CMA � Commodity-Backed Asset Protection
Our Collateral Management services (CMA) secure pledged goods used as collateral for trade finance facilities. Through continuous verification of quantity, quality and storage conditions, GSI enables financial institutions to safely extend funding backed by physical commodity assets.
With extensive experience in commodity collateral management, we provide the independent oversight and verification that banks and traders need to mitigate risks and ensure compliance with financing agreements. Our services protect all parties involved in commodity-backed financing transactions.
Our CMA Scope Includes
- Independent stock verification (initial and periodic)
- Daily / weekly stock reconciliation reporting
- Warehouse condition audits
- Collateral tagging, sealing and traceability records
- Segregation monitoring & blending prevention
- Release instruction control
- Pledge compliance certification
Benefits for Banks & Traders
Our collateral management services provide comprehensive protection and transparency for all parties involved in commodity-backed financing. Through independent verification and continuous monitoring, we help reduce risks and ensure compliance with financing agreements.
Reduced Double-Pledging
Risks
Reduced exposure to double-pledging risks through independent verification and continuous monitoring of pledged assets.
Transparent Stock
Reporting
Transparent stock reporting aligned with finance contracts, providing clear visibility into collateral status and movements.
Real-Time Visibility
Real-time visibility into pledged asset condition with auditable third-party verification for regulators and stakeholders.
Frequently asked questions
Collateral Management (CMA) is a specialized service that secures pledged goods used as collateral for trade finance facilities. Through continuous verification of quantity, quality and storage conditions, we enable financial institutions to safely extend funding backed by physical commodity assets while protecting all parties from risks.
We conduct initial and periodic independent stock verifications to confirm the quantity and quality of pledged commodities. Our inspectors physically count, weigh, and assess the condition of collateral assets, providing detailed reports that banks and traders can rely on for financing decisions and ongoing monitoring.
We provide daily or weekly stock reconciliation reports that track all movements, releases, and changes to pledged collateral. These reports ensure transparent stock reporting aligned with finance contracts, giving banks and traders real-time visibility into their collateral position and helping prevent discrepancies.
We prevent double-pledging through collateral tagging, sealing, and comprehensive traceability records. Our segregation monitoring ensures pledged goods remain separate from non-pledged inventory, while our release instruction control system ensures collateral can only be released with proper authorization from the financing bank.
Our warehouse condition audits assess storage facility suitability, security measures, temperature and humidity control, pest management, fire safety systems, and overall compliance with commodity storage best practices. We ensure that pledged assets are stored in conditions that maintain their quality and value throughout the financing period.
Yes, we provide pledge compliance certification and auditable third-party verification documentation that meets regulatory requirements. Our independent status and detailed reporting provide the transparency and accountability that regulators, auditors, and financing institutions require for commodity-backed lending programs.
