Year Round Intern- Stress Testing Modeling & Analysis
Position Description
About the Team
The Federal Reserve’s Stress Testing Program assesses whether U.S. bank holding companies (BHCs), covered savings and loan holding companies (SLHCs), and intermediate holding companies of foreign banking organizations (IHCs) with $100 billion or more in assets (together, referred to as “large banks”) are sufficiently capitalized to absorb losses and continue lending to households and businesses under stressful conditions. The stress tests evaluate the resilience of large banks by estimating their losses, revenues, expenses and resulting capital levels—which provide a cushion against losses—under hypothetical recession scenarios into the future.
The Stress Testing Modeling and Analysis section promotes the implementation of quantitative models and analytics that advance the understanding of key financial risks in the largest financial institutions’ portfolios. Members of this section are part of the Securities-FVO Team, which is responsible for developing and maintaining stress testing models that estimate mark-to-market losses for securities in the investment portfolio and loans held-for-sale or accounted for under the fair value option (FVO).
About the Role
The Modeling and Analysis team within the Stress Testing program is seeking a Quantitative Analyst Intern for a 1-year period. The Quantitative Analyst Intern will support the quantitative stress tests of bank portfolios related to the Federal Reserve’s responsibilities under the Dodd-Frank Act and ongoing bank supervision. The intern will be assigned to perform the following duties:
- Research, modify, test, and document models and systems used in the stress test
- Execute stress test models and conduct analysis of model outputs to better inform ongoing bank supervision
- Assess and analyze regulatory collection and other data used in the stress test
Position Requirements
Suggested Education: Rising Senior pursuing a degree in Finance, Economics, Data Science, Statistics, Business, Mathematics, and as well as quantitative finance programs such as Mathematical Finance and Financial Engineering. However, candidates pursuing other areas of study with relevant skills and interest are encouraged to apply as well.
The ideal candidate has strong analytical and communication skills; a high level of intellectual curiosity; a demonstrated potential to conduct analysis of banks using large datasets; and a solid conceptual understanding of statistical and econometric concepts and market and/or credit risk.
Specifically, the ideal candidate will meet several of the following:
- Proficiency in data management, statistical modeling, and knowledge of statistical and econometric modeling techniques and approaches
- Proficiency in one or more statistical programming languages (especially R, Python, or SAS)
- Ability to write and communicate clearly, deliver effective presentations, and conduct research
- Strong interpersonal skills, including the ability to work in a group setting in a matrix environment while accomplishing multiple goals within established and changing deadlines
Notes:
- Anticipated Start Date: Fall 2022
- Anticipated Hours: ~20 hours/week during school year, 40 hours/week during summer
- This internship can be completed remotely.
- A writing sample may be requested.
- US Citizenship is required for all Board internships and applicants must be current students, graduating from their program Fall 2023 or later.