P7 selby jennings risk management & compliance europe

APRIL 2014 M A R K E T U P DAT E R I S K M A N AG E M E N T & C O M P L I A N C E - E U R O P E

INTRODUCTION As part of our commitment to provide our clients with regular, up to date, industry specific market intelligence, we are delighted to present our Selby Jennings ‘ April Market Update for Europe.

SIGNIFIC ANT RECRUITMENT DEVELOPMENTS The most important development in Q1 was the focus on hiring risk professionals with extensive regulatory experience with a focus on ICAAP and basel II / III. In addition, as regulations across the financial markets tighten even further, it has become increasingly important to hire risk professionals who have dealt with the PRA and had direct exposure to regulatory bodies.

There has also been a spike in hiring for compliance professionals across the buy-side markets, with the increased regulations of funds and asset management firms.

HIGH GROWTH HIRING AREAS ACROSS MARKETS / PRODUCTS The biggest emphasis was on middle office risk professionals

who can cover regulatory requirements for financial institutions.

The need for professionals who develop regulatory functions for financial institutions was greater in the buy-side markets. As market conditions improved investors showed more appetite for risk; meaning a greater need for improved risk teams.

The talent war for good professionals with this skill has meant an increased level of counter-offers from current firms to keep staff from moving to competitors, but also multiple offers for particularity strong individuals.

GEOGRAPHIC AL HIRING TRENDS There has been an increased level of volume in US markets and Hong Kong. The reason for this is that the US market has seen an upwards turn in economic growth from the backend of last year, and this has been reflected in the hiring budgets being significantly increased for IBs and other leading FIs. There has also been a steady growth in the London market; it is currently seeing its highest volume level for recruitment in comparison to the past two years. Again, this is likely to be due to the positive information on the current state of the UK economy.

HIGH DEMAND SKILL SETS/ EXPERIENCE As emphasised earlier, the need for regulatory risk and compliance professionals across the market has seen a major upturn over the quarter, but mainly at the senior end.A number of consultancies have had a major influx of new business and project openings with FIs requiring regulatory professionals. As a result, these consultancies have shown a need for project leaders and management skills to be able to run large scale projects.

SENIORITY LEVELS IN HIGH DEMAND There has been no specific pattern in terms of seniority level hiring trends. However, more senior hires are always more prevalent at this time of year due to post bonus pay-outs.

The fluidity of the recruitment market across London has meant that that a number of institutions who have been prevalent in seeking staff have found the need for replacement hires at the senior end as more roles open up.

HIRING FOREC AST FOR THE MARKET IN Q2 2014 Q2 is likely to follow a similar pattern to Q1; the market has picked up significantly for hiring in risk within the London market, and it

is expected that there will still be a consistent focus by all financial institutions across regulatory risk functions.

JOB SEEKER ADVICE Candidates should be open-minded when looking for new roles within Risk Management & Compliance. The market has improved, so start-ups or newly developed roles rather than replacement positions should not be seen as such a bigger risk as before. Counteroffers are also becoming more prevalent, but it is important for candidates to remember the reason for leaving in the first place.

Moreover, 88% of candidates who accept counter-offers re-enter the market again 6 months later; this is because it is very common that the promises from their hiring managers do not come through.

HIRING ADVICE Clients should consider candidates who have been out of the market or recently made redundant.These candidates are genuinely more hungry and motivated to get back into work than settled candidates.

ABOUT SELBY JENNINGS

Operating as part of Phaidon International, Selby Jennings is a multi-award winning global recruitment organisation focused on servicing the financial industry.

By breaking down financial markets into individual niches and micro-specialisms, Selby Jennings powers a knowledge-led model, delivering global solutions into local markets.

Every consultant is an expert in their field. Structuring our teams to mirror the demands of our clients and candidates, we identify, qualify and present the highest calibre candidates, as well as identifying the best market opportunities for leading finance professionals. From our offices in London, Singapore, New York and Zurich we recruit beyond international boundaries, proactively sourcing the best talent in the industry across both contract and permanent hires.

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