View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
June 22, 2018updated 25 Jun 2018 10:09am

Brexit referendum’s impact on wealth management – two years on

By Mishelle Thurai

 Research from the Share Centre has revealed 75% of personal investors said the EU referendum has had a positive impact – or made no difference to their investments in the two years since the vote on 23 June 2016.

This figure compares to 86% of personal investors expecting a negative impact or no difference to their investments when asked the same question prior to the referendum.

Despite their relatively positive experience to date, the Share Centre said personal investors’ concerns have not completely dissipated.

A total of 60% of those asked believe the lead-up to leaving the European Union will have a negative impact on the stock market, and over a third (35%) said they are already changing, or are planning to change, their investing behaviour in the lead up to the 29 March 2019.

On one of the key topics currently under debate – whether or not the UK Government should be negotiating to remain in a Customs Union arrangement with the EU post Brexit, the Share Centre said personal bankers are evenly divided as to whether leaving without such an agreement will have negative economic consequences or whether trade agreements with other nations will offset any negative impacts.

Philip  Smeaton, chief investment officer at Sanlam UK, took a different tone and said The Brexit process so far has been “typified by uncertainty”.  

Smeaton said: “Two years on since the vote to leave the European Union – and with just over a half a year to go to the leave date of March 29, 2019 – we are still no clearer on what kind of deal the United Kingdom and remaining members of the European Union will strike.

“Certainly, the economic picture doesn’t look as bleak as many had predicted in the lead-up to (and immediate aftermath of) the vote in 2016. However, it’s important to remember that all the processes is still very much up in the air.”

Smeaton added: ““It’s not really clear what kind of Brexit the government are pushing for. And this is one of the central concerns for many of our clients, who often tells us that a lack of clarity on Brexit tops the list of concerns they have for their future financial security.”

 

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Private Banker International