UK residents may be concerned with how Brexit will affect investment opportunities. The withdrawal agreement was not overly kind to the finance industry, and Boris Johnson has stated that he was not completely happy with some parts of it. So, what is the outlook after Brexit?
How Could Brexit Affect Investment Opportunities?By large, investing in stocks, gold, currencies, and other popular assets will remain as accessible as before the UK left the EU. Online platforms offering any UK residents to make their own investments will continue to operate in an almost identical way.
You will still be able to open most trades like before, and popular trading platforms have been contacting their customers to make them aware of this.
Iinvestment Opportunities After BrexitThere may be some concern that Brexit can have a negative impact on the markets. This is not an unfounded claim as The Financial Times has reported that €6bn of EU share dealing left London to other European destinations on the first day of trading in 2021.
Nevertheless, there are still fantastic opportunities after Brexit. Here are some examples of where they could be:
1. Forex Trading
Brexit could mean the value of currencies will change more dramatically as events similar to those mentioned in the above report unfold. Trading in Forex Markets could become a fertile ground for successful traders to make money in the next months.
2. Pharmaceutical Companies
The companies creating vaccines to combat COVID-19 might not be making a profit on their work today. Still, their work undoubtedly catapults them into the frame for future business, while simultaneously boosting their reputation. This is why stock investors are now looking to these pharmaceutical companies for long-term investing.
3. Renewable Energy
The renewable energy portfolios in copy trading are performing remarkably over the long-term too. For example, the current renewables portfolio on eToro made profits in excess of 60% this year. With the UK Government committed to creating more renewable energy through wind farms, and reducing diesel vehicles, this could become a worthwhile investment on our own shores.
4. Cryptocurrency
The value of cryptos is a complex and murky area, which even the best investors can struggle to predict. However, crypto is unlike other financial opportunities as it is not specifically tied to a geographical location. Thus, values might be affected by Brexit, but it doesn't cause any red tape. You might be more inclined to look at crypto investment after Brexit considering Bitcoin is trading at all-time highs.
Will My Investments Remain Protected After Brexit?Yes, before the UK left the EU, all investments made by UK residents were protected by the Financial Conduct Authority (FCA) to a certain amount. As UK residents trade on UK versions of investment platform sites, their assets will continue to be protected by the FCA, even if the platform originates from an EU country.