A capital markets approach to trade finance

Opportunities for Investors

Invest in working capital finance assets with Raistone. Robust originations, best-in-class diligence collection practices, and end-to-end servicing capabilities combine to bring investors a one stop shop for investing in trade finance assets.

Partner with Raistone

Raistone actively originates and services structured trade finance transactions, onward selling the originated assets to banks and non-bank institutional investors, such as asset managers, hedge funds, family offices, and retail platforms.

 

We provide investors access to deal flow across a range of industries and credits. We are a large player in the non-investment grade space and structure each opportunity to fit both the needs of our clients and investors, with short tenors averaging from 2 weeks to 180 days. Fill out this form to download the Raistone Investor Guide.

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An attractive asset class for
institutional participants

Compelling macroeconomic tailwinds 

Trade finance presents a compelling multi-trillion-dollar investment opportunity for institutional investors seeking attractive sources of risk-adjusted returns with low correlation to traditional asset classes. The market dynamic has shifted as banks have pulled back funding for trade finance programs due to a heightened regulatory environment. Meanwhile, supplier payment terms continue to be extended, and increasing interest rates have led to cash flow challenges for supply chains, all of which is contributing to a financing gap of over $2.5 trillion, according to the Asian Development Bank

 

Trade finance, including programs such as supply chain finance and accounts receivables finance, is indispensable to global trade as it steps in to play a key role in facilitating more accessible financing to a broader subset of companies up and down the supply chain. Against this backdrop, along with better collaboration between trade finance platforms, fintech firms, and investors, the use of trade finance solutions is expected to grow 10% annually through 2031, according to the ICC Trade Register Report.
 

Why invest in trade finance?

Uncommitted: Participant may stop purchasing new assets at any time.

Short tenor: Self-liquidating over defined average 14 to 180 days revolving payment cycles.

No mark-to-market risk: No risk of capital depreciation during spread widening events.

Negligible interest rate risk: Floating rate self-liquidating investments with low duration risk.

Low Default Rates: Exposure-weighted default rate for supply chain finance instruments over the period 2008 – 2021 was 0.24%, according to the Asian Development Bank.

Uncorrelated: Trade finance exhibits low or negative correlation with other asset classes such as equities or bonds.

High priority of payments: While rent/loan payments can typically be deferred, payments to suppliers are vital for continued operations and are typically made by asset-holding OpCos.

Accurate and verifiable historical trade payment data: Data available to evidence on-time historical payment history for each credit.

Attractive returns: Asset class generates alpha and historically positive risk-adjusted returns. Typical programs yield mid-teens per annum.

Low credit risk: Exposure limited to defined payment cycle tenor.

Why invest with Raistone?

Deep Industry Experience: Raistone is led by a team of industry experts who have decades of experience in structured trade finance and working with institutional investors.

 

Institutional Support: Backed by equity investments from leading institutional investors including a large regional bank, a $30 billion family office, and a $900 billion wealth manager.

 

Diverse Deal Pipeline: Raistone actively originates and services structured trade finance transactions, funding a current run rate on average of over $1 billion of receivables per quarter across a diverse customer and industry base.

 

Robust Servicing Capabilities: Raistone facilitates the collection of diligence materials, provides ongoing risk monitoring, reporting, daily reconciliations, and flexible legal structures across jurisdictions to help ensure investment quality while supporting investor peace of mind on nearly $8 billion in transactions.

 

Fully integrated trade finance platform: Technology-led trade finance platform consolidates all sales, operational, and distribution activities.

Ready to diversify your investments into working capital finance assets?

Raistone was born with the vision of equalizing access to working capital and meeting the demand for structured finance on a global scale. As a world leading fintech, Raistone enables the financing of billions of dollars in transactions every year.

 

Tell us a little more about yourself and your investment needs, and someone from our team will be in touch.