Hedge Fund Risk Manager

About Northern Trust:Northern Trust, a Fortune 500 company, is a globally recognized, award-winning financial institution that has been in continuous operation since 1889. Northern Trust is proud to provide innovative financial services and guidance to the world’s most successful individuals, families, and institutions by remaining true to our enduring principles of service, expertise, and integrity. With more than 130 years of financial experience and over 22,000 partners, we serve the world’s most sophisticated clients using leading technology and exceptional service.Role OverviewWe are seeking an experienced Risk Manager to join our investment team and oversee risk across a diversified portfolio of external hedge fund managers. This role focuses on portfolio-level risk aggregation, manager-level due diligence, and forward-looking risk analytics to support investment decision-making.The ideal candidate will act as a strategic partner to the investment team, providing actionable insights on portfolio construction, diversification, and downside risk management.Essential Duties and ResponsibilitiesPortfolio Risk OversightMonitor and aggregate risk exposures across underlying hedge funds by strategy, asset class, and geographyAssess market, liquidity, concentration, leverage, and tail risksEnsure alignment with risk budgets and investment objectivesManager Risk AssessmentConduct risk-focused due diligence on hedge fund managersEvaluate strategy risk, leverage, derivatives use, and drawdownsChallenge portfolio construction and hedging assumptionsRisk Analytics & ReportingMaintain VaR, stress testing, and scenario analysis modelsBuild dashboards and deliver risk reporting to senior stakeholdersProvide actionable insights to investment decision-makersLiquidity & Capital PlanningAssess liquidity terms including lockups and gatesMonitor portfolio liquidity vs investor redemption termsRun stress scenarios for market dislocation eventsPortfolio Construction SupportAdvise on allocation sizing and diversificationIdentify hidden correlations and portfolio risksSupport investment decisions with forward-looking risk viewsOngoing Monitoring & SurveillanceTrack risk metrics regularlyIdentify early warning signals such as style drift or anomaliesParticipate in ongoing manager monitoringQualificationsNecessary Experience and Education3 - 5 years in hedge fund risk management, fund of funds, asset management, risk management or related roles.Bachelor's degree in Finance, Economics, Mathematics, or related field. CFA or FRM preferred.Necessary Technical SkillsStrong understanding of hedge fund strategiesExpertise in VaR, stress testing, and risk modelingPrior experience with MSCI RiskMetricsProficiency in Excel, Power BI, or SQLNecessary Core CompetenciesStrong analytical and quantitative skillsAbility to interpret limited transparency dataExcellent communication and stakeholder managementHigh attention to detailSalary Range:$80,800 - 133,400 USDSalary range is a good faith estimate of base pay. Northern Trust provides a comprehensive benefits package including retirement benefits (401k and pension), health and welfare benefits (medical, dental, vision, spending accounts and disability), paid time off, parental and caregiver leave, life & accident insurance, and other voluntary and well-being benefits. Northern Trust also provides a discretionary bonus program that may include an equity component.Working with Us:As a Northern Trust partner, greater achievements await. You will be part of a flexible and collaborative work culture in an organization where financial strength and stability is an asset that emboldens us to explore new ideas.Movement within the organization is encouraged, senior leaders are accessible, and you can take pride in working for a company committed to assisting the communities we serve! Join a workplace with a greater purpose.We’d love to learn more about how your interests and experience could be a fit with one of the world’s most admired and sustainable companies! Build your career with us and apply today. #MadeForGreater Reasonable accommodationNorthern Trust is committed to working with and providing reasonable accommodations to individuals with disabilities. If you need a reasonable accommodation for any part of the employment process, please email our HR Service Center at View email address on click.appcast.io hope you’re excited about the role and the opportunity to work with us. We value an inclusive workplace and understand flexibility means different things to different people.Apply today and talk to us about your flexible working requirements and together we can achieve greater.SummaryLocation: Chicago, ILType: Full time