Risk Manager

Overview

Risk managers identify, measure, and mitigate financial, operational, and regulatory risks at banks, asset managers, insurance companies, and trading firms. The Indian financial services risk-management function has expanded sharply post-RBI Basel III implementation, the growth of derivatives markets, and the rise of fintech (where new risk categories emerge weekly). FRM (Financial Risk Manager) is the dominant global credential; CFA and PRM are alternates. Demand is particularly strong at GCCs of global banks (JP Morgan, Goldman Sachs, Citi, Morgan Stanley) which run major risk teams from India.

Day-to-day responsibilities

Build market risk models (VaR, expected shortfall) for trading desks; monitor counterparty credit exposure and limit utilisation; develop operational risk frameworks (RCSA, KRI tracking); ensure Basel III, IFRS 9, and SEBI compliance; stress-test portfolios against macro scenarios; report to risk committees and the board; collaborate with traders, investment managers, and treasury teams; manage regulatory submissions to RBI / SEBI / IRDAI.

Skills required

• Market risk (VaR, expected shortfall, Greeks)
• Credit risk modelling (PD, LGD, EAD)
• Operational risk frameworks
• Basel III, IFRS 9, ICAAP
• Python or R for risk analytics
• SQL and risk data warehouses
• Excel and VBA modelling
• Regulatory reporting (RBI XBRL, SEBI filings)

Education path

Career progression

1. 1
   Risk Analyst (0-3 yrs)
2. 2
   Senior Risk Analyst (3-6 yrs)
3. 3
   Risk Manager / VP (6-10 yrs)
4. 4
   Senior VP Risk (10-15 yrs)
5. 5
   Chief Risk Officer (CRO) (15+ yrs)

Top employers in India

Useful certifications

• FRM Parts I and II (GARP)
• CFA Levels I-III
• PRM (PRMIA)
• CQF (Certificate in Quantitative Finance)
• FCA / CA with risk specialisation

Adjacent careers

Courses that lead to this career