P+P advises fintech startup 21strategies on seed financing round

The startup was just founded recently, namely at the beginning of March 2020, by Yvonne Hofstetter, Christian Brandlhuber and Scott Jon Muller. The three founders continue to hold a majority stake in the company.

HEDGE21^TM, 21strategies flagship offering, is based on machine learning and calculates mathematically optimal hedging strategies in real time and offers this information to treasurers and CFOs for making hedging decisions. The solution's core is that, in the future, a hedging decision will no longer be made by people, rather by a cognitive machine, which also monitors the consequences of such a decision in real time. If the markets become more volatile, HEDGE21^TM informs the treasurer of a reasonable adjustment to the earlier decision. Until now, the decision on when and to what extent to conclude hedging transactions was made manually and mostly based on the decision makers' long-term professional experience. 21strategies now wants to close this gap in the otherwise primarily software-supported hedging process.
For risk analysis, the command and control system (C2) HEDGE21^TM combines external information, such as interest rates, inflation rates, BIP growth and geopolitical developments provided by the markets, with in-house parameters established by the individual hedging process or the hedge policy of a company.

P+P Pöllath + Partners advised 21strategies GmbH on all legal and tax matters related to the financing round with the following team:

• Eva-Juliane Stark (senior associate, lead, venture capital, Berlin)
• Tarek Mardini (partner, co-lead, venture capital/private funds, Berlin)
• Tobias Jäger (partner, M&A, IP/IT law, Munich)
• Dr. Nico Fischer (partner, tax law, Munich)