Market history · Currencies ·
Brexit: the UK votes to leave the EU
On 23 June 2016 the UK voted by about 52% to 48% to leave the European Union. Markets had priced in a remain victory, and sterling fell by more than 8% against the dollar on the day, to its lowest level since 1985, while UK bank shares dropped sharply.
Global equities recovered within weeks as the Bank of England cut rates and expanded asset purchases in August, but sterling stayed structurally lower for years.
The takeaway
Even well-polled binary events can surprise; positioning for a single outcome is a risk.
This is a retrospective about a past event, provided for general information. It is not investment advice, does not describe RockLake's positioning at the time, and past performance is not a guide to future performance. Read the risk warning.