Derek Barnes

Owner, Scarborough Road LLC

Thirty years in investment operations, across the front, middle and back office, for hedge funds, insurers and real money portfolios. The work is operations systems, governance and infrastructure: selecting them, building them, and running them.

I am the only fifth-generation member of the New York Stock Exchange, and the only known five-generation lineage in its history.

What I do

Process improvement. System selection and implementation. Workflow automation. Project management. Data integrity and stewardship. Middle and back office workflow. IT infrastructure. Across fixed income, interest rates, derivatives and equities.

Experience

Midwest Holding Inc. Shareholder and Head of Middle Office Operations. The holding company of American Life & Security Corp, and owner of the home-grown m.risk and m.pas asset and policy administration systems, which I contributed to. A startup reinsurance and annuity business, where the work was building the bridge across the technology and workflow gaps between assets and liabilities.

Nassau Financial Group. Head of Middle Office. A Connecticut and New York life and annuity company with $23 billion under management.

Security Benefit Corporation. Director of Investment Operations, and one of five founding investment hires. A $25 billion general account and an $18 billion derivatives portfolio, carved out of Guggenheim Partners. I selected, scoped and implemented the enterprise data management system, Markit EDM, and ran its daily processes. The derivative hedging process and team built there was awarded Insurance Risk Management Team of the Year for 2017 by EQDerivatives.

Barnegat Fund Management. Chief Operating Officer, and the only operations professional at the firm. A $650 million fixed income relative value fund trading interest rate anomalies in the large liquid markets of North America, Europe and the Pacific Rim, with a compound annual net return of 16% since its 2001 inception. I managed every process except the trade itself.

New York Stock Exchange. Floor trader and member, 1998 to 2006. Specialist trading assistant, 1995 to 1998.

Education

Bachelor of Arts in Business Management and Economics, Gettysburg College.

Now

Scarborough Road is the consulting practice. What I take on is on Practice, the thinking behind it is in Writing, and the working models are on Tools.

If you have a derivatives book and a regulator asking questions, or a middle office running on spreadsheets you no longer trust, book twenty minutes.