UBS after Brexit vote: limit exposure to UK gilts, sterling, stocks
The recommendation comes after British lawmakers defeated Prime Minister Theresa May's Brexit divorce deal by a crushing margin, triggering political chaos that could lead to a disorderly exit from the EU or even to a reversal of the 2016 decision to leave.
Market volatility will not subside until a concrete conclusion to the process emerges, said Dean Turner, UK economist at the division of the bank following the vote.
"We do not advocate investors take directional views on sterling, gilts or UK stocks while this clarity void remains so large," he said.
"Within existing portfolios, investors would be wise to limit any UK exposure at benchmark levels." (Reporting by Josephine Mason Editing by Gareth Jones)
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
ALSO READ
Lawmakers in Peru pass latest pension withdrawal proposal
Lawmakers in Peru pass latest pension withdrawal proposal
House Speaker Mike Johnson is working with the White House to push forward Ukraine aid efforts
Russia, Germany, UK urge restraint as Iranian threat puts Middle East on edge
Ukraine says Russian drone attack damaged energy infrastructure in south