SMEs lose billions every year because many banks struggle to service this client base operationally which make it expensive. As a result, most small businesses still avoid hedging altogether, not because they don’t need it but because the industry has never bothered to build something usable.
Alt21 is changing that. And now, through Temenos Exchange, banks running on Temenos can deploy fully automated FX hedging and cross-border payment solutions directly into their core systems – fast, cheaply and at scale.
This is the first time banks can give SMEs a guided, self-service multi-currency experience that actually matches how small businesses operate: simple, transparent and available 24/7.
What this integration really delivers
Alt21’s cloud-native API automates the entire hedging lifecycle, with no operational drag, from onboarding and pricing to execution and settlement. Banks get a plug-and-play engine that removes the friction and cost that usually kills SME adoption.
That means no more manual spreadsheets.
No more opaque risk processes.
No more “FX hedging is only for our larger clients” excuses.
Temenos banks can now offer hedging tools that feel as intuitive as making a payment because the whole process is embedded within the SME’s banking experience.
The commercial upside is obvious: better retention, stronger SME engagement, new revenue streams and a dramatically lower cost-to-serve.
The SME problem the industry ignored
Foreign currency exposure drains profits from SMEs every day through hidden fees and wild market swings. Most know they need a strategy. Most still don’t have one. The truth is that SMEs overwhelmingly recognise FX risk, yet a big majority still don’t use hedging services1.
This isn’t a demand problem. It’s a supply problem.
Banks simply haven’t been able to offer solutions that SMEs can understand, trust or afford at scale.
Alt21’s platform fixes that. It gives banks a ready-built, automated hedging infrastructure that helps SMEs protect margins without needing a treasury team or a financial dictionary.
Why we built this
Since 2017, Alt21 has been developing advanced FX technology for its FCA-regulated subsidiary, building tools sophisticated enough for brokers but accessible enough for SMEs. That work exposed the real gap: banks needed a way to deliver these services end-to-end without building everything from scratch.
So, Alt21 built a dedicated banking technology division with the key objective being to make FX hedging mass-market and bank-native. With Temenos, that ambition goes global.
“We’re excited to have secured funding from a diverse group of investors who share our vision. In an increasingly volatile world, the pricing strategy of banks, brokers and fintechs remains opaque and expensive, there is an urgent need for a transparent, efficient alternative. We have been overwhelmed and delighted that so many experienced investors recognise the potential of the company and want to be involved.
Our newest solutions for business with recurring FX transactions are faster, more cost-effective and involve less steps than traditional providers – think of it like the Stripe for Hedging. We have developed our platform based on methods used by prolific high-frequency leading HFT trading firms which dominate the most sophisticated end of the FX market.”
Director of Innovation and Ecosystems at Temenos
A step-change for SME banking
Temenos Exchange brings new capabilities to market faster and at global scale. Combined with Alt21, banks get an almost universal hedging solution built for modern core systems.
The integration gives banks functional, technological and commercial wins in one move: automated pricing, automated settlement, lower development cost, faster rollout and an SME offering that finally matches the pace of real business.
“At Alt21, we’re on a mission to use technology to make financial services more accessible, transparent and affordable to businesses worldwide. We’re bent on providing a highly-automated service that cuts cost and complexity in a critically important area – protecting small businesses against high currency exchange fees and cross-currency fluctuations.
With the biggest majority of small businesses still operating solely in the banking ecosystem, our collaboration with Temenos is highly strategic step in our mission to become the hedging solutions partner of choice to banks in +150 countries running on the Temenos platform.”
CEO at Alt21
- Credit Suisse: “Hedging – Letting SMEs Focus on Their Core Business”
