With the October 31 deadline for a Brexit withdrawal rapidly approaching, it is increasingly clear that there is no political consensus for the terms under which the United Kingdom would exit from the European Union. It has been suggested that, while 52% of British citizens voted in favor of Brexit in June 2016, increasing awareness of the cost of Brexit has bolstered the case for a second referendum.
At this writing, it is evident that the eventual outcome of the Brexit issue is unpredictable. Accordingly, investors might want to be very careful in assessing the potential risks associated with investment strategies pertaining to the United Kingdom.
All comments and suggestions are welcome.
Walter J. Kirchberger, CFA