A North East-based independent financial adviser has seen its clients’ investment portfolios grow by up to 25 per cent in light of the UK’s decision to leave the European Union.
One year on from the historic referendum in which the British public voted to leave the EU, Explore Wealth Management, which has its headquarters in Cramlington, Northumberland, has reported that its clients who have speculative investment portfolios have seen them grow by a staggering 25.39 per cent, while clients who invested more cautiously have seen growth of 12.91 per cent.
In the immediate aftermath of the EU referendum, which took place on 23 June 2016, there was a fall in the British stock market, which seemed to confirm fears that a vote in favour of Brexit would be bad for British businesses.
However, statistics show that since the market re-stabilised, the FTSE 100 Index has actually grown by 23.8 per cent which has been incredibly positive for the UK’s stock market.
Stephen Sumner, managing director at Explore Wealth Management, said:
“Against all odds, it’s been a fantastic year for our clients’ investments and for the business as a whole.
“The ‘Brexit bounce’ as it has come to be known has helped us to win many new clients who have all been interested in jumping on the investment band wagon.
“The bounce has been caused by a fall in the value of the pound compared to most foreign currencies. While this has led to a sharp increase in the price of imports, the upshot of this has been to make the cost of British exports more competitive, so cheaper exports mean more profit, meaning dividend payment and share prices go up and a higher return for investors.
“There is a growing feeling among financial analysts that being a member of the EU has actually held the UK economy back and that the market is likely to flourish when we go it alone, but I suppose we will have to wait and see!”
Voted one of the Top 250 IFAs in an independent survey conducted by VouchedFor in 2016, Explore Wealth Management provides professional, tailored financial advice on investments, pensions and retirement plans.
With almost 40 years’ experience in the financial services industry, the company prides itself on its straight-talking, honest approach to financial planning and has to date helped over 300 clients across the North East to manage their finances and plan ahead for the future.
To find out more about Explore Wealth Management, visit: www.explorewealth.co.uk.