, regulatory constraints, and accounting implications
· Maintain constant contact with dealer community to build relationships as well as remain in flow of information for market context
· Issue debt through capital markets to fund balance sheet
· Monitor and project funding needs
· Maintain active engagement with the Bank’s balance needs by monitoring reports measuring cash flows and risks; take necessary steps to facilitate prudent management such as funding gaps and portfolio rebalancing through debt issuance, hedging and debt retirement.
· Ensure funding activities follow internal and external policies, guidelines, and regulations
· Coordinate with Member Services and Portfolio Manager regularly to anticipate funding needs
· Engage with dealer community regularly to build funding relationships as well as keep informed on capital markets
· Understand and be aware of competing fixed income products with respect to Bank debt issuance as well as member funding alternatives
· Price all advance products (including complex structures with embedded derivatives) in context of competitive landscape (wholesale funding market) as well as Bank’s funding environment
· Serve as a backup for the liquidity management process
· Execute bond trading strategies in support of long-term investment portfolio
· Oversight over US Treasury portfolio
· Serve as a backup for the short-term investment process
· Primary analytical resource for derivatives modeling, relative value, pricing, and trading strategies.
· Build upon current infrastructure of reporting to enhance the Bank’s ability to project funding needs, analyze cost and profitability and identify, articulate, and manage risks
· Engage with other departments to add enterprise value through process and workflow analysis and design
· Build upon the department’s reporting infrastructure to add value
· Other duties, as assigned.
· Proficiency of interest rate derivatives including their use as a hedging vehicle, pricing, and trading practices for products such as swaps, options, caps and floors
· Solid understanding of fixed income investments, cash flow and analytics including price/yield calculations, duration, and relative value concepts (OAS)
· Solid understanding of capital markets and credit curve dynamics
· Understanding of current rules in FAS133
· Proficiency with trading and analytics systems including Summit, PolyPaths, and Bloomberg is preferred
· Working knowledge of money market instruments
· Working knowledge of bank balance sheet dynamics and management techniques
· Proficiency using Microsoft Office (especially Excel and PowerPoint)
· Experience working with ODBC environments a plus
· Strong analytical skills; attention to detail
· Ability to communicate clearly with parties internal and external to the Bank is required for success
· Must interact well with others and work well on team-based projects as well as be able to work independently
A degree with a concentration in finance or economics or directly related equivalent work experience is required
An advanced degree OR CFA designation is a plus
5-7 years derivatives trading, and capital markets experience is required
· 3-5 years money market trading or liquidity management experience is required
The Federal Home Loan Bank of Boston is committed to building and sustaining a diverse workforce that reflects the communities that we serve. As an Equal Opportunity Employer, we strongly encourage applicants from every ethnicity, color, religion, gender, age, national origin, disability, veteran or parental status and sexual orientation.
Nothing in this job description restricts management’s right to assign or reassign duties and responsibilities to this job at any time.