What Does the Brexit Mean for You?
As you are surely aware, the United Kingdom voted yesterday to leave the European Union. There are a number reasons that are being floated for why the people of the UK would vote for this; primarily the belief it will slow or stop immigration and the perception that they would gain more control over their budget. This vote has already lead to the UK Prime Minister’s resignation, and most likely a series of other headlines will follow in the coming days. The ramifications of this vote will be difficult to predict. It will weaken, for now, the economies of the EU and UK and we will see plenty of volatility in global markets. Of course, here at Sound Financial we are focused on how this will impact our clients, so let’s take a look.
The volatility this vote will bring will be nothing new to the US markets this year, which have seen quite a bit of volatility in the past several months. This volatility has led our Rules Based models to be in a more conservative mode year to date. We intend to maintain this conservative mode while closely watching our Rules to determine if or when an adjustment will be needed. The beauty of the Rules Based strategy is it prevents knee-jerk reactions to news cycles and helps maintain a strategy based on data and not emotion. Of course the Brexit will have ramifications because the EU is one of the US’s largest trading partners, and the UK is a close ally, but no one really knows yet the long term impact it will have on US and global markets. We would welcome any of our clients that have concerns about the Brexit or our Rules Based Strategy to contact us and discuss it with one of our financial advisors.
Investment advisory services offered through Sound Financial Strategies Group, Inc.("SFSG"), a Registered Investment Adviser. Securities offered through Comprehensive Asset Management and Servicing, Inc., ("CAMAS") Member FINRA/SIPC. SFSG and CAMAS are separate and unrelated companies. The opinions voiced in this article are for general information only. They are not intended to provide specific advice or recommendations for any individual and do not constitute an endorsement by CAMAS. The information presented is general in nature and is not intended to provide specific advice or recommendations for any individual and does not constitute an endorsement by CAMAS. There are no guarantees that any managed portfolio will meet its intended objective.
Posted on Mon, June 27, 2016
by Sound Financial