Products: Software risk management
Overview: DeftHedge is a SaaS reporting and decision-support solution for managing FX and commodity risk in business. The application structures all relevant information and business know-how to automate the process of monitoring and managing financial risks.
The objective is to enable users to measure and control negative market variations, to make information more reliable, and to homogenise reporting while saving time in the implementation of strategies.
DeftHedge offers users:
- Reporting: by integrating management data (forecasts, invoices, settlements, and transactions) directly from the client’s information system, it is possible to monitor exposures and the transaction portfolio, and to report on FX positions via a range of information and dashboards.
- Management: the methodology used in DeftHedge to hedge risk consists of framing the risk with a favourable and unfavourable scenario. The latter is built with stop losses and take profits that enable users to obtain projections and establish a roadmap to defend their price in the worst case and generate gains if the market is well oriented. Pricing functionality enables users to build a strategy by modelling the operations that could be implemented. A simulation of the impact of these operations on the real position helps in the decision-making process. It also allows for the control of bank margins through market information.
- Accounting: the tool calculates the accounting exchange rate impacts and facilitates the matching of invoices on hedging operations. Where applicable, it also provides full IFRS reporting with other comprehensive income (OCI)/P&L impact and sensitivity, mark to market run-off and IFRS entries.
- Simulation: the Smart Strategy simulator suggests hedging strategies according to predefined management constraints, speeding up the creation of new hedging strategies. It also offers visualisation of the impact of a new strategy on exposures.
- Interoperability: users can connect their accounting, ERP or cash management software to the DeftHedge application in order to streamline processes and avoid input errors. It’s also possible to connect bank and multi-dealer platforms to DeftHedge to facilitate the processing and reconciliation of FX transactions.
Active region(s): Europe, Africa
Elevator pitch: “DeftHedge is a SaaS reporting and decision-support solution for managing FX and commodity risk in companies. The application structures all relevant information and business know-how to automate the process of monitoring and managing financial risks.
The objective is to enable our users to measure and control negative exchange rate variations, to make information more reliable, and to homogenise reporting while saving time in the implementation of strategies.”
Email: [email protected]
Phone: +33 6 63 16 66 50
TMI view: A SaaS solution capable of providing all the information to manage and make robust FX and commodity risk management decisions.
Verdict: A welcome one-stop FX and commodity risk management platform.