The financial field is often posed with significant risks, and financial professionals must always factor potential risks into the equation of any project they work on. To get a better idea of how you will do this if hired at State Street, your interviewer is giving you a chance to talk about your knowledge of risk and how you have worked with risk mitigation and risk avoidance in your previous positions. If new to the financial services field, it is important to show that you know that common risks can be systematic, operational, legal, and credit-related.
Risk management is an important principle for State Street, as their business framework emphasizes a strong corporate governance structure and sustainable practices that help mitigate risk down the line. As such, demonstrate to your interviewer your understanding of the connection between risk management principles that you might take as a State Street team member and the company's mission and values.