Interview with Rachel Robboy, Chief Risk Officer of IDB Invest

Transcript:

Kiran: Hi, my name is Kiran Bishop. I'm 17 years old, and I became interested in finance freshman year of high school. As I became part of financial clubs, I realized that a great deal of the time, I was one of, if not the only, girl in the room. This feeling of being disconnected to everyone around me while simultaneously being in a room full of people is what inspired me to create this podcast, Woman Who Earn.

I created this podcast to help young girls like me gain knowledge and wisdom from industry professionals on topics ranging from how to break into finance to how to deal with unique challenges posed from being a woman in the industry. It is important for me, and I hope that it is also important for you that feeling alienated by a situation out of your control does not inhibit your motivation to pursue whatever you want.

This is Women Who Earn.

Rachel Robboy is an experienced international development banker with core expertise in financial and non-financial risk management, portfolio management, deal structuring, and business development with a focus on Latin America. As chief risk officer of IDB Invest, Ms. Robboy oversees credit, market, and operational risk along with the environmental and social risk and special assets teams.

Ms. Robboy chairs and votes on multiple senior management bank committees, and as leader of sustainability; diversity, equity, and inclusion in corporate ethics in IDB Invest over the past two decades, Ms. Robboy has held senior-level positions at the Inter American Development bank group, including chief of the portfolio management division and advisor to the vice president for private sector and non-sovereign guaranteed operations, as well as other leading roles in the infrastructure division and the special operations unit.

Ms. Robboy holds an MBA in international finance and a master's in international affairs from the George Washington University and a bachelor's degree from Georgetown University, both in Washington, D.C. 

Thank you so much for joining me today for this podcast. I think we could probably just get started with the first question: how did you get to where you are today?

Rachel: So, first of all, I want to thank you for having me. I'm excited to be here, and it sounds easy. How did I get here? If you asked me did I dream of being a CRO, I would say absolutely not. Having said that, I belong here. It's my dream job, actually, and it really is a place that I belong in terms of all my skills and also my professional interest.

So, it all fits together at the end of the day. I think people have always said over the years that I belong in risk, and I think all the career moves that I made have really built a good background for me to be the CRO of an international organization. 

Kiran: All right. Thank you. And I mean, did you always know, or at what point in your life or in your career, did you realize you wanted to do something in risk? 

Rachel: It's a good question. Actually, I built a career in both finance and international development. And when you work in emerging markets, it's obviously about both the intersection of development, finance, and risk because to build something in emerging markets, you have to recognize both the opportunity and the risk. So, there are two sides to the coin, and I always worked on either side of that coin. And I think that's what made me a good fit on the risk side is that I did spend time on the development side as well.

And I think to have the full picture doing both things added significant value. And I think had I grown up in either just risk or just in development, I wouldn't have had the ability to and the vision to make some of the decisions that I'm able to take today. 

Kiran: Thank you. And I mean, which decisions are you most proud of in your career journey?

Rachel: That's a good question, too. So there are a couple of things along the way that I'm really proud of. And so when you work at an international organization, both at the intersection of development, finance, and in risk, it's a purpose-driven institution. So I believe that everything I do has an impact on the ground.

And really, that's what I grew up with. Truly trying to find a career where I could truly make a difference and have an impact. And so, working in development, I've really been able to have an impact, and that's what I'm most proud of. So, for example, when I was doing deals on the business side, I was involved in a lot of firsts for our institution.

For example, I help finance the largest wind farm in the region. At a time when actually using renewable energy was in its very early phases. Another example that I'm proud of is the expansion of the Panama Canal, where our institution played a fundamental role as a multilateral development bank, and we provided actually the largest of the loans to help make that a reality. So that's something I'm also extremely proud of.

I'm also extremely proud of having built the team. The various teams along the way because when people ask, how did I arrive here? It's not really something I think about as something I've done on my own. It's about building teams and relationships. So when I was a portfolio manager, building that team, and now as CRO, I'm most proud of the work that our team does in making decisions and also having an impact. 

Kiran: Right, thank you. That's very insightful. I know you speak Spanish fluently, and I was just wondering how that skill or that part of your identity really intersects with your career and how it's helped you along. 

Rachel: I think being bilingual is essential, I think, for today's business world, and especially in the field of international development. And I think it's really been pivotal for me. And, when I was growing up, learning another language, making that a priority in my education and a priority in my early career, I think helped me achieve the things that I set out to achieve.

And I didn't always know how I would incorporate the Spanish, but it was pivotal for me. I lived in Honduras, actually, when I was actually when I went to high school. In my freshman year of high school, I was an exchange student. And for me, that changed my life because not only did I have the opportunity to learn another language, but it also instilled in me the desire to work in development and really to have an impact, to do good, and to contribute.

Kiran: Thank you. Yeah, I think it's very interesting. I mean, especially, I think it's so funny. I wish I could have done an exchange year at some point during high school, especially in a different country that speaks a different language. 

Rachel: It's not too late. It's not too late. 

Kiran: Yeah, for college, definitely.

Thank you. And, I mean, just to pivot a little bit, I understand that finance is a very male-dominated field, and so, has there ever been a time where you were one of, if not the only woman in the room, and, if so, like, how did you navigate that type of situation and ensure that your voices, that your voice and perspectives were heard and respected?

Rachel: I've often had the experience of being the only female in the room. When you do basic infrastructure, when you do finance, when you're focused also on Latin America, I was often the only female in the room. And sometimes, I would walk into a room, and I don't realize that I'm the only female in the room. I own my position. I use my voice and my vote in all circumstances. And so I think you just get more comfortable in your position, and making sure that you're heard is the most important thing. It doesn't mean you have to justify yourself or , you know, to make a point of it. But I think as long as you use your voice and you advocate for yourself, increasingly, people will create the space for you. And if they don't create the space for you, then you need to figure out how to create that space. And that comes with being prepared. And that was one of the things that I always made sure is that when I was the only female in the room I was prepared to use my voice. 

Kiran: Thank you. Yeah, and I understand sometimes it's a little bit more difficult to create your space. And so, have you ever had any sort of mentors who've been able to guide you through your career?

Rachel: Yes. I think absolutely. I've been fortunate over the years. I've had a variety of bosses and colleagues who have been my mentors over the years. And what I've tried to do is extract from each of them something that I can learn from them. So, for example, an early boss could teach me how to sell something, how to be compelling, and how to be convincing of your view, and in a negotiation, that's extremely important.

I've had other supervisors who were extremely technically qualified, so I took from them their technical skills and so I think being able to extract value and actually learn from those around you has been very important. Also, I've benefited from colleagues who have seen my potential and have included me in various opportunities over the years.

So, for example, earlier in my career, when we were doing actually a merger, I was asked to be on the merge team and actually to try to put two organizations together. So somebody saw my potential and said, okay, Rachel, why don't you take this, try to lead this through? Another example was I actually created a risk department for our organization when it didn't have one. And so just because somebody saw, oh, I understood this area, I wasn't in risk, but I had been in a variety of areas of the institution, so when you asked me actually earlier, did I know I belonged in risk? How did I get here? Over the years, I had the opportunity to build on those things.

So those are examples of where I had gotten opportunities from mentors in the past. 

Kiran: Thank you. Yeah, and I was just wondering if you've had any opportunities to mentor other people through their careers or anything like that. 

Rachel: Good question. I love to do that, actually, and as a supervisor, that's something that I do for my own team. So, my own team and people within and also outside the organization. And what I do is I give people who I work with, I try to give them homework in the sense that I try to give them tangible goals that they need to try to reach because I do think sometimes being a mentor is about helping people think about certain issues, but also to push them forward. To get them out of their comfort zone and to help them

Grow, so I do a lot of mentoring: females and males, actually, my own team and also others. And so some of those examples are a particular female that I work with who was always preparing the bullet points and the talking points for her supervisor. And I said, what you need to do is find the conference where you become the speaker, where you sit on the panel, and what you need to do is ask to be invited to that panel and then ask if you can not only attend but to be the speaker.

So, really, to push people to do things that they wouldn't have otherwise done. 

Kiran: Thank you. Yeah. I think that's a very important insight to make, especially sometimes. I guess tough love is the best way to go. I'm not saying that what you're doing is tough love, but you can't always coddle people, especially if you want them to grow into more experienced professionals or just better people overall. 

Rachel: Absolutely. 

Kiran: My next question is that it must be interesting to lead as a woman across different countries and cultures, and how has that experience been for you? What are some differences? Between the U. S. and maybe certain countries in Latin America?

Rachel: That's a good question. I think being a listener is important, and understanding the needs and objectives of others is very important, and I think that that applies to making a decision now as CRO, but also in terms of finding solutions, because oftentimes, it isn't black and white, our decision making as CRO, and in the deals that we put together. So oftentimes, understanding how we can achieve a win-win is really important.

So I find in different cultures people have different styles as individuals, but also you talk about, you know, how does somebody approach a negotiation. Sometimes, in our culture, it could be being very direct. And in other cultures, it isn't so direct. So that's why I think being a listener is important, but also trying to remember that to achieve a win-win, you have to generate ideas and alternatives that could work for both.

Kiran: Thank you. Yeah, I think that's a very important observation to make, especially since you can't go into another culture believing that they have to follow your way of doing things, as opposed to really figuring out how to adapt to theirs. 

Rachel: It's a good point. I think absolutely. As Americans, we tend to be very direct and that can be actually good in business, but it can add to conflict.

And I think that's really important. It's, I can say no, and I can say no as I smile, but I also think it's important if you have to say no to explain why you have to say no. And making sure that there's mutual understanding in how we make our decisions. 

Kiran: Right. Thank you. And, just looking back on your whole entire career, is there anything that you would have done differently?

Rachel: That I would have done differently? Perhaps I wouldn't have actually worried so much. You know, I worry sometimes about the decisions I make because I know that the decisions I make affect others and have an impact, and I think it's really important, you know, so I think the decisions also truly weigh on me, but I would have owned it a little bit more.

And I think being confident, and again, it goes back to making sure that the views that I take and the decisions that we make are well founded. And that's why both doing the analysis and making sure that the decisions you make are well founded and then you have to own them, you have to own them. 

Kiran: Thank you. And I mean, I think it's very important to point out that you really can't worry that much because, in hindsight, it's never as bad as you thought it was, would be, or anything like that. 

What's the best advice that you've ever received? Either in terms of your career or just your life, and how has it impacted you?

Rachel: So the best advice I have ever received, and actually the advice that I give to all the mentees, is truly to be proactive and also to manage up and across. So, being proactive is really important. So, not just waiting until the work arrives at your desk, but making sure that you're always being proactive.

Is there more that you can do? Is there more that you can contribute? And I also want to talk about managing up. Something in my career that I think I always did differently, and my advice at any level, is managing up: what does the senior manager need to know and do, and whether that means having the bullet points and the analysis prepared, having the recommendation all ready to go. And that's what I mean by managing up. It's always very important. 

But I also think managing across. So managing across people use, I think, information as a way to control the conversation. And for me, I need to make sure, and I always try to make sure that I use information and I share information because it makes us a better team, and so I think managing across is really important as well, and I think people who are the most successful people are people who are able to manage teams across an organization well. So I think for me, when I look at the risk team, it's not just us as a risk team, but it's a risk across our organization. And that's the advice that I would give people Truly about managing up and managing across and being proactive. I don't think there are enough people in the career space who will truly say, what else can I do?

To make a difference. And I think that's what separates a lot of people, not just in my organization, but in career development, and people who grow in their careers are these people who really strive not only to do their job but to do their job and more than their job. And again, to make a difference.

Kiran: Thank you. I think that's very important to point out, especially because you can't just do what's expected of you and then expect to kind of move forward or move up in your career when all you're doing is the bare minimum. I think it's very important to take note of. And, I mean, do you have any final advice for girls who are interested in pursuing your specific career or anything like that? 

Rachel: I do. You know, a career in finance and risk doesn't really just happen. Having said that, I do think careers in risk and finance, there are other skills besides the core technical skills of risk and finance that add enormous value.

And I can give you some of those examples where Strong communication is really important. There are a lot of people with technical skills who can't take that technical analysis and drive it through to communicate the so what. The so what: what are your findings? What are your conclusions? So people can do the work, but they cannot bring it home.

So, the strong analytical skills and the strong communication skills that you grow in high school and college are really relevant to careers and risk and finance. And again, when you see people who are leaders in those fields, they're not only technically sound, but they're able to communicate what they know, how they know it, and their decision-making.

And so I would also emphasize that the skills that you need in risk and finance today are the traditional technical skills: math and science, but you also need the analytical, communication, and writing skills. And the writing skills. And those things are core competencies that will also add value to the full package of a girl and a woman in finance.

And so for those girls and women who don't think they belong at the table because they don't necessarily think, okay, I have all of those hard technical skills. They need to realize that their analytical skills are really equally important. And so, for me, when I was early in my finance career, it was my analytical skills that brought me further along.

I started with international development and then added on the MBA to continue to grow my technical skills. And my early career was analyzing transactions in Latin America from the financial, development, economic, and impact perspectives. And so I think that gone are the days when you can only see the field of finance.

I think that the career track is truly merging a variety of skills, and to be the most successful in our field, you need to have all those skills. 

Kiran: Thank you. Yeah, I think it's very important to note that in order to succeed, you have to have an intersection of not only those hard skills but also the soft skills as well. Thank you so much for joining me today. I really enjoyed this conversation. You bring a really unique perspective, especially with your international experience and your overall journey. 

Rachel: I'm happy to be here. 

Kiran: Thank you so much for joining me on today's episode of Women Who Earn. I hope to see you next time.