Collateral management services are one method of securing a loan with physical commodities. A collateral management agreement is formed between the financing party, the borrowing party or the owner of the commodities and UT Logistics, as collateral manager.
“Collateral Management (by Collateral Manager) envisages management of physical Collateral (an Asset) or a third-party commitment accepted by the collateral taker (Lender) to secure an obligation of the collateral provider (Borrower).” Benefits for our Clients Borrower-specific and collateral-specific systems for monitoring and control
Monitoring & control mitigates risk and improves asset quality
Credit risk reduced to performance risk and mitigated by collateral manager
Customized, on-line information flow at periodic intervals
Generates early warning signals from the ground enabling prevention of defaults
Excellent Advisory services
Origination of credible and tradable paper based on Collateral Manager’s documents |