In our webinar of 23 March 2023, Sam Fowler-Holmes and I looked at some common structures in trade finance.
When discussing structuring warehouse financing, we mentioned that one key mitigator of risk in such structures was the role of a collateral manager or stock monitor.
As an independent third party in any transaction where the sale of the inventory is the primary source of repayment of the financing a collateral manager or a stock monitor can provide an added layer of comfort to the financier.