Power Market Risk Analyst



London, UK
Posted on Tuesday, April 16, 2024

Where you fit in

Shell Energy is at the heart of delivering Shell’s ambition to become a world-class investment case that powers progress by providing a diverse array of cleaner energy solutions. The Power Trading Business is an exciting, fast-moving, and growing area, and a key driver in being able to fulfil that ambition. The role we are hiring for is a Market Risk Analyst who will be a focal point in supporting this business. We are interested in attracting a candidate who shares our core working values of honesty, integrity, and respect for others, with the ability to achieve great results through teamwork and who can generate creative solutions to problems.

What’s the role?

As a Market Risk Analyst, you will provide daily performance and risk analysis for the traders and senior stakeholders, ensuring key risks are transparent. In addition, you will collaborate closely with front office and other finance functions in the support of commercial activities, such as new market entries and deal valuation/recognition. The successful candidate will be expected to provide risk management expertise in complex areas and should be able to manage their own work with limited supervision.

The candidate will be expected to take the lead/assist on Market Risk matters (e.g., new deals, fair economic value assessments) for the Power business, whilst providing support and guidance to other members of the Market Risk team.

In this position, you will have several key responsibilities which will include:

  • Develop a close relationship with the European power trading business to support new deals and appraise trading activities to ensure mandated exposure and risk limits are adhered to
  • Market Risk focal point for front-office and senior stakeholder queries for the power trading business
  • Provide cross-business support to other Shell departments (Renewables and Energy Solutions) to help deliver Shell’s ‘powering progress’ growth strategy
  • Develop in-depth knowledge of the European power markets, which will be leveraged to manage risk identification of model/portfolio assumptions, and market inputs
  • Lead the execution of key controls for the business area and collaborate with other functions to ensure continuous improvement of controls/processes
  • Act as a representative for Market Risk on a number of strategic power projects
  • Develop tools for on-going portfolio reviews and produce “deep dive” analysis for senior management
  • Drive understanding of the design and utilization of methodologies to assess risk/reward of the portfolio, including: VaR back-testing, stress testing, scenario analysis
  • Provide Market Risk input on new and group business proposals as they relate to the business. Assess the risks associated with structured deals and the valuation models used for physical/financial trading and hedging, at times building out models to calibrate performance of such deals. Where applicable, provide peer review and challenge to deal proposals for other Trading & Supply businesses
  • Develop and refine the fair economic valuation approach for power deals, factoring in imbalance, shape, and liquidity risks. Provide steer on usage of market risk reserves
  • Collaborate with other support functions (e.g., Finance, Technical Accounting) for deal support and general portfolio queries
  • Support internal/external audit requirements

What we need from you

We’re keen to see as many of the following attributes on your CV:

  • Some power market risk experience with a good understanding of market risk fundamentals (P&L, exposure, VaR, stress testing)
  • Competent in assessing trading valuations, including building, and validating new models as needed
  • Experience of non-linear products (e.g., options), tolling agreements, renewable power, and certificates (GoOs, REGOs)
  • Understanding of Fair Value and derivative recognition concepts
  • Technologically oriented; mastery of Excel and coding desired (Python, SQL, VBA).
  • Degree in mathematics, economics, engineering, business/commerce, or a related field
  • Power market fundamentals knowledge and cross-commodity awareness (e.g., gas, carbon)
  • Aligne ETRM knowledge preferred, but not essential

We are also looking for the following personal skills:

  • Strong problem solver and critical thinker, ready to challenge and be challenged
  • Strong sense of ownership; wants to do right and continuously improve
  • Ability to multi-task with a high level of attention to detail and accuracy
  • Pro-active team player willing to be in the office at least 3 days a week.
  • Willing to engage with stakeholders to build trust and credibility
  • Ability to perform under rigid deadlines and time pressured environments

If you don't see yourself fully reflected in every job requirement listed on the posting above, we still encourage you to reach out and apply. Research has shown that not everyone often applies when they do not feel 100% qualified. We are committed to creating a more equitable, inclusive, and diverse company and we strongly encourage applicants of all genders, ages, ethnicities, cultures, abilities, sexual orientation, and life experiences to apply. We look forward to receiving your application.

About Shell UK

Shell is an international energy company that aims to meet the world’s growing need for more and cleaner energy solutions in ways that are economically, environmentally, and socially responsible. It is one of the world’s largest independent energy companies, operating in more than 70 countries.

Shell has a global target to become a net zero emissions energy business by 2050. This means that Shell aims to be net zero on all emissions generated by its operations and the energy needed to power them. The company is working with customers, business, and governments to address emissions across different sectors.

In March 2022, Shell UK announced an ambition to invest between £20 to £25 billion in the UK energy system over the next decade, more than 75% of which is intended for low and zero-carbon products and services including offshore wind, hydrogen, and electric mobility. These investments, which are subject to board approval, aim to propel the UK closer to net zero whilst intending to stimulate economic growth and jobs.

Our people are our greatest asset, and our commitment to your career will see you thrive in a work environment that offers an industry-leading development programme. When your ideas travel, Shell will benefit, and innovation will thrive. Shell has a key role to play in helping meet the UK’s growing energy demand, whilst using innovative technologies to develop cleaner energy. We are one of the largest FTSE 100 company in the UK by market capitalisation and make a significant contribution to the UK economy.

An innovative place to work

There’s never been a more exciting time to work at Shell.

Join us and you’ll be adding your talent and imagination to a business with the ambition to shape the future – whether by investing in oil, gas and renewable energy to meet demand, exploring new ways to store energy, or developing technology that helps the world to use energy more efficiently, everyone at Shell does their part.

An inclusive place to work

To power progress, we need to attract and develop the brightest minds and make sure every voice is heard. Here are just some of the ways we are nurturing an inclusive environment – one where you can express your ideas, extend your skills, and reach your potential.

  • We’re creating a space where people with disabilities can excel through transparent recruitment process, workplace adjustments and ongoing support in their roles. Feel free to let us know about your circumstances when you apply, and we’ll take it from there.
  • We’re closing the gender gap – whether that’s through action on equal pay or by enabling more women to reach senior roles in engineering and technology.
  • We’re striving to be a pioneer of an inclusive and diverse workplace, promoting equality for employees regardless of sexual orientation or gender identity.
  • We consider ourselves a flexible employer and want to support you finding the right balance. We encourage you to discuss this with us in your application.

A rewarding place to work

Combine our creative, collaborative environment and global operations with an impressive range of benefits and joining Shell becomes an inspired career choice.

We’re huge advocates for career development. We’ll encourage you to try new roles and experience new settings. By pushing people to reach their potential, we frequently help them find skills they never knew they had, or make career moves they never thought possible.