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Title:  Manager, Model Validation




Requisition ID: 72179


Join the Global Community of Scotiabankers to help customers become better off.


Purpose of Job:


The Global Model Risk Management area provides independent and consistent model validation and approval across various risk types, including market risk, retail/non-retail credit risk, operational risk, capital models and other key risk/financial models.


The manager provides support to Senior Manager in the validation of domestic and international retail/non-retail credit origination and behavior models, as well as IFRS 9 expected credit loss forecasting models for provisioning purposes. This position entitles activities related to model validation work to establish overall soundness of the credit risk measurement, delivery of various ad-hoc validation assignments, and collaboration/communication with the model development teams and business lines to ensure model development methodologies and validation processes are in compliance with internal framework and regulatory requirements.


Key Accountabilities:

  • Validate retail scoring (origination/behaviour) and risk rating models, as well as IFRS 9 provisioning models for retail and non-retail credit portfolios.
  • For the model being validated, review the methodology implemented for reasonableness and applicability, analyze the quality of the model's input data, review the architecture of the software application implementing the model, perform quantitative tests and qualitative assessments of the model, execute independent calculations, and analyze/interpret model output.
  • Based on the results of model validation, recommend improvements to the model or the model development process and identify material improvement opportunities in the models being validated.
  • Responsible for drafting validation reports and submitting of all necessary documentation related to validation assignments to Senior Manager; ensure accuracy and completeness of archived information and related documentation to allow independent third party review of the validation work performed.
  • Establish communication with model owner/developers to understand model rationale and issues; maintain collaborative relationship with key contacts as identified for each validation; communicate findings from validation work to stakeholders.
  • Provide support to Senior Manager to resolve outstanding audit and regulatory issues and to respond to ad hoc senior management, audit and regulatory requests.
  • Recommend and enforce improvements to tests/methods in order to fulfill internal validation needs and to align (if applicable) with industry practices.
  • Comply with internal policies, procedures and regulatory requirements where applicable.
  • Keep abreast of industry and regulatory developments and evolving expectations; undertake research and development of new validation techniques.


Functional Competencies


Work Experience:

  • 1+ year of experience in the development and/or validation of risk and/or financial models preferred.
  • Exposure to retail/small business/non-retail credit risk management applications and practices preferred.
  • Exposure to Basel II related credit risk management preferred


Required Functional (Technical) Competencies:

  • Sound understanding of various modelling techniques and comfortable to conduct various testing
  • Strong knowledge of statistical techniques and proven ability to employ these to analyze large sets of data; ability to effectively utilize relational database and SQL queries for data analysis.
  • Knowledge of financial risk management, especially issues and techniques pertaining to credit risk management – including practical implications and limitations.
  • Excellent verbal and written communication skills to present validation findings and recommendations in a professional manner.
  • Hands on programming skills, particularly statistical and database modeling tools (SAS, R, Python, SQL, etc.). Ability to adapt to various programming languages and environments. Advanced SAS proficiency is preferred.
  • Fluency in Spanish language is preferred.


Behavioural Competencies:       

  • Ability to independently deliver validation assignments.
  • Ability to manage efficiently multiple priorities in order to deliver work assignments within agreed timelines.
  • Attention to details, independence, and consensus building ability to effectively collaborate in teamwork and with model owner/developer counterparts.
  • Effective presentation and communication skills; Strong written communication skill is essential.
  • Flexibility and creativity in problem solving.


Educational Requirements:

  • Minimum Masters level education (PhD preferred) in Statistics or a quantitative discipline which includes rigorous exposure to statistical knowledge and techniques.
  • Applications from candidates who have just completed their degrees, or are about to do so, are welcome.
  • An additional business degree (e.g., MBA) and other industry certification or credentials will be an asset (e.g., CFA, FRM).


Location(s):  Canada : Ontario : Toronto 

As Canada's International Bank, we are a diverse and global team. We speak more than 100 languages with backgrounds from more than 120 countries. Our employees are committed to a superior customer experience and use the Bank’s six guiding sales practice principles to ensure they act with honesty and integrity.


At Scotiabank, we value the unique skills and experiences each individual brings to the Bank, and are committed to creating and maintaining an inclusive and accessible environment for everyone. If you require accommodation (including, but not limited to, an accessible interview site, alternate format documents, ASL Interpreter, or Assistive Technology) during the recruitment and selection process, please let our Recruitment team know. If you require technical assistance, please click here. Candidates must apply directly online to be considered for this role. We thank all applicants for their interest in a career at Scotiabank; however, only those candidates who are selected for an interview will be contacted.

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