Model Validation Analyst III

Frost Bank • San Antonio, TX

1d

About The Position

The Model Validation Analyst III monitors and validates aggregate model risk in alignment with Frost’s risk strategy and provides recommendations for adjusting model risk based on independent validations. The role focuses on assessing the accuracy and soundness of complex and significant financial, statistical, and behavioral models used across the organization. It supports continuous improvement and helps management make strategic and tactical decisions by identifying potential risk exposure and opportunities to use data effectively.

The analyst oversees model validation and review, including evaluations of theoretical soundness, testing design, and weaknesses. The role also evaluates Model Risk Management governance and the Bank’s compliance with SR 11-7 regulatory guidance, and provides leadership and direction to less experienced analysts. Frost describes its culture as adaptable and integrity-driven, with a focus on Integrity, Caring, and Excellence and all-win outcomes.

Requirements

• Master’s degree in a quantitative field such as Mathematical Finance, Financial Engineering, Statistics, Physics, Management Science, Operations Research, or Economics.
• At least 2 years of experience in the development or validation of financial, statistical, or mathematical models; financial services industry experience is preferred.
• Mastery of statistics and numerical techniques.
• Demonstrated experience documenting technical aspects of a model and presenting results or findings.
• Proficiency in at least one of SQL, SAS, R, or Python.
• Advanced knowledge of Microsoft Excel.
• Proficiency in Microsoft computer applications.
• Excellent written and verbal communication skills.

Nice To Haves

• Ph.D. degree in a quantitative field such as Mathematical Finance, Financial Engineering, Statistics, Physics, Management Science, Operations Research, or Economics.
• Experience in model development or validation within the financial services industry.

Responsibilities

• Monitor and validate aggregate model risk in alignment with Frost’s risk strategy.
• Recommend adjustments to model risk based on independent validations.
• Perform independent validations of financial, statistical, and behavioral models according to their criticality ratings, focusing on the most complex and significant models.
• Challenge key aspects of models to ensure thorough reviews.
• Assist other Model Validation Analysts with complex validations by applying expertise in a wide variety of validation techniques.
• Oversee reviews of models’ theoretical soundness, testing design, and weaknesses.
• Interpret data to identify potential risk exposure and opportunities to improve management’s strategic and tactical decisions.
• Oversee development of challenger models to validate existing models and support outcome analysis.
• Ensure compliance with the model risk monitoring framework.
• Evaluate Model Risk Management governance, including policies, controls, risk assessments, documentation standards, and validation standards.
• Evaluate the Bank’s compliance with SR 11-7 regulatory guidance.
• Provide leadership, guidance, and direction to less experienced analysts.
• Act with Integrity, Caring, and Excellence to achieve all-win outcomes.

Benefits

• Medical insurance
• Dental insurance
• Vision insurance
• Long-term disability insurance
• Life insurance
• 401(k) matching
• Generous holiday and paid time off schedule
• Tuition reimbursement
• Health and wellness programs, including an Employee Assistance Program
• Referral bonus program

What This Job Offers

• Job Type: Full-time
• Career Level: Mid Level