It has been three months since Britain voted to leave the EU, and much has happened in the UK since then.
Little, however, seems to have been decided around the actual terms of the Brexit. Recent coverage of the process has mentioned a ‘hard’ vs a ‘soft’ exit. We know what this means in relation to boiled eggs, but how does this affect our leaving the EU?
In plain terms, a ‘soft’ exit refers to agreeing some of the EU’s terms, such as a level of free movement for migrants, in return for a form of access to the European Union single market. A ‘hard’ exit approach takes an uncompromising stance, aiming to implement the key points of the Leave Campaign.
This week on MoneyTalk Simon, Penny & Jo will be discussing the pros and cons of each approach.
Tune in from 1pm on Friday (7th October 2016) on Channel Radio.
Are you unsure of the affect the Brexit could have on your finances? Facts & Figures Financial Planners have 20 years+ experience in the financial industry, and offer a free-of-charge initial consultation. Find out more here.
A note from Simon; Managing Director of Facts & Figures:
As I write the UK stock market is approaching record highs while sterling approaches record lows. The two events are closely related as the low value of sterling pushes up the value of the considerable foreign earnings of UK listed companies. Meanwhile employment levels are high – but much about BREXIT remains unknown. So, two key questions:
- Will BREXIT be hard (no single market) or soft (and include single market access)?
- Will BREXIT be good for the UK economy and jobs – or not?
We do now know that according to our new prime minister “article 50” will be triggered by March 2017. So, how does that impact your financial planning? For many years Facts & Figures has consistently advocated diversification. Our in-house portfolios have continued to deliver decent returns in turbulent times, and generally towards the lower end of the volatility scale. While there is no doubt that BREXIT will continue to cause volatility in investment markets for two or three years yet, our long-term strategy remains in place.
If you are looking for a safe harbour for your pensions or investments in these turbulent times – why not give us a call?