Background Information on Global Parametrics
Global Parametrics is a commercial enterprise with a social mandate which aims to develop financial disaster risk management solutions to counter the risk of natural disasters in low-and-middle-income countries (LMICs). GP aims to lead the market in providing access to sustainable risk transfer services by bringing together climate and seismic sciences, financial engineering and risk-taking capacity to offer tailored solutions to those investing in efforts to aid the poor and vulnerable. GP should also be positioned to develop effective indexes that can be replicated on a global scale.
GP’s “integrated supply chain” business approach incorporates the following key core business functions: proprietary risk models, a specialized financial structuring and origination function, a fund manager (GPL) and patient risk capital via a Natural Disaster Fund (NDF (UK) LP) based in the UK. Therefore, the financial sustainability of the company relies on the capacity to originate, structure and commit risk capital for financial solutions across low and middle income countries (LMICs), as well as its capacity to monetize its intellectual property beyond the insurance/ILS sector and LMICs.
GP Science and Technology
At the centre of Global Parametrics is a proprietary global risk hazard platform (the GP Platform) which sources publicly available climate and seismic data, cleans and sorts such data into usable datasets and then models and prices the risk of the occurrence of specific natural disasters (drought, excess rain, extreme temperatures, tropical cyclone, earthquake, flood etc) in any geography in the world. Global Parametrics business strategy considers the possibility of selling data/information/models generated by the GP Platform and to offer associated advisory services to third party clients to help them in the development of financial disaster risk management solutions.
With regards to the specific product class of parametric weather products, the
assessment of the frequency and severity of significant events mostly relies on historical weather data simulated using Global Circulation Models (GCMs). While GCMs are numerous, GP has been working historically with a subset of models that have the statistical consistency and accuracy required for generating outputs suitable for risk transfer, namely National Centers for Environmental Prediction (NCEP) Coupled Forecast System (CFS2), Japanese Meteorological Agency (JMA) Japanese 55-year Reanalysis (JRA55), NCEP Global Forecast System (GFS), Global Advanced Weather. In some cases, bias corrections are needed to provide statistical consistency (e.g., CFS to CFS2). GP is also working on a proprietary version of the Model for Prediction Across Scales (MPAS) (Skamarock, Klemp, Duda, Fowler, Park, and Ringler, 2012) to create a stable, repeatable, “in-house” climatology. . For future development of these suite of products, GP is looking to engage in a more active effort of benchmarking the current generation of products vs what other alternatives that could be available in the market given the significant amount of innovation in the modelled weather data in the global scientific community.
In terms of future product development capabilities GP envisions developing a mature and reliable weather data framework that incorporates hindcast, live reporting, and forecasting capabilities for contracting and triggering contracts.
GP’s market approach is distinctly different than other efforts in the market. GP is targeting the firms and institutions, non-profits (NGOs) and government bodies that invest in and provide services to communities in LMICs.
Through the establishment of NDF (UK) LP which is managed by the Global Parametrics team, Global Parametrics is able to utilise data generated by the GP Platform or external third party corporate partners to offer parametric risk transfer products (principally in the form of derivative contracts) to third parties seeking to invest in/otherwise with exposure to LMICs.
Ideal Professional Experience
GP considers two different professional profiles that could be good candidates for this position.
1. Weather/Energy trading or structuring background. Professionals with a strong record of structuring weather products in key markets like energy, agriculture, renewable energy
2. Strong academic career in generating weather simulated data using several GCMs and other hybrid methodologies including the use of satellites and methods to make estimates of global weather (e.g., CHIRPS).
Develop risk transfer products/services for GP’s client needs with a focus on weather-driven phenomena, such as drought, crop stress/yield, food security, extreme rainfall, hydrology, extreme temperature, wind, etc. These products will include forecast offerings (e.g., forecast and financing for heat waves). For a given product need, functions will generally include:
- Work with the technical and sales teams to determine product parameters to meet client/project needs
- Develop plan for product delivery including timelines and resource needs
- Execute technical product development utilizing the array of weather and other related data inputs within GP’s risk hazard platform and also bringing in other outside data & models when needed
- Maintain active engagement with client to collect needed data and tailor product to meet needs
- Work closely with clients and GP management to help define near and medium-term product and systems development goals and planning
- Support origination efforts across all business lines with a potential weather component
- Building networks of client and strategic partner organizations
- Developing materials for client meetings from high level pitches to technical analyses
- Developing internal materials for executing a transaction (i.e. development memos, investment memos)
- Post-deal client management and support
- Support broader scientific initiatives led by GP technical team, including:
- Developing a data-sets inventory of available data sets potentially suitable for GP business.
- Developing a constraint analysis of limitations and constraints of third-parties data sets for current and envisioned GP products.
- Evaluating the need of running physical models in-house, and the derived needs in terms of human and computational resources.
- Developing novel physics-based, statistical, and probabilistic risk models
- Implementing models developed by GP or GP partners (e.g., flood, drought, crop stress)
- Develop an implementation strategy for selected models, whether in-house or not.
- Leading technical reviews of existing GP or GP partner models, in particular with regard to GP’s in-house proprietary MPAS.
The position is full time. Candidates living in Europe will be considered; however, there is a strong preference that the candidate be based in London given regulatory requirements for GP to only make financial offerings directly from its London operating company. Candidates living outside of London will be responsible for their own commuting costs to London to perform regulated activity. Location is also important because the Sr Scientist is expected to gain a role in terms of supporting the investment decisions for the NDF and potentially becoming one of the CF30 certified professionals making investment decisions for the NDF.
The position will require international travel to support the business origination efforts in all relevant GP business lines with a potential parametric weather component.
Competitive with sector
Reports to the CEO.
GP is comprised of scientists, engineers, development-oriented finance professionals, economists and others working to build a platform offering parametric risk transfer products globally for natural catastrophes and climate risk, with an emphasis on low- and middle- income countries. If you are interested in the intersection of climate change, building resiliency, development economics and natural catastrophe risk management, then you’re reading the right job posting.
Global Parametrics reserves the right to amend or vary any part of this terms of reference and/or the position, to cancel all or any part of the process set out in this document at any time and to appoint any person to fill the role described herein.
Global Parametrics is an equal opportunities employer and welcomes applications from all suitably qualified persons regardless of their race, sex, disability, religion/belief, sexual orientation or age.
Global Parametrics is committed to safeguarding the privacy of persons submitting applications to it. For information about how Global Parametrics processes data please refer to the privacy notice set out on our website at www.globalparametrics.com.