Market Risk Stress Testing and Scenario Design

State Street Corporation; Boston (MA); On-site; USD 120,000 - 203,000; Full time

Benefits offered by this job

401K match

Insurance coverages

Paid time off

Employee Assistance Program

Performance incentives

Tax-advantaged savings

Job summary

State Street Corporation is seeking a Senior Specialist in Market Risk Stress Testing and Scenario Design to shape the firm's regulatory stress testing framework. You will develop GMS and CCST scenarios, calibrate methodologies, and partner with global teams to challenge assumptions and strengthen governance.

The role requires deep market expertise, strong quantitative capabilities, and the ability to present complex concepts to regulators and senior leadership.

Qualifications

• Master's degree or PhD in Finance, Economics, Financial Engineering, Mathematics, Statistics, Physics, or a related quantitative discipline.
• 5+ years of experience in market risk, stress testing, quantitative analytics, or related disciplines within large financial institutions, regulatory agencies, consulting firms, or asset managers.
• Demonstrated expertise in design, calibration, execution, or independent review of GMS, CCST, CCAR, or related regulatory stress-testing frameworks.
• Deep understanding of global financial markets, cross-asset risk dynamics, and Basel market risk requirements.

Responsibilities

• Develop and enhance Global Market Shock (GMS) and CCST scenarios for severe yet plausible market events across rates, credit spreads, equities, FX, commodities, and volatility.
• Influence stress testing by identifying emerging risks and translating market developments into meaningful scenarios and loss assessments.
• Calibrate market shock methodologies across thousands of risk factors, ensuring robustness and regulatory alignment.
• Apply quantitative analysis and historical research to evaluate scenario severity and methodology effectiveness.
• Collaborate with risk managers, model owners, and senior stakeholders to challenge assumptions and strengthen governance.

Skills

Quantitative analytics

Regulatory risk

Stakeholder influence

Education

Master's degree or PhD in Finance, Economics, Financial Engineering, Mathematics, Statistics, Physics, or a related quantitative discipline

Tools

Python

Job description

What You Will Be Responsible For

The ideal candidate is a market risk professional with deep expertise in regulatory stress testing and scenario design who combines strong quantitative skills with sound market judgment. They are comfortable challenging assumptions, influencing stakeholders across functions, and presenting complex methodologies to regulators, governance committees, and senior leadership.

As a Senior Specialist for Market Risk Stress Testing and Scenario Design, you will serve as a key contributor to the firm's regulatory stress testing framework, helping shape how State Street assesses vulnerability to severe market dislocations and emerging financial risks.

You will play an important role in the design, governance, and evolution of Global Market Shock (GMS) and Counterparty Credit Stress Testing (CCST) scenarios that support critical risk management and regulatory objectives.

Working at the intersection of financial markets, quantitative analytics, and regulatory risk management, you will partner with senior stakeholders across Market Risk, Trading, Treasury, Counterparty Credit Risk, Finance, Model Risk Management, and Regulatory Assurance to develop forward‑looking stress scenarios that inform decision‑making and strengthen the firm’s resilience under adverse market conditions.

In this role, you will:

• Develop and enhance Global Market Shock (GMS) and Counterparty Credit Stress Testing (CCST) scenarios that capture severe but plausible market events across interest rates, credit spreads, equities, foreign exchange, commodities, and volatility markets.
• Influence the firm’s approach to stress testing by identifying emerging risks, assessing portfolio vulnerabilities, and translating complex market developments into meaningful stress scenarios and loss assessments.
• Drive the development and calibration of market shock methodologies across thousands of risk factors, ensuring scenarios remain robust, defensible, and aligned with evolving market conditions and regulatory expectations.
• Apply quantitative analysis, historical market research, and expert judgment to evaluate scenario severity, benchmark assumptions, and enhance the effectiveness of stress testing frameworks.
• Partner with global markets and counterparty credit risk managers, model owners, and senior stakeholders to challenge assumptions, evaluate scenario outcomes, and strengthen stress‑testing governance across the organization.
• Contribute to the advancement of scenario design methodologies, analytical capabilities, and risk infrastructure through the development of innovative tools, models, dashboards, and visualization solutions.
• Support regulatory examinations, model governance reviews, and internal oversight activities by presenting methodologies, analyses, and scenario results to senior management, risk committees, auditors, and regulators.
• Serve as a trusted subject matter expert on market stress testing, providing insight into cross-asset market dynamics, regulatory developments, and emerging risks that could impact the firm’s businesses and balance sheet.

What We Value

Success in this role requires a combination deep market expertise with strong quantitative capabilities and the ability to influence decision‑making across a complex global organization.

We are looking for someone who can think strategically, challenge assumptions constructively and communicate complex concepts clearly to both technical and non‑technical audiences.

Key attributes include

Deep understanding of global financial markets and the relationships between risk factors across asset classes.

Strong quantitative and analytical capabilities, with experience developing or enhancing risk methodologies and stress‑testing frameworks.

Ability to exercise sound judgment in ambiguous situations and form well‑reasoned, data‑driven conclusions.

Confidence engaging with senior stakeholders and challenging assumptions in a collaborative and constructive manner.

Strong communication and presentation skills, including the ability to explain complex technical concepts to senior leadership, governance committees, and regulators.

Intellectual curiosity and a continuous improvement mindset, with an interest in leveraging technology and AI to enhance analytical processes and decision‑making.

Education & Preferred Qualifications

Master's degree or PhD in Finance, Economics, Financial Engineering, Mathematics, Statistics, Physics, or a related quantitative discipline.

5+ years of experience in market risk, stress testing, quantitative analytics, financial market modeling, scenario design, or related disciplines within large financial institutions, regulatory agencies, consulting firms, or asset managers.

Demonstrated expertise in the design, calibration, execution, or independent review of Global Market Shock (GMS), Counterparty Credit Stress Testing (CCST), CCAR, or related regulatory stress‑testing frameworks.

Deep understanding of global financial markets, cross‑asset risk dynamics, and market risk regulatory frameworks, including Basel market risk requirements, FRTB, trading book stress testing, and counterparty credit risk.

Proven ability to develop and enhance quantitative methodologies used for stress testing, scenario design, risk‑factor calibration, or market risk analytics.

Experience engaging with regulators, model risk management functions, internal audit teams, and governance committees on stress‑testing methodologies, assumptions, and results.

Demonstrated ability to influence stakeholders, challenge assumptions, and communicate complex quantitative concepts to both technical and non‑technical audiences.

Strong programming and data analysis skills with experience using Python or similar languages to support analytics, modeling, automation, and data visualization.

Experience leveraging advanced analytics, automation, or AI‑enabled tools to enhance risk modeling, scenario generation, or decision‑making processes is a plus.

Salary Range

Salary Range: $120,000 - $202,500 Annual The range quoted above applies to the role in the primary location specified. If the candidate would ultimately work outside of the primary location above, the applicable range could differ.

Employees are eligible to participate in State Street’s comprehensive benefits program, which includes:

• our retirement savings plan (401K) with company match
• insurance coverage including basic life, medical, dental, vision, long‑term disability, and other optional additional coverages
• paid‑time off including vacation, sick leave, short term disability, and family care responsibilities
• access to our Employee Assistance Program
• incentive compensation including eligibility for annual performance‑based awards (excluding certain sales roles subject to sales incentive plans)
• eligibility for certain tax advantaged savings plans

About State Street

Across the globe, institutional investors rely on us to help them manage risk, respond to challenges, and drive performance and profitability. We keep our clients at the heart of everything we do, and smart, engaged employees are essential to our continued success. We are committed to fostering an environment where every employee feels valued and empowered to reach their full potential. As an essential partner in our shared success, you’ll benefit from inclusive development opportunities, flexible work‑life support, paid volunteer days, and vibrant employee networks that keep you connected to what matters most. Join us in shaping the future.

Equal Opportunity Employer

As an Equal Opportunity Employer, we consider all qualified applicants for all positions without regard to race, creed, color, religion, national origin, ancestry, ethnicity, age, disability, genetic information, sex, sexual orientation, gender identity or expression, citizenship, marital status, domestic partnership or civil union status, familial status, military and veteran status, and other characteristics protected by applicable law.

Discover more information on jobs at StateStreet.com/careers Read our CEO Statement Job Application Disclosure: It is unlawful in Massachusetts to require or administer a lie detector test as a condition of employment or continued employment. An employer who violates this law shall be subject to criminal penalties and civil liability.

Across the globe, institutional investors rely on us to help them manage risk, respond to challenges, and drive performance and profitability. We keep our clients at the heart of everything we do, and smart, engaged employees are essential to our continued success. We are committed to fostering an environment where every employee feels valued and empowered to reach their full potential. As an essential partner in our shared success, you’ll benefit from inclusive development opportunities, flexible work‑life support, paid volunteer days, and vibrant employee networks that keep you connected to what matters most. Join us in shaping the future. As an Equal Opportunity Employer, we consider all qualified applicants for all positions without regard to race, creed, color, religion, national origin, ancestry, ethnicity, age, disability, genetic information, sex, sexual orientation, gender identity or expression, citizenship, marital status, domestic partnership or civil union status, familial status, military and veteran status, and other characteristics protected by applicable law.

Discover more information on jobs at StateStreet.com/careers Read our CEO Statement