BS Risk Mid-year - Flipbook - Page 6
RISK MANAGEMENT & QUANTS | RECRUITMENT MARKET UPDATE 2024
BARCLAYSIMPSON.COM
6
A snapshot of
risk markets
Credit risk
The growth of private debt over the past decade
shows no sign of slowing down. Pressure on the UK
chancellor Rachel Reeves from the pensions industry
to redefine the key debt measure could see an
acceleration in the growth of real assets within the
private credit sector. This, in turn, will drive further
demand for candidates with experience of real assets
– particularly infrastructure – from pension funds and
other buy-side investors.
Market risk
Over the past few years, the market risk hiring
landscape has been relatively quiet. Nevertheless,
we have seen a noticeable uptick in the last six
months, primarily driven by the commodities sector.
In this space, both commodity trading firms and
hedge funds have been actively recruiting talent from
banks, leading to a need to backfill these roles. This
has created a chain effect where candidates move
between firms within the same function.
Meanwhile, the development of the credit risk cycle,
as outlined on the previous page, could have a
significant impact on recruitment. The most obvious
outcome is an increase in demand for individuals
with experience of managing credit risk through a
downturn, as companies seek to refinance in a more
challenging interest rate environment.
In some cases, demand has expanded to include
candidates without specific commodities expertise,
thereby organically growing the talent pool. However,
this high pace of hiring is not expected to continue at
the same rate over the next six months. Hiring across
other asset classes has remained comparatively
subdued, with sporadic recruitment mainly occurring
to replace departing staff.
