Automated FX Hedging
End-to-end automation of your FX risk management
From data collection to execution, through to reporting and audit, DeftHedge orchestrates a fully automated FX workflow aligned with your policy, enabling decisions that are fast, secure and measurable.
FX Cockpit & SmartStrategy: visibility, decisions, automated execution
At the heart of DeftHedge, the automation cockpit transforms your exposure data into executable decisions. Validated rules trigger hedges at the right time (multi-bank RFQ), reconciliation is automatic, and every step is fully traceable for audit. You remain in control with Auto modes.
Benefits
Save % of your time — no more repetitive tasks or manual rekeying.
% fewer errors — upstream quality checks and consistency rules.
% full traceability — complete and exportable audit trail.
A fully automated 4-step process
DeftHedge automates end-to-end foreign exchange risk management: from exposure collection to Spot/Forward execution, through to monitoring, reporting and audit, all fully aligned with your hedging policy.
With SmartStrategy, your hedging rules (thresholds, hedge windows, rolling, stop-loss/take-profit) are continuously evaluated. When conditions are met, Spot/Forward hedges are automatically triggered via RFQ, then reconciled without rekeying, with full audit trail and executive KPIs. You remain in control at all times thanks to Auto modes.
Key takeaways: configurable and replicable rules by entity/BU, safeguards and approvals. Best execution driven by criteria such as price, limits and capacity.
1. Automatic collection & centralisation of exposures
What the platform does
-
Retrieves data from ERPs, TMS and business tools (API, secure deposits, CSV/XLSX files).
-
Ingests continuously or in batches with quality checks (format validation, etc.).
-
Automatically aggregates by entity, currency, maturity, counterparty, and type of flow (order, invoice, budget, forecast).
-
Instantly detects new exposures and significant variations.
2. Highly configurable rule engine (SmartStrategy)
Functional setup
Define trigger thresholds, ratios, tolerances, target maturities and min/max limits, then apply them by profile (entity, BU, region, currency, product) with replication of the group policy. Configure time dimensions: hedge windows, frequencies and rolling schedules.
Simulation and backtesting
Assess the impact on P&L, cash flow and Budget vs Actuals, and test market scenarios within your environment. Compare results before/after deploying a rule and track its effectiveness over time.
3. Automatic Spot and Forward execution
Triggering without intervention
The platform automatically applies validated hedging rules for both spot transactions and forward contracts. In automatic mode, it generates the corresponding orders and issues alerts as soon as a predefined threshold is reached.
Execution
When conditions are met, the solution requests quotes from your banks and selects the one that best fits your criteria (price, limits, capacity). It manages both overall hedging and transaction-level micro-hedging (flow by flow) whenever required by your policy.
Straight-through processing
Each transaction automatically receives an identifier and the required reference data; enrichments are generated by the platform without any rekeying.
Execution indicators
Monitoring relies on dedicated KPIs: execution gain (vs benchmark), automation rate, average processing time, and success rate of RFQ requests.
4. Monitoring, lifecycle & continuous optimisation
Reconciliations and recurring operations
Exposures and hedges are automatically reconciled (matching keys, tolerances), while netting, rollovers and adjustments are applied according to predefined rules. Positions are revalued daily at fair value, with impacts on P&L and cash flow.
Steering and indicators
Dashboards tailored by profile (Finance, Treasury, Procurement, Audit) track Budget vs Actuals, residual exposure, CFaR/VaR, maturity profile, execution efficiency and automation rate. Parameters adjust dynamically in line with market conditions and the effective realisation of flows.
Need Operational Assistance
DeftHedge assists you in putting your FX risk management into practice.
Connectivity / Interoperability
DeftHedge interfaces with major accounting tools, ERP systems, banks, and cash management software.
