The impact that Brexit will have on asset prices remains unknown. At present, it appears that neither the credit nor the equity market are concerned, with regard to financials. Global economic growth remains robust and we forecast a relatively benign operating environment for companies in the UK and the Eurozone. But where are we finding attractive opportunities within the financials space?
The UK earlier this month unveiled its first Budget since the public’s vote to leave the EU last year. It was a largely uneventful statement, with many of the planned initiatives telegraphed to the press well ahead of the day. In fact, the most controversial element of the Budget was the plan to increase national insurance contributions for the self-employed, a move embarrassingly ditched just a few days later.