Operations Manager – Capital Markets – Middle Office/Derivative/Liquidity/Collateral
Michael Chang Interviewed September 29th 2025. Feedback below:
His margining/collateral experience is mainly bilateral, with no direct CCP exposure. We’re targeting someone with either CCP experience, ADP/CDS clearing exposure, or a stronger Excel/VBA skillset. We know it’s unlikely to find all three, but we should aim for strong depth in at least one.
In this context, CCP stands for Central Counterparty Clearing.
A CCP is a financial institution that sits between buyers and sellers in a trade—most commonly in derivatives, securities, and repo markets. Instead of two parties being directly exposed to each other’s credit and settlement risk, the CCP becomes the “middleman”:
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The CCP acts as the buyer to every seller and the seller to every buyer.
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This reduces counterparty credit risk (the risk that one party defaults).
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CCPs also set margin requirements (initial margin, variation margin) to protect against losses.
Examples: LCH.Clearnet, CME Clearing, ICE Clear, DTCC.
? So when you’re looking for a candidate with CCP experience, it means someone who has worked with clearing processes, rules, and margining requirements specific to central counterparties rather than just bilateral (bank-to-bank) agreements.
CCP vs. Bilateral Margining (Quick Explainer):
Bilateral margining is directly negotiated between two parties (flexible but exposed to counterparty risk). CCP margining is standardized through a clearinghouse, with daily (often intraday) variation margin plus initial margin requirements, reducing systemic credit risk.
Core Information: REQUIRED AREA
Bill Rate: $85.00-$90.00. Managed people before but not super senior or older either.
Competition Status (Exclusive, Competitive, Market Scan): Exclusive
Management good comms. Good knowledge of derivatives. Collateral experience.
CT Duration: 12 months. Fully renewable.
Hours per week (37.5 VS 40): 37.5
Work Location (where): 2 days in Sept. Subject to changed.
% Hybrid:
Open to 100% remote? Commute? No. 2 days a week and could be more past September though he doesn’t think it will ever be 5.
New, Replacement, Bulk Hire: New.
Client Information:
Business, IT, CoE, Reg, etc. What type of team? Mid-office. OPS.
Project Team (purpose, niche, LoB to service): Capital Markets Middle Office.
CLIENT PROJECTS:
- Outline Current Projects:
Operational Risk Manager (Capital Markets)
Under the direction of the Director of the Collateral Management Group (CMG), the Manager of BMO Collateral
Management Group provides leadership and guidance to a 11 member team responsible for managing the day-to-day
functions for the OTC & Repo Margin Operations (Ops) and the Portfolio Reconciliation team (PRT), and the primary
leader on Special CMG Projects.
The Manager is accountable for ensuring that the PRT is adhering to the established controls with regards to the
completion of the required reactive/proactive reconciliations for valuation and margin call disputes related to
Repo/Reverse Repos and Non-Centrally Cleared OTC Derivatives, dispute resolution, and that proper escalations are
sent to ensure bank policies are met and that regulatory compliance is achieved. The Manager will act as the primary
local contact for CMG management in the joint development and implementation of CMG strategies and/or major project
deliverables by providing specific input/leadership relative to the area(s) of expertise.
The Manager is further responsible for ensuring the terms of the collateral agreements that the Entities enters into, in
connection with its Securities Financing Transactions (Repo/Reverse) and Non-Centrally Cleared OTC Derivatives for
the Entities, are met. The Manager is to act as a subject matter expert for the uncleared, fixed income repos and OTC
Derivatives for the Entities and its subsidiaries margin activities and address escalations related to the agreement terms,
trade and collateral valuation disputes, Securities Borrow and Lend business to CMG and system related matters. The
Manager also acts as a primary resource in the implementation, transition and testing of new vendor systems, upgrades
and migrations. The role is responsible for ensuring that the Bank’s collateral margin requirements for Reg VM, Reg IM
and work related to dispute resolution and pro-active reconciliation in connection with its over-the-counter derivatives
are met effectively and efficiently, by providing expertise and oversight in all areas of collateral management.
Knowledge:
? University degree/college diploma or equivalent work experience
? 6 to 8 years of related experience
? 2 to 5 years of management experience
? Solid knowledge of standard desktop applications used by CMG
? Advanced knowledge and understanding of CMG’s processes and controls
Solid understanding and knowledge of OTC derivatives and securities financing transactions
? Solid understanding of the collateral management risk and regulatory requirements*
? Advanced knowledge of portfolio reconciliation best practices*
? Solid understanding of internal business partners’ requirements/transactions, services and organization
Skills:
? Strong problem-solving and decision making skills
? Strong analytical skills
? Strong prioritization and multi-tasking skills
? Strong customer service and relationship management skills
? Strong managerial leadership skills
? Strong risk management skills
? Strong facilitation/presentation skills
? Strong planning skills (resource, tactical, input on strategy)
? Strong influence management skills
? Strong conflict management/resolution skills
? Strong project management and change leadership skills
? Advanced Microsoft Excel and database management skills*
KEY AREAS OF ACCOUNTABILITY
A. Managerial Leadership
B. Product & Process Management
C. Financial Management
D. Business Performance Management
E. Change Management
F. Risk & Control
ACCOUNTABILITIES
A. Managerial Leadership
? Setting and providing a clear vision of individual performance goals and aligning them to team and
organizational goals, defining accountabilities, tasks and assignments, and establishing boundaries for decision-
making and approvals, to team members.
? Provide coaching, feedback of strengths, weaknesses, expectations and motivates the team to enhance morale
and productivity, while also focusing on further developmental and training regiments for members whose
performance is below expectation.
? Provide coaching and training to other staff from time to time relating to product knowledge and collateral
management and reconciliation system applications, in order to ensure that the functionality of such applications
is optimized.
? Establish and maintain managerial practices (e.g., creating a collaborative environment) to build a high
performance work environment within the team.
? Provide recommendations regarding hiring, transfers, terminations, recognition and compensation.
? Build, develop and maintain effective relationships with internal business partners/external
customers/stakeholders for the purposes of enhancing team effectiveness.
? Create a high standard of excellence in customer service and focus by effectively working with both internal and
external customers to meet demands and resolve problematic issues.
Ensure adherence to all aspects of FirstPrinciples, Our Code of Business Conduct and Ethics Corporate Policy
B. Product & Process Management
? Plan and manage day-to-day work flow, ensuring the accurate and timely completion of all tasks.
? Handle and resolve matters of high complexity and risk, critical business issues, disputes, queries and issues
from internal business partners and external counterparties (CPs).
? Review management reports to ensure accuracy and compliance with operating guidelines.
? Provide knowledge and technical expertise to resolve complex inquiries and issues, support process, and
provide consultative services with Technology & Development Risk Management Group (TD RMG) and/or to
internal business partners/external CPs.
? Responsible for implementing automated solutions to remove manual processes or employing controls to
mitigate their operational risks.
? Provide subject matter expertise to CMG Operations team on complex collateral management and/or dispute
resolution issues, as required.
? Formulate, develop and implement procedures for the team on an on-going basis, ensuring adequate control
measures are in place.
? Conduct quarterly process testing to ensure the accurate completion of key operational tasks and the
effectiveness of the implemented controls.
? Provide input in respect of CMG policies and procedures documentation and ensure business unit
procedures/standards are documented, reviewed regularly and updated.
? Where possible, identify industry productivity/quality standards and benchmark Bank to industry best practices.
C. Financial Management
? Manage cost effectiveness and continuously seek productivity and cost reduction initiatives.
? Hold employees accountable to positively influence the business unit’s financial performance.
D. Business Performance Management
? Lead the team in the delivery of exceptional customer service that builds trust through responsive, accurate,
consistent, knowledgeable and available services and support.
? Monitor and manage changing team business requirements and performance quality and escalate issues as
appropriate.
? Establish and report on key business statistics and metrics.
? Participate in the development and implementation of business performance measures, providing reports and
presentations, as appropriate.
? Act as a lead CMG resource in meetings with client groups to exchange ideas and discuss progress on issues
and resolution.
? Demonstrate behaviours that are consistent with the “Being BMO” model and BMO values.
E. Change Management
? Provide assistance to operationalize new business and regulatory initiatives, ensuring operating needs and
regulatory requirements are fulfilled.
? Develop and implement team change management plans to ensure team members are effectively prepared to
execute continuous improvement and other initiatives in support of the unit’s strategy.
F. Risk & Control
? Interpret and apply industry best practices and principles of a risk management framework to the activities of the
CMG OTC & Repo Margin and Portfolio Reconciliation teams while ensuring team members understand and
are aware of all regulatory and compliance requirements.
? Review Daily Margin Activity ensuring that all margin calls were issued and responded to by the CP in addition
to verifying that the Entities did not expose itself by agreeing to deliver more collateral to the CP than what the
margin call calculation allowed for.
? Review Margin Audit Reporting to verify all trade and CP feed/mapping issues were addressed and resolved.
Review also entails verification that adequate 4-eyes approval requirements were implemented for static data
changes made to agreement terms, manual price overrides, and manual trade exposure inputs.
Review, test, and provide a risk assessment on new and existing BMAs related to special project mandates to
ensure that all documentation and reporting requirements meet the Bank’s policies and procedures related to
Business Managed Applications
? Liaise with the Valuation Product Control team (VPC) to ensure MTM exposures on Repo/Reverse Repo, OTC
Non-Centrally Cleared Derivatives, and Collateral Valuations are accurate
? Liaise with the Derivatives Legal Group (DLG) to ensure that CMG is correctly applying both Repo and CSA
agreements for margining purposes and that all non-standard margin terms can be operationally managed.
? Review (1) reconciliation reports related to collateral positions, (2) dispute resolution logs related to margin call
disputes, (3) reconciliation logs concerning valuation discrepancies as defined EMIR, as well as (4) proactive
reconciliation report showing trade breaks over internal tolerance level as prescribed in CMFG to ensure
reasonableness and accuracy; and ensure proper escalation of disputes outside of tolerance have been made
to Senior Management, Credit Risk, Market Risk and Front Office.
? Review regulatory trade valuation breaks to ensure reportable disputes are quickly investigated, escalated and
resolved to mitigate regulatory sanctions and reputational risk.
? Ensure that once trade valuations breaks become reportable, disputes are communicated to Compliance and
filed with the applicable regulator.
? Identify and/or validate, team control risks and gaps, ensure appropriate remediation plans are in place to
address operational risks and escalate to the Director of CMG.
? Ensure strict confidentiality is maintained for both customer and Bank information by following security and
safeguarding procedures to protect the customer and the Bank from fraud or defalcation and to ensure
compliance with the Bank P&Ps and CMFG.
Authorities (decision-makingautonomy)
What authority is needed to deliver on the key accountabilities (e.g. credit limits, budget, decision making, hiring, resourcing)? What
kinds of decisions / recommendations does this job make? What kinds of decisions does this job take to its manager or others for
approval before taking action?
This role has the authority to:
? Resolve or escalate challenges/issues through the established proper channels.
? Test and examine internal processes in order to ensure compliance of business standards.
? Recommend hiring/termination and reward (compensation and recognition); assign work and limits; manage
performance (measure, monitor, corrective action).
? Deploy team resources as appropriate to meet business goals and objectives.
? Access confidential CP information, employee data and line of business financial information. Grant and monitor
access levels.
? Establish effective controls and monitor their use to mitigate and remediate risk.
Scope and Impact
What is the impact of this job’s decisions or actions? For example, what is the size of budget managed by this job, revenue
targets assigned to this job, number of people managed, number of customers impacted?
This job has direct or indirect impact on the following:
? CP confidence and satisfaction, and mitigation of credit, operational and reputational risk by managing the quality of
work delivered by the CMG OTC & Repo Margin Ops and Reconciliation team in accordance to the terms and
conditions outlined in the CMFG, Repo Financing Guidelines and the Bank’s P&Ps.
? Mitigate human errors by ensuring proper training of others and documentation of processes.
? Operation within an environment of high volume and/or high risk with strict timeframes
? Positively affect the Bank’s investment/business opportunities through proper leadership and direction of a business
unit and solving critical business issues.
Cross Functional Relationships
JOB DESCRIPTION
Page 5 of 7
What other jobs does this job interact with to get things done? What important contacts will this job have with other positions,
departments in the organization, or outside? Please describe the nature, purpose, frequency of contact.
Internal:
? Partner with internal and external departments for the delivery of key accountabilities
? Business and technical stakeholders, (i.e. front office, back office, TD RMG)
? Valuation Product Control (VPC)
? Portfolio Management (PM) and Credit Risk
? Internal business partners to consult/advise/service in the delivery of key accountabilities
? Derivatives Legal Group (DLG) and Legal and Tax Group to resolve and address sensitive customer issues and
regulatory reform
? Work with internal governance controls unit and auditors
External:
? Industry forums to understand the competitive landscape, keep abreast of industry developments, securities
processing, new products and compliance requirements related to the industry to enhance our profile in the
community and to represent the interests of BMO Financial Group
? Suppliers and service providers
? External CPs (i.e. CSA and Repo CPs)
? Regulators and external auditors
Job Description – Operational Risk Manager (Capital Markets)
Contract: 12 months (Potential to Hire)
Compensation: Mid to High 80s (Hourly/Annually depending on setup)
Location: Hybrid – 2 days onsite (Sept), moving to 4 days onsite later
Overview
We are seeking an experienced Operational Risk / Account Management professional with strong expertise in Capital Markets, Derivatives, Liquidity Risk, and Collateral Management. The successful candidate will play a key role in backfilling critical functions, managing operational processes, and ensuring compliance with internal controls (4-Eyes Principle).
This is an operational, client-facing role requiring a smart, self-driven individual who can work independently, lead a team, and engage effectively with front office, legal, and internal stakeholders.
Key Responsibilities
Act as a senior operational risk and account management lead within the Capital Markets environment.
Manage derivatives and collateral processes, ensuring accuracy and compliance with policies.
Oversee liquidity risk controls and operational workflows.
Lead and mentor a team of 10, driving accountability and collaboration.
Serve as the 3rd or 4th reviewer under the 4-Eyes Principle for approvals and sign-offs.
Execute daily operational checklists and ensure all processes are followed diligently.
Interact with clients, front office, legal teams, and internal staff to resolve queries and ensure smooth operations.
Provide reporting and sign-off authority on behalf of management.
Backfill roles and ensure continuity of service delivery.
Proactively challenge processes and suggest improvements for efficiency and risk mitigation.
Qualifications & Skills
7+ years of experience in Capital Markets operational roles.
Proven account management and client-facing experience.
Strong knowledge of derivatives, liquidity risk, and collateral management.
Prior experience in leading/managing a team (10+ people).
Excellent communication and interpersonal skills; able to challenge stakeholders when necessary.
Strong attention to detail, organizational skills, and ability to manage multiple priorities.
Experience working with checklists, operational workflows, and approvals.
Highly self-driven, independent thinker, with a collaborative mindset.
Prior exposure to legal documentation review and front-office engagement is an asset.
Interview Process
2 Rounds of interviews
Focus on technical expertise, operational judgment, leadership, and cultural fit
What a Typical Day Looks Like
Reviewing and executing operational checklists
Engaging with clients and ensuring front office satisfaction
Responding to queries from legal and internal staff
Providing approvals/sign-offs as part of the 4-Eyes Principle
Ensuring operational excellence while mentoring and supporting team members
This role is ideal for a Level 7 professional (mid-senior) with deep Capital Markets experience, who thrives in fast-paced operational environments and can balance client interaction with risk control.
This person backfills SMEs in liquidity oversight space. Collateral management practice and processes. Second others/free them up for other activities.
Candidate profile: REQUIRED AREA
Required Skills Set:
Prior management experience. Up to 10 people. Help lead younger resources.
Good team player. Keen understanding of derivatives.
Experience in a capital markets middle office environment.
Capital markets. Process. Not necessarily at BMO.
Nice-to-Have Skills: Collateral management experience. Difficult to find but that would be the cherry on top. They should at very least have some exposure.
Summary to Day-to-Day Responsibilities:
Best VS Average:
Attention to detail, ask questions, challenge people, not in bad way. Make sure the boxes are checked before EOD.
They do move billions of dollars of collateral in any given day. Any wrong movement could catastrophic so attention to detail is critical.
Self driver, motivator. No handholding.
Dislikes when people just wait for job responsibilities to come to them. Be proactive. At this level, complete the activity and let it he known to management. Ask what they can do next.
Doesn’t need a free loader. No free rides. If you have questions, ask.
Interview Process: 2 maybe 3. One with him and one with Liz, his director.
Usual Day:
Understand the mid-office processes. There are always several checklists they put together. Ensure that all the staff are done what they need to do. Talk to clients. Make sure they are happy with what they need. Clients meaning front-office is happy with what they need responding to including questions from legal.
Few thousand to 10 thousand emails in any given week. They are sorted and directed to controllers, but they need to review ones that aren’t and make sure everything is being answered. Ex.: Questions from legal- -direction on how operations manage. Reach out to their immediate boss/manager who knows answer and then get it responded to.
Sign-off on whole bunch of money movements. Authorize cash movements in 10’s or hundreds of millions of dollars. Third and forth eye principle. Operate various applications. Know how to navigate to get the right answers. Pretty in the weeds, complex. Need to be in collateral management or have some exposure there so they don’t get lost. So much to sift through to understand get the right answer.
They don’t have to know everything but be diligent try to understand and ask questions, so they understand. Pointless to do things without understanding. Certifications—nothing needed here. Smart individuals. Able to be nimble know how to work well on a team. Able to help others. Level 7 type of experience but on contracts.
Competitive Analysis: REQUIRED AREA
Approval Status: Y
Engagement Status: Y
Agencies Engaged: N
Current Candidates: N
Desired schedule: ASAP
Desired Start date: ASAP