The Depository Trust & Clearing Corporation (DTCC, New York) has appointed Anne (Nan) Noonan to the new position of managing director and Chief Systemic Risk Officer. Noonan will oversee the management of the systemic risk framework for DTCC and its subsidiaries to ensure DTCC can readily identify and assess the systemic risk implications for all existing and new DTCC products, activities, processes and systems, according to a DTCC press release.
In pursuit of these objectives, Noonan will work closely with DTCC subsidiaries' direct regulators—the Securities and Exchange Commission, the Federal Reserve Bank of New York and the New York State Banking Department—and with regulators globally on systemic risk issues, according to the DTCC source. She will also work closely with Douglas George, DTCC's Chief Risk Officer, to review DTCC's enterprisewide risk management methodology. She will have leadership responsibility for identifying systemic risk management changes needed and developing and implementing those solutions. Noonan will report to Larry Thompson, DTCC's general counsel.
"DTCC has a very strong track record for safeguarding the industry during times of crisis—and in working with regulators in the U.S. and globally," comments Donald Donahue, DTCC chairman and CEO. "However, the experience of the financial crisis over the past two years has cast a very bright light on the risks that exist at the level of the financial services system as a whole.
"We are delighted to have someone with Nan's extensive background in risk management join DTCC," Donahue adds. "We can expect that there will be new demands that infrastructure organizations like ours remain at the forefront in meeting business and regulatory requirements on systemic risk issues across all our operations."
Noonan joins DTCC from CLS Bank International in New York, where she was executive vice president and global head of risk management and regulatory affairs, a post she has held since 1999. As a founding member of CLS Bank International, Noonan played a key role in orchestrating and negotiating regulatory approval with approximately 25 central banks and regulators for the purpose of eliminating foreign exchange settlement risk, with daily transaction flows of $3 trillion to $5 trillion, and expanding CLS Bank's settlement service to other products.
She served as a director on the Board of CLS Bank International, as a member of the CLS Management Committee and as an executive member of the CLS Bank Risk Management Committee.
Prior to that, Noonan served as a vice president at J.P. Morgan in a progressive series of roles with added responsibility, from 1978 to 1999. She was a member of the Global Foreign Exchange Settlement Risk Reduction Project, the Group of Twenty private sector effort to champion and later create CLS Bank. She not only acted as the group's principal regulatory liaison, but also co-authored the business requirement specification for CLS. Before that, she worked with J.P. Morgan Securities and Morgan Guaranty Trust Company of New York in various management positions.