Three questions to the Head of Market & Credit Risk, Jérôme SavelliThursday 15th, October 2015
Three questions to the Head of Market & Credit Risk, Jérôme Savelli
A new Market & Credit Risk unit has been added at Symbiotics. Jérôme Savelli, its new head, talks to us about the creation of the unit, its various dimensions and what it will bring to the company’s investment value chain.
Q: Symbiotics has a decade of experience yet the company recently decided to create the Market & Credit risk unit. Why now?
A: In fact, the Market and Credit Risk unit is new, but it is only the formalization of a function that has existed in our company and until recently was embedded in our Financial Institutions analysis team. The role of our unit is to qualify and sanction risks analyzed by our teams on the ground. We want to make sure our methodologies are followed and understood the same way across all regions and, at the same time, challenge our analysts to make the company’s judgements stronger.
We have always applied a four eyes principle to our risk opinions. Yet, making the Market and Credit Risk function as a separate entity allows us to bring more sophistication to the function. Besides, the independence of our unit and its disconnection from the investment flow stand as a guarantee for our clients that there is no conflict of interest between the risk sanction and the investment decision.
Q: What do you find to be the most important aspect in your work today?
A: Sanctioning risks, giving opinions and raising flags in an independent manner without slowing down our investment decision-making process is key to making our function a success. Market and Credit Risk represents an additional pit stop on the way to closing transactions but good and up-to-date knowledge of the markets, continuous communication with our analysts and clear stop and go procedures have allowed us to be reactive and keep the workflow efficient.
Whether at the institution or country level, it is also crucial to constantly ensure that our methodologies and risk measurement scales are adapted to the changing environment. By doing so, we make sure we are not overreacting to events but also take the necessary measures if our markers are sending negative signals.
Q: What is your trajectory at Symbiotics and what will you bring with you in this new role?
A: Since I joined Symbiotics nine years ago, I have had the chance to work on the field, as an Analyst and Regional Manager for Europe and Asia. The seven years spent analyzing financial institutions in emerging markets gave me a good overview of risk assessment methodologies and how we should adapt those to our changing environment. I also worked for two years as an Investment Advisor negotiating and closing transactions for our clients. Given that the Market & Credit Risk unit is also involved in deal restructuring discussions and more generally, in the resolution of work out cases, having this background is very helpful.
For more information:
00. 41. 22.338 1540