Brexit Investment Update June 2016

Good Morning,

The referendum in the UK has gone against most expectations with the leave vote gaining the majority on Friday. Accordingly sharemarkets have reacted to this uncertainty with widespread falls which is in line predictions about how a Brexit would affect investor sentiment. The full implications of the Brexit will only be realised over the next few months as the British government commences the unwinding of its relationships with the European Union countries.

While this event has impacted markets on Friday the view from some economists/market commentators is that once the true gravity of the situation becomes clear markets should return to normal conditions.

We have attached a great summary of the Brexit to this Note for those wanting more detail.