Assure Hedge Raises €2m For UK Growth

26 Feb 2019 | 03.33 pm

Assure Hedge Raises €2m For UK Growth

IFG Group founder Richard Hayes also joins the board

26 Feb 2019 | 03.33 pm

Assure Hedge, an Irish-owned currency hedging company, has raised just over €2m in funding. It follows on from an additional €500,000 investment received from the newly appointed chairman of the board, IFG Group founder Richard Hayes.

Assure Hedge was established in 2016 by former derivatives trader Barry McCarthy (pictured). The firm is based in the CHQ Building in Dublin.

McCarthy’s business provides SMEs trading internationally with FX and hedging products that would ordinarily be the preserves of larger corporates.

Assure Hedge has been fully authorised by the Financial Conduct Authority to operate in the UK since March 2018. The business is fully regulated in Ireland and in 31 other countries across Europe.

Detail on who was involved in the €2m Assure Hedge investment have not been revealed yet. Previous investors in the business include Enterprise Ireland (€250,000) and NDRC (€30,000).

New board chairman Richard Hayes, meanwhile, is also chair of Cork financial services firm Global Shares.

“Assure Hedge provides a unique low-cost protection against currency volatility that can be of benefit to practically every company worldwide which deals outside its own currency jurisdiction either as an exporter, importer or service provider,” said Hayes.

Assure Hedge will use the additional investment to expand its UK presence. “Assure Hedge is now a MiFID authorised broker for currency options authorised to conduct business in 31 European countries and also regulated to hold client money,” CEO Barry McCarthy explained.

“This is an important development for Assure Hedge and a major coup for the company’s management team. The next stage in regulatory approval, which is well underway, is Assure Hedge’s application under the Payments Services Directive.”

Assure Hedge, which recently signed two partnership deals with currency players in the UK, plans to raise further investment in mid-2019.

In the 12 months to March 2018, Assure Hedge booked a loss of €495,000, bringing accumulated losses to €634,000. The company’s debtor book value was €700 and it had year-end cash reserves of €197,000.

Four employees were on the payroll in Assure Hedge in FY18. The company plans to add more staff this year.

 

 

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