Emerging & Frontier Markets

Chatham launched Cygma in 2008 to provide foreign exchange risk management solutions to investors in developing markets. Cygma’s Market Solutions group provides currency and interest rate hedging solutions and its Advisory Services team provides risk management advisory services to hard currency denominated investors who seek to make local currency investment in developing markets. Cygma’s mission is to maximize the impact of commercial capital on the developing world by enabling foreign exchange hedging in markets where there is little to no liquidity.

Cygma derives from Chatham’s purpose-driven philosophy that places a strong emphasis on making a positive impact on the world. Leveraging Chatham’s 20 years of capital markets experience, excellent reputation for client services, and sophisticated technology infrastructure Cygma makes an impact by creating a comprehensive foreign exchange risk management solution for those who wish to invest in developing markets throughout the world.

Chatham developed Cygma in response to overwhelming market demand for currency hedging services that are specifically tailored to the needs of the microfinance and SME (small and medium sized enterprise) industries. Without such services, the rate of investment in local currency cannot increase or, worse still, these investments will remain concentrated in only those countries where the foreign exchange risk is minimal or can be hedged. Over time, we expect that the expertise Cygma is building by serving these first movers in microfinance and SME will benefit Chatham’s clients as they seek to expand into some of these developing markets. Read More