The OpportunityWe are seeking a Director of Mortgage Servicing Rights (MSR) Hedging to lead the development, execution, and ongoing management of the company's MSR hedging strategy. This highly specialized individual contributor role is responsible for managing portfolio risk, enhancing hedging policies, building governance and control frameworks, and ensuring alignment with risk, compliance, and regulatory expectations.
The ideal candidate will partner closely with trading, analytics, and Second Line of Defense (SLoD) stakeholders to evaluate hedge effectiveness, deliver executive and regulatory reporting, and provide strategic leadership for the MSR portfolio. Success in this role requires deep expertise in mortgage capital markets, MSR valuation and hedging, risk management, and the ability to communicate complex strategies to executive leadership, committees, and regulators.
We offer a flexible work environment that requires an individual to be
in the office 4 days per week. This position will be based in the following location: San Antonio, TX.
Relocation assistance
is available for this position.
What you'll do:- Lead the development and implementation of the organization's MSR hedging framework, including strategy, policies, procedures, controls, and escalation protocols.
- Establish governance processes and reporting standards to support effective oversight of MSR hedge activities.
- Develop and execute comprehensive MSR hedging strategies designed to mitigate interest rate and other market risks through management of daily hedging positions utilizing Treasury futures, options, swaps, swaptions, TBAs, and other approved hedging instruments.
- Monitor hedge performance, effectiveness, and portfolio sensitivities including duration, convexity, and basis risk.
- Collaborate closely with the MSR Valuation team to understand portfolio characteristics, valuation assumptions, cash flow projections, duration estimates, and sensitivity analyses.
- Work jointly with valuation stakeholders to evaluate the impact of market changes on both asset values and hedge performance.
- Analyze market trends affecting mortgage servicing valuations and hedge performance.
- Evaluate and recommend hedge adjustments based on market conditions, portfolio performance, and risk appetite.
- Develop hedge performance metrics, risk tolerances, and key risk indicators for ongoing monitoring and reporting.
- Monitor MSR hedge P&L and explain performance drivers to executive leadership. Provide forecasts and recommendations regarding portfolio performance and capital utilization.
- Develop and maintain management reporting packages related to hedge activity, servicing valuations, and market exposures.
- Support budgeting and financial planning processes related to servicing and hedging activities.
- Create and maintain documentation supporting hedge strategies, methodologies, controls, and governance requirements.
- Support the evaluation and implementation of systems, models, analytics, and vendor solutions necessary to support MSR hedging activities.
- Leverage valuation analytics to inform hedge positioning and risk management decisions while maintaining independent ownership of hedge strategy and execution.
Participate in model validation, assumption reviews, and governance discussions related to servicing asset risk measurement. - Partner with Risk Management, Finance, Accounting, Treasury, and Executive Leadership to ensure alignment with enterprise risk objectives.
- Serve as a key subject matter expert for internal audits, external audits, and regulatory examinations.
- Build and oversee a team of employees for assigned functional areas through ongoing recruiting, development, retention, coaching and support, performance management, and managerial activities.
- Ensure risks associated with business activities are effectively identified, measured, monitored, and controlled in accordance with risk and compliance policies and procedures.
What you have:- Bachelor's degree; OR 4 years of relevant education and/or experience.
- Minimum 6 years' progressive experience in mortgage banking, secondary marketing, capital markets, mortgage servicing, interest rate risk management, or related disciplines with proven experience building scalable processes, influencing cross-functional partners, and driving strategic initiatives in a growing and evolving environment.
- Minimum 3 years' direct experience managing MSR risk, mortgage-related hedging strategies, capital markets activities, or interest rate risk programs.
- Subject Matter Expert in mortgage servicing economics, capital markets, and interest rate risk management with a strong understanding of MSR valuation concepts and servicing asset risk characteristics.
- Demonstrated experience designing, implementing, or enhancing risk management frameworks, controls, and governance processes.
- Experience partnering with valuation, accounting, finance, and risk management functions to support strategic decision-making.
- Proven ability to lead cross-functional initiatives and influence stakeholders across multiple levels of the organization.
What sets you apart:- Experience building or transforming an MSR hedging program or similar mortgage risk management function.
- Experience presenting recommendations and performance results to executive leadership. Asset Liability Committee (ALCO), Risk Committees, or other governance bodies.
- Advanced knowledge of mortgage servicing valuation models, hedge effectiveness analysis, and portfolio risk management methodologies.
Compensation range: The salary range for this position is: $127,310.00 - $229,160.00
USAA does not provide visa sponsorship for this role. Please do not apply for this role if at any time (now or in the future) you will need immigration support (i.e., H-1B, TN, STEM OPT Training Plans, etc.). Compensation: USAA has an effective process for assessing market data and establishing ranges to ensure we remain competitive. You are paid within the salary range based on your experience and market data of the position. The actual salary for this role may vary by location.
Employees may be eligible for pay incentives based on overall corporate and individual performance and at the discretion of the USAA Board of Directors.
The above description reflects the details considered necessary to describe the principal functions of the job and should not be construed as a detailed description of all the work requirements that may be performed in the job.
Benefits: At USAA our employees enjoy best-in-class benefits to support their physical, financial, and emotional wellness. These benefits include comprehensive medical, dental and vision plans, 401(k), pension, life insurance, parental benefits, adoption assistance, paid time off program with paid holidays plus 16 paid volunteer hours, and various wellness programs. Additionally, our career path planning and continuing education assists employees with their professional goals.
For more details on our outstanding benefits, visit our benefits page on USAAjobs.com.
Applications for this position are accepted on an ongoing basis, this posting will remain open until the position is filled. Thus, interested candidates are encouraged to apply the same day they view this posting.
