IDB Invest - Market Risk Management Director

Location

Post of duty: Washington, District of Columbia, USA.

We improve lives

IDB Invest is the private sector arm of the IDB Group and an international financial institution committed to addressing the development needs of Latin America and the Caribbean. Our mission is to support sustainable enterprises and projects that deliver financial results while maximizing social and environmental impact in the region.

IDB Invest operates in 26 countries, structured across four geographic regions and three industry verticals: Infrastructure and Energy, Financial Intermediaries, and Corporates.

In support of a new transformative business model, “Originate to Share,” our shareholders recently approved a $3.5 billion capitalization. This will allow IDB Invest to significantly scale up its investments and unlock greater private sector participation to drive development and climate impact across the region.

About this position

The Financial and Operational Risk Management Division, part of the Risk Management Department, is responsible for managing financial and operational risks of IDB Invest. The team is divided into four main teams:

• Portfolio Management: responsible for overseeing the growth of the portfolio, considering concentrations and other risk parameters, providing portfolio risk guidance to the business areas, managing portfolio limits, RAROC, Economic Capital, Risk Management MIS, reporting and limit controls, and quarterly calculation of provisions under the CECL.
• Market Risk: responsible for the design, implementation, update, and ongoing execution of the Market Risk and Asset and Liability Management framework. The team identifies, quantifies and monitors interest rate risk and foreign exchange risk of the balance sheet, and the price risk of the liquid investment portfolio. This group is also responsible for liquidity risk and counterparty credit risk management.
• Model Validation: responsible for independently validating IDB Invest’s models and maintaining the model governance framework.
• Operational Risk Management: responsible for assessing and maintaining an appropriate internal control environment, developing and managing a full operational risk framework as a second line of defense.

The Financial and Operational Risk Division is seeking a seasoned risk professional with a strong hands-on attitude to lead the Market Risk function as Market Risk Director. The successful candidate will report directly to the Managing Director of Financial and Operational Risk and will be responsible for managing a growing team. The Market Risk Director will oversee risk control and limit setting for the liquidity portfolio (trading book), including compliance, calculation of risk metrics (VaR, DV01, stress tests, etc.), maintenance of guidelines, and strategic asset allocation, working closely with the Treasury and ALM teams. The role will also oversee FX and Interest Rate risk of the Banking Book, liquidity risk, and counterparty risk (including PFEs, XVA). The Director will play a key role in the migration and implementation of new systems that will be integrated with Treasury operations.

What you’ll do

• Lead the design, implementation, update, and ongoing execution of the Market Risk and Asset and Liability Management framework.
• Lead the migration and implementation of systems, collaborating with IT and Treasury to automate data sourcing, reporting, and analytics.
• Develop, enhance, and embed market risk policies, guidelines, and limits by partnering with Treasury, IT, Audit, and Operations, while ensuring alignment with best practices and regulatory standards.
• Oversee risk control and limits setting for the liquidity portfolio (trading book), ensuring compliance with internal risk appetite and external best practices.
• Responsible for the calculation and monitoring of risk metrics (VaR, DV01, stress tests, etc.) and integration into daily risk management processes.
• Oversee strategic asset allocation and risk-return optimization for Treasury liquidity portfolios.
• Work closely with the ALM team to manage interest rate risk in the banking book and ensure effective liquidity risk management.
• Manage counterparty risk, including calculation and control of PFE limits, XVA, and related exposures. Foster the optimization of such metrics and capital consumption.
• Ensure robust risk management for FX and interest rate risk, including open currency position limits and stress testing methodologies.
• Provide strategic oversight and executive‑level reporting, presenting market risk insights to ALCO, Senior Management, and the Board.
• Build, mentor, and lead a high-performing market risk team, fostering a culture of innovation, collaboration, and continuous improvement.
• Provide hands‑on leadership during the initial phase of team growth, offering direct oversight and guidance on the system implementation, data analysis, and process development as needed. 
• Ensure market risk management culture is fully embedded and coordinated across Finance, Operations, IT, Legal, and other stakeholders. Monitor industry developments, regulatory changes, and emerging risks to proactively adapt the risk framework.

What you'll need

• Education: Master’s in finance, economics, engineering, or other fields relevant to the responsibilities of the role. FRM/CFA certification is a plus. 
• Experience: At least 10 years of relevant experience in market risk management, with significant exposure to LATAM markets and international banking environments. Proven track record in leading risk teams, implementing risk systems and managing complex portfolios.
  • Technical Skills: Deep understanding of market risk models, ALM, liquidity management, and counterparty risk. Experience in systems such as Murex, Calypso, Bloomberg, and financial modeling tools. Strong programming and data analytics skills (Python, Excel, Power BI, SQL, etc.).
• Languages: Proficiency in Spanish and English, spoken and written, is required. Portuguese is a plus.

Please note that for this position, the final candidates will be required to successfully pass a background check to the satisfaction of the IDB Group, as a pre-employment condition, which will be conducted by third-parties.

Requirements

•    Citizenship: No requirements.

•    Consanguinity: You have no family members (up to the fourth degree of consanguinity and second degree of affinity, including spouse) working at the IDB, IDB Invest, or IDB Lab.

Type of contract and duration

International staff contract, 36 months initially, renewable upon mutual agreement.

What we offer

The IDB group provides benefits that respond to the different needs and moments of an employee’s life. These benefits include: 

• A competitive compensation package, including an annual base salary expressed on a net-of-tax basis. 
• Leaves and vacations: 24 days of paid time off + 8 personal days + sick leave + gender-neutral parental leave.
• Health Insurance: IDB Group provides employees and eligible dependents with a robust medical benefits program that covers medical, dental, vision, preventive care, and prescription drugs.
• Pension plan: defined benefit pension plan that provides financial security and supports employees in planning for their future.
• We offer assistance with relocation and visa applications for you and your family when it applies.
• Hybrid and flexible work schedules.
• Health and well-being: Access to our Health Services Center which provides preventive care and health education for employees.
• Development support: We offer tools to boost your professional profile such as mentoring, 1:1 professional counseling, training, and learning opportunities, language classes, mobility options, among others.
• Other perks: Lactation Room, Daycare Center, Gym, Bike Racks, Parking, Spouse Career Program, and others.

Our culture