10 of the Highest Paying Risk Manager Jobs in 2021
The best Risk Manager jobs can pay up to $200,000 per year.
People who work in risk management provide valuable tools and advice for the companies they work for. These professionals protect company assets and public interests by ensuring that policies and procedures comply with regulations and standards in ethics. If you're considering a career in risk management, knowing about the different specialties can help you narrow your search. In this article, we define risk management, explain the benefits that these professionals add to their workplace and list 10 unique job titles and salaries for roles in this field.
What is risk management?
Risk management is a career path that focuses on compliance and strategy. People in risk management roles help identify and assess factors that could contribute to risk or liability for a company or organization. Risk at the organizational level usually pertains to finances, strategy, operations, information technology and reputation. Liability relates to governmental policy, regulation and law. Certain risk management and compliance careers involve advising on recovery action and developing risk management tools and plans for the future.
Why is risk management important?
Managing risk and compliance is crucial for businesses and companies because it allows for preparation and provides security. Thorough risk management plans, tools and systems can protect a company's profits, investments and overall social standing. Here is a list of four things people in risk management roles offer the companies they work for:
In-depth analysis: Risk managers provide a comprehensive review of proposals and projects. They evaluate and report on benefits and any potential drawbacks before a project starts. These reports help companies to make informed decisions about implementation.
Proactive plans: People in these roles often create response plans in advance of adverse events. They study the likelihood of certain events and secure policy and procedure so an organization can be ready in an emergency situation.
Diligent study: Risk and compliance professionals carefully examine corporate law. They keep up-to-date with industry-relevant laws and bylaws to ensure that companies can operate with confidence.
Broad consumer knowledge: Risk managers study market trends and consumer buying demands. They report on this information and advise on policy and strategy so companies can connect with their clients and maintain a positive reputation.
10 unique risk management roles
Here are 10 jobs to consider for a career in risk and compliance management:
1. Environmental compliance specialist
North America average salary: $61,342 per year
Primary duties: An environmental compliance specialist evaluates the environmental risk of a company's policies, procedures and production. They ensure that an organization is operating within legal guidelines. They are often responsible for conducting inspections, investigating the effects of pollutants and writing reports.
2. Loss control consultant
North America average salary: $75,905 per year
Primary duties: Loss control consultants work primarily in financial risk. They protect companies from financial losses relating to retail shrinkage, workplace accidents and insurance liability. Their daily duties often include conducting risk assessments, evaluating insurance claims and designing and implementing financial risk reports.
3. Compliance consultant
North America average salary: $78,393 per year
Primary duties: Compliance consulting is a risk management career that focuses on evaluating and improving the operations and management strategies in place at various companies. This person studies laws, bylaws and governmental policies that apply to specific industries. They then use that knowledge to assist outside organizations. Their daily duties are likely to include writing compliance plans, providing training and designing company-specific regulatory tools or programs.
4. Compliance officer
North America average salary: $82,438 per year
Primary duties: Primary duties: Compliance officers work within the risk management department of a company, and they focus on evaluating and improving the operations of that specific organization. They study and interpret laws, bylaws and governmental policies relating to the industry they work in. Their primary duties include writing compliance plans and reports, designing regulatory tools and advising on program implementation.
5. Risk analyst
North America average salary: $93,373 per year
Primary duties: Risk analysts help companies review project proposals. People in this role can work as an outside consultant with many clients, or they can work solely for one institution. They use their knowledge of the law, policy and societal demand to analyze proposals and advise on whether a company should alter a project. Their primary duties include reviewing documents, developing plans, analyzing data and writing mitigation reports.
6. Risk and compliance investigator
North America average salary: $96,995 per year
Primary duties: Risk and compliance investigators conduct investigations of outside companies following allegations of noncompliance. They review company policies, management strategies and overall operations. They read reports made by risk and compliance consultants or staff and make determinations on ethical standing and liability. Their daily duties often include conducting interviews, compiling data, researching precedent and writing official reports.
7. Model risk specialist
North America average salary: $105,691 per year
Primary duties: A model risk specialist, also called a financial modeler, predicts and quantifies risk in financial situations. They work for companies to create and evaluate financial models that identify undervalued securities, secure future investments and boost profitability. These specialists have excellent knowledge of tax law and securities law and use that knowledge to ensure that their models adhere to guidelines.
8. Regulatory affairs manager
North America average salary: $109,931 per year
Primary duties: Regulatory affairs managers coordinate and manage a company's production model to ensure that it complies with laws and regulations. These professionals regularly interact with government agencies and compliance inspection officers. These managers' duties include writing procedures, completing reports and submitting applications.
9. Risk manager
North America average salary: $118,148 per year
Primary duties: A risk manager works within an organization to review and analyze a company's overall business, management and operational functions. They use their knowledge of the law, policy and societal demand to identify areas of potential risk and develop improvement plans. Their primary duties include conducting audits, writing reports, presenting findings and developing proactive plans.
10. Chief risk officer
North America average salary: $133,978 per year
Primary duties: A chief risk officer is a corporate executive and is sometimes called an enterprise risk manager. Like others in risk management, this person analyzes company operations and presents their findings. They lead the risk management team for an entire organization, and they interpret, analyze and prioritize the reports and findings of each team member.