Wednesday 14 May 2025
Stock markets are too complacent about the potential consequences of the UK’s historic vote to leave the EU, says Robeco’s Lukas Daalder.
Unipol Gruppo Finanziario SpA’s exposure to the Italian banking sector has made it the worst-performing stock in a sample of top European insurers and reinsurers since the U.K.’s vote to leave the EU roiled markets, according to data from S&P Global Market Intelligence.
Many fund managers expect performance and investment decisions to be affected, while institutional investors expect to commit less to the UK
Not good. The result of Friday’s Brexit vote precipitated dramatic changes in equity and currency risk, driven by higher volatility and substantial changes in correlation.
According to David Lafferty, Chief Market Strategist, Natixis Global Asset Management, event risks that are accurately, or close to accurately, priced are difficult to hedge on the fly...