Abstract: The financing options of a supply chain consisting of a well-funded manufacturer and a capital-constrained retailer are examined. The CVaR method is used to construct the risk-return model of risk-avoiding manufacturers and retailers under trade credit financing and core enterprise partial credit guarantee financing. The impacts of the risk-aversion degree of manufacturers and retailers and the ratio of credit guarantee provided by manufacturer on both parties' profits and financing choices were analyzed. The results show that the risk aversion of the manufacturer and the retailer has a negative impact on profits, and the benefits of both parties are more sensitive to the risk aversion of the manufacturer; the higher the guarantee ratio or the bank interest rate provided by the manufacturer, the higher the retailer's profit and the lower the manufacturer's profit. As the manufacturer's risk aversion and the proportion of guarantees provided meet certain conditions, both retailers and manufacturers will choose internal financing methods.

Key words: risk aversion, trade credit financing, core enterprise credit guarantee financing, financing choices