1. Company description
Netbank is a start-up fintech led bank, focused on the under-served. Its model is to:
• Partner with Fintechs, banks and non-bank lenders, who have existing client networks
• Allow these partners to sign-up clients, for an origination fee, booked on Netbank’s balance sheet.
Netbank would provide:
- Loans to clients, so the partners can grow without raising additional capital
- Deposit accounts for clients, serviced by the partner (on a white-label basis)
- Technology services to the partners, allowing them more efficient processing and better client satisfaction
• Provide payment services to domestic and international partners
• Provide ‘complete banking solutions’ for Neobanks to operate on our system.
Netbank will initially operate in the Philippines, but the business model is applicable across multiple geographies. Netbank launched in Q1 2020.
Overall: The Head of Risk is responsible for the overall risk management of Netbank. This will involve oversight of:
• Independent Risk Management
- Review of client approval risk documents provided by partner-facing teams
- Develop/update risk management controls and systems and policies
- Conduct necessary assessments to identify, analyze, and define possible risks
- Ensure that the Bank is compliance with various internal policies and procedures; and external regulations such as FATCA and relevant laws.
- Facilitate Bank-wide required training on risk and other compliance-related required trainings
(Credit, Operational, and Liquidity Risks)
- Contribute to the formulation and development of the Bank’s Strategic Plan with specific attention to Risk
- Perform and conduct periodic portfolio and product risk analysis to ensure that the Bank’s risk
appetite with regard to the portfolio and product risk management is properly maintained and achieved.
• Board reporting
- Secretariat to the Risk Committee, Audit and Compliance Committee
This position shall serve as the Chief of Risk.
Netbank’s differentiation is its ability to implement a partnership based business model, in a simple and client friendly manner. This requires Netbank to continuously ‘re-think’ the standard risk and compliance approaches, so as to re-design them for a partnership based business model. The holder of this position will succeed based on his / her ability to:
• Deeply understand the regulatory requirements and understand what specifically will be required to implement these requirements in the case of a partnership based bank.
• Creatively find solutions
• Understand the practical implications of policies and identify solutions which meet regulatory requirements yet also meet the requirements of Netbank clients. As per regulation, this position will report directly to the independent Risk and Audit / Compliance Committees/ BOD. The position will be independent of the Management but will work closely with the Head of Operations / CEO in the implementation of the responsibilities.
3. Metrics to monitor
• Ontime implementation of:
- Risk Policies and Risk Management plan
- Policy Development Plan
• BSP Assessment of Netbank’s performance (BSP rating)
• Feedback from partners facing teams
4. Required skills and qualifications
This position requires expertise in control functions, while also understanding the implications of these functions on business operations to ensure the functions are implemented in a client friendly manner (risk management for growth/opportunities).
The specific areas of expertise seen in the candidate will include:
• Risk expertise / knowledge of BSP regulations
• Experience in communications with the BSP
• Definition of a risk plan
• Experience in policy development. Clear and concise writing
• Definition of risk management processes, including
- Operational risk reviews
- Market and liquidity risk
- Enterprise risk
- IT risk management, including responsibilities of the information security officer
5. Initial tasks:
• Review current policies, identify gaps in overall framework
• Ensure compliance with Risk regime – ensure there are risk policies in place for all types of partners
• Continue to implement the risk and compliance with a proper coordination to the Head of Compliance / Head of Operations / CEO
• Set-up risk reporting, reporting to Board Committees
• Conduct risk assessments in partners