Finverity, a supply chain finance platform focussing on emerging markets, has rolled out fund management functionality for the supply chain finance sector. Institutional investors and fund managers operating allocations using segregated accounts can connect to Finverity via this fund management feature.
The move addresses a key gap in the supply chain finance market.
As investor allocations in supply chain finance are often routed through multiple intermediaries or fund managers, industry fragmentation has occurred and there is a lack of both standardisation and visibility throughout the money chain. The consequences of this are reduced reporting accuracy and transparency across allocations.
According to Finverity, the banking sector’s traditional role as the main provider of supply chain finance funding has resulted in an absence of suitable infrastructure for channelling growing flows from private capital into supply chain finance, especially mid-market companies in emerging markets.