Brexit?

With the date of the referendum on the possibilty of a Brexit being named as 23/06/2016 I thought I would look at the possible effects on investments in the event of a yes vote.
There would certainly be a dip in the UK equity & Bond markets and there may be a wider reaching ripple effect on global market volatility but particularly in Europe.
The longer term view remains uncertain but there is a strong expectancy to increase the UK’s trade with economies outside of the UK which may prove to be a counter balance to any trade lost to economies within the EU.
There is of course another possibilty which may not be an outright exit whereby a vote to exit could lead to further negotiations to try and obtain a better deal for the UK to remain in the EU, this was alluded to by Boris Johnson in his speech which was on air this morning.
From a private investors perspective I feel any long term investment objectives should remain the same in terms of exposure to risk & asset allocation. However investors who are looking at the short to medium term may want to alter their asset mix and reduce their exposure to risk to calm nerves and deal with the expected short term volatility.

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