Britain Backs Boris (except is was actually England). More likely Can’t Countenance Corbyn.
It matters not very much why the Tories have their majority for investors, because the key consequence is the probability of getting an actual Brexit is now that much greater. What that means in the long run is for us to ponder.
The Pound has climbed in value, which will devalue those parts of our portfolios in other currencies, as least for a short while. Fortunately there is good news on the US/China trade talks to compensate. European markets also seem pleased with the prospects of clarity on Brexit.
To balance that, the real UK domestic stock market (ie outside of the FTSE 100) has shot up early today, again as I expected, benefiting holding in UK smaller companies funds and probably value funds too.
We now need to think about what happens over the next 12 months. The first step in breaking the deadlock in British politics and what was oppressing the British economy is now past. What comes next could be quite different to what the electorate is expecting. I will put on my thinking hat.
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