Managing & Mitigating risks when investing in Receivables
WOA free to attend webcast
Open Account Receivables continue to be an important alternative asset class for a wide variety of investors.
Investment Models: There are many familiar, traditional investment models to choose from. And, recent technological innovation and shifts in regulation have created new models alongside traditional channels:
- Direct Investment in an invoice finance operation
- Investing in a securitization SPV
- Buying receivables originated on Fintech platforms
- Joining a traditional, or FinTech-based receivables finance programme (e.g. SCF or Embedded Finance) as a committed / longer term investor partner
- Emerging distributed ledger based platforms
Risks: These different models all come with their own type of risks, directly related to the performance of critical counterparties, and the underlying receivables themselves, such as:
- Fraud
- Buyer insolvency
- Data integrity
- Default / Delinquency / Dilution
- Seller performance and insolvency
- Operational performance of critical counterparties
Control & Mitigants: Our panel will give an overview of the different risks and discuss best practices for evaluation, monitoring, and mitigation, such as:
- Monitoring and reporting
- Data Analytics
- Back Up Servicing
- Insurance
- Payment control
There will be plenty of opportunity for attendee interaction.
