Crédito y Caución | The UK’s foreign trade remains scarce, and the main sectors of its economy are suffering from rising costs, more complex bureaucracy, and labour shortages. Five years ago, Brexit marked the beginning of a new era for Great Britain. The Trade and Cooperation Agreement introduced new regulatory barriers and customs controls with the European Union, but also the theoretical possibility of a British economy free to trade…
George Soros via Caixin | Europe’s leaders must seize the moment to push forward reforms that can reshape the EU into an organization that people want to be a part of. Until the British public voted to leave the European Union, the refugee crisis was the greatest problem Europe faced. Indeed, that crisis played a critical role in bringing about the greater calamity of Brexit.
After Standard Life announced on Monday that it had suspended withdrawals from its UK Real Estate Fund (2.9 billion GBP in assets), yesterday the whole sector (property funds), with assets under management of approximately 9 billion GBP, decided to follow suit. The two funds which stand out by size are: M&G Property Portfolio (4.4 billion GBP, the biggest) and Aviva (1.8 billion GBP).
James Alexander via Historinhas | Market Monetarists must hope that Mark Carney doesn’t seek to defend the pound, but let currency weakness do it’s magic, monetarily offsetting any expected economic weakness. A drop in the pound is not like a drop in the price of a company after a profit warning that reflects a weaker future.
Natixis AM | The upcoming UK referendum on EU membership appears to be a knife’s edge contest. Although financial markets have already felt some impact, if the vote produces an “out” result, global markets face additional turbulence this summer.