Model Risk Management Specialist

About the Company

Payward, the parent company of Kraken and several other financial services brands, has developed a progressive and accessible financial infrastructure platform over the past 15 years, aiming to foster an open and global financial system.

About Kraken

Operating since 2011, Kraken is among the longest-established cryptocurrency platforms worldwide, trusted by millions of individual and institutional users. The platform offers services including spot trading, margin trading, futures, staking, and over-the-counter (OTC) trading, catering to both retail and institutional clients.

Role Overview

We are seeking an adept Model Risk Management Specialist to lead efforts related to Transaction Monitoring and Customer Risk Assessment models in support of Anti-Money Laundering (AML) and Counter Financing of Terrorism (CFT) initiatives. The role focuses on maintaining robust, effective, and regulation-compliant risk models.

Key Responsibilities

• Conduct independent validation of Transaction Monitoring, Customer Risk Assessment, and Screening models, including AI-powered models developed with tools like Claude or ChatGPT.
• Review and ensure the quality of model development documentation, data integrity, testing approaches, and access controls.
• Analyze model performance, accuracy, stability, and identify any risks or biases.
• Ensure adherence of AML/CFT models to regulatory frameworks such as EU AML/CFT Directives, US BSA/AML laws, and FATF recommendations.
• Perform comprehensive risk assessments targeting AML/CFT exposures related to customer segments, products, and regions.
• Design and implement ongoing monitoring and maintenance processes, including annual validation reporting and tracking of model degradation.
• Work collaboratively with model engineers, AML/CFT specialists, business and risk teams.
• Develop and maintain thorough documentation, such as validation reports, risk assessments, and compliance documentation.
• Contribute to evolving model validation methodologies by applying best industry practices and standards.

Qualifications and Experience

• Bachelor’s degree in a quantitative discipline such as mathematics, statistics, computer science, or engineering.
• Minimum of three years' experience in model validation, risk management, preferably within AML/CFT domains.
• Proficient understanding of machine learning and statistical modeling techniques.
• Strong knowledge of fiat and cryptocurrency payment mechanisms.
• Programming skills in Python, R, and SQL.
• Experience utilizing data visualization platforms like Tableau and Power BI.
• Solid grasp of financial markets, products, and services.
• Excellent communication capabilities to explain complex technical information to non-specialists.

Preferred but Not Mandatory

• Relevant professional certifications such as FRM, CDA, or CAP.
• Hands-on experience with AML/CFT transaction monitoring and customer risk systems.
• Familiarity with cloud computing technologies.
• Exposure to agile development processes.

Additional Information

Applications are accepted continuously unless an explicit deadline is mentioned. Candidates may choose to redact personal information such as age or education dates from their resumes. The hiring process includes fair consideration of applicants with criminal histories consistent with local ordinances. The company values diversity and inclusivity, strongly encouraging applications from candidates passionate about crypto, even if they do not meet every qualification. Job-related assessments may be required during the hiring process. The company maintains a strict policy against discrimination and harassment.