Is Alpha Group a good buy?

Alpha Group helps clients manage risks such as foreign exchange. After being promoted to the London Stock Exchange, does the stock still rally?

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The technology surrounding banking and finance is changing all the time. While this has largely been good news for the technology companies and the larger banks, some smaller firms have also been able to carve out a niche for themselves. One of these is Alpha Group International (LSE: ALPH). Alpha focuses on using technology to help companies and institutions that operate across borders, particularly when it comes to foreign exchange (forex) risk. This is important because forex fluctuations can have a big impact on a firm’s bottom line if it is paying for goods and services in one currency and selling them in another. 

Managing such risk can be time-consuming and complicated. However, Alpha has pioneered a bespoke online platform for its customers. It allows for a large part of the process to be automated and facilitates a range of cross-border services, from opening accounts to assessing clients’ credit risk. It also helps them keep track of their funds. This technology is already proving a hit: the currency risk side of the business now has 1,047 clients.

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Dr Matthew Partridge
Shares editor, MoneyWeek

Matthew graduated from the University of Durham in 2004; he then gained an MSc, followed by a PhD at the London School of Economics.

He has previously written for a wide range of publications, including the Guardian and the Economist, and also helped to run a newsletter on terrorism. He has spent time at Lehman Brothers, Citigroup and the consultancy Lombard Street Research.

Matthew is the author of Superinvestors: Lessons from the greatest investors in history, published by Harriman House, which has been translated into several languages. His second book, Investing Explained: The Accessible Guide to Building an Investment Portfolio, is published by Kogan Page.

As senior writer, he writes the shares and politics & economics pages, as well as weekly Blowing It and Great Frauds in History columns He also writes a fortnightly reviews page and trading tips, as well as regular cover stories and multi-page investment focus features.

Follow Matthew on Twitter: @DrMatthewPartri