Environmental, Social and Governance (ESG) topics are areas of rapid and significant change, increasingly shaping how business is conducted, regulated, measured and reported on.
From a risk management perspective, BNP Paribas considers that ESG factors are risk drivers that may have potential impacts on existing risks such as credit, operational or market risks.
In this context, BNP Paribas has decided to take bold actions to further strengthen the Bank’s initiatives and framework in these areas. So did the RISK Function with the creation of the RISK ESG team at the end of 2020.
Accordingly, the RISK ESG team is a transversal team which aims at supporting and steering the integration of ESG risk factors within Group’s risk management framework.
Within the RISK ESG Team, the Credit Stream is in charge of credit related matters and processes requiring embedding ESG factors, across the Group various métiers/poles and for all Corporates clients and Financial Institutions.
RISK ESG Credit Stream, as part of the second line of defense, is accountable for the design and the sound functioning of the ESG risk management framework. It shall ensure adequate set-ups are in place to identify, assess, validate, measure, manage, monitor and report on the ESG related performance and risks through the client journey (from onboarding, products origination and through credit process).
The Credit Stream is involved in setting-up ESG related frameworks, in coordination with business lines and other functions, and in ensuring their effective implementation in the operational processes, in particular credit process, encompassing:
- ESG assessment at the Counterparty level: ensuring suited ESG assessment methodologies are deployed and implemented in operational processes, so that ESG Assessment outcome can serve as a basis to assess any impact on the counterparty’s overall profile and adapt product offer and risk appetite
- ESG assessment at the transaction’s level: contributing to define articulation criteria of any transaction vs. counterparty-level ESG assessment and to operational insertion of transaction-level assessment in the credit process
- Operational risk linked to ESG in the credit chain for corporates: based on the above, ensure operational risks linked to the ongoing operational insertion of new ESG related credit matters are identified and adequate relating controls in place
As such, the Credit Stream is in charge of ensuring and/or effectively contributing to produce:
- ESG frameworks or set-ups (ESG assessment design, operational insertion, back-testing of ESG assessments’ methods etc…)
- Policies, procedures and guidelines ruling the above, ensuring they are comprehensive, exhaustive, up-to-date and provided to the relevant stakeholders (RISK, Business lines etc…) trainings with dedicated content articulation between poles/métiers are coherent Group-wide with consistency between processes and tools advising on ESG & credit related topics upon request
- Analyses of results of the assessments, dashboards, articulation with other ESG evaluation (NZBA, portfolio, other assessments methods in the bank etc…) participation in other RISK’s committees/forums to share information/expertise
The ESG senior analyst will report to the Credit Stream leader on all these topics.
Knowledge
- 5-6 years min. of experience in corporate banking (financing métier or coverage entity)
- Knowledge in corporate credit analysis
- Knowledge of the credit process and ideally related operational process of the credit chain
- Knowledge and interest in ESG would be a plus
Skills
- Adaptability
- Organisation skills
- Ability to work in team
- Analytical skills
- Ability to develop and adapt a process
- French is a plus
