A sterling rally could hit UK investors' returns because most independent financial advisers and wealth managers have not hedged foreign currency holdings into sterling. Investors in foreign assets profited when sterling fell sharply after the Brexit vote in 2016. However, the opposite will happen after the UK leaves the the CIO of Tavistock Wealth, regardless of how, said Christopher Peel, EU. Peter Sleep, a senior investment manager at 7IM, explained that government and corporate bonds are systematically hedged but equities are not. Peel said the Financial Conduct Authority is aware of the risk but lacks the power to address it.
A sterling rally could hit UK investors' returns because most independent financial advisers and wealth managers have not hedged foreign currency holdings into sterling. Investors in foreign assets profited when sterling fell sharply after the Brexit vote in 2016. However, the opposite will happen after the UK leaves the EU, regardless of how, said Christopher Peel, the CIO of Tavistock Wealth. Peter Sleep, a senior investment manager at 7IM, explained that government and corporate bonds are systematically hedged but equities are not. Peel said the Financial Conduct Authority is aware of the risk but lacks the power to address it.