DIVERSE AND FLEXIBLE FUNDING

How we are funded

Sourcing and supplying vital resources to customers globally is capital-intensive.

Access to diverse, scalable and flexible sources of funding is essential for our ability to purchase commodities and finance their onward distribution to our end customers.

OUR FUNDING MODEL

Our three-pillar funding structure

Trafigura’s funding model combines diverse sources, such as banks, corporate bond markets, trade finance facilities and institutional investors. It allows us to maintain financial strength and resilience even in volatile markets.

APPROACH TO FUNDING

How we fund our business

We raise financing across a variety of markets in the US, Europe and Asia-Pacific. We manage our business in a manner consistent with an investment grade credit rating and we match the type of financing to the business requirement. We communicate with our financial stakeholders openly and regularly, including through the publication of financial and sustainability reports.

DIVERSIFICATION

Diversification improves competitiveness and capital access

Our funds are raised from different markets globally, with lending agreements in place with around 150 banks worldwide. We have flexibility in terms of repayment schedules, spanning short-term to long-term facilities. All funding arrangements comply with relevant sanctions.

OUR APPROACH

Matching funding with collateral reduces credit risk

We ensure our financing aligns with business needs by following a three-pillar funding approach. Short-term financing supports trading, secured by physical commodities. Weekly adjustments reflect the changing value of the collateral. Long-term debt is raised to finance fixed assets and investments.

Transparency promotes stability

As a private company relying on debt for operations, Trafigura undergoes thorough evaluation by numerous global banks. We adhere to financial covenants tied to our syndicated bank facilities and maintain regular meetings with our banks and capital market investors.

How we are funded

Our three-pillar funding structure

How we fund our business

Diversification improves competitiveness and capital access

Matching funding with collateral reduces credit risk

Transparency promotes stability

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