FX risk management firm launches with VNG backing

Instantia founders Danny Pezeshki (left) and Richard Poulton / Photo credit: Instantia

In a report by the Association of Chartered Certified Accountants, just 51% of MSMEs surveyed said they monitored FX risk exposure at least weekly. They cited the complicated nature of FX risk monitoring, as well as a lack of knowledge on how to do so, as some of the main hindrances.

With the backing of Vietnamese tech major VNG, finance experts Richard Poulton and Danny Pezeshki, launched Instantia, which aims to simplify this process.

Based in Australia, the new startup offers updated market information to help companies with financial planning.

According to Instantia, outdated paper-based systems has made it hard for financial teams to view updated market data. The company aims to simplify this by combining market intel from Bloomberg Intelligence, in-house data modeling, and quantitative analysis to forecast positions its clients may hold in the forex cash market.

“As a business that operates in global markets, VNG sees Instantia as a key partner for international businesses like us, helping to tailor hedging strategies to fortify against the inherent volatility of currency markets,” said Raymond Tan, CFO of VNG.

A spokesperson for Instantia told Tech in Asia that VNG and Instantia’s management team are “equal owners” of the venture, though they did not specify how much VNG had invested in Instantia so far. The spokesperson added that the FX risk management firm has plans to expand into other key markets, though they did not disclose any specific locations.

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