What we are reading this week - Brexit focus

I'm sharing a selection of articles that caught our eye at the Chief Investment Office. This week, we have made a selection of opinion articles about what the Brexit could mean both for financial markets and geopolitics. 

We don't necessarily agree with all the views expressed in these articles, but I find it always useful to challenge our own. 

Kenneth Rogoff : "Britain’s Democratic Failure"

Rogoff finds it hard to believe that a decision of enormous importance for the UK, leaving the EU, has been made without appropriate checks and balances. The hurdle should have been much higher. Link to article 

George Soros: "Brexit and the Future of Europe"

Soros believes Brexit will unleash a series of negative forces, but by doing so, it will also encourage people to join their forces to reconstruct a new Europe. Link to article 

Mark Stanford: "After Brexit, only one thing can keep Britain together: the Norway model"

The way for the UK to stop what Standord describes as a "balkanisation" is to opt for the Norwegian model. Link to article 

Carmen Reinhart: " Brexit’s Blow To Globalization?"

Carmen argues that the fallout from Brexit probably won’t spread as quickly as in outright financial crises, but the aftereffects also won’t subside anytime soon. Link to article

 Robert Greifeld: "The Overblown Brexit Market Panic?"

Greifeld is more optimistic. Stocks are already settling down. Maybe people realize that Britain could become a free-trade model, comments Greifeld. Link to article (requires login) 

In the CIO, we believe that while the main risk  is financial contagion, central bankers are conscious of their role in containing it and the markets will probably recover for the volatility. We see most risk assets end the year higher than today. How do you feel Brexit can impact your portfolio six months from now?

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