The key points to know about Brexit
The possibility of a ‘leave’ vote in this week’s Brexit referendum creates asymmetrical risks for investors, says Charlie Jamieson, Executive Director at Jamieson Coote Bonds. “It’s not only the initial one-off shock, we don’t know what system will replace the marriage that we have between the UK and the EU.” Odds are indicating that Britain in likely to remain in the EU, but the downside risk is significant is the ‘remain’ campaign fails. “There has been no Plan B that’s been announced with the referendum vote. There can’t be a Plan B announced because it does justify the leave campaign.” If the ‘leave’ vote succeeds, he says a sell-off in the Sterling of around 25%, and a similar move in the Euro, is possible. Watch the full video below to find out how he thinks investors should be positioned coming up to the vote.