Buxton: Brexit “not going to happen”

Added 21st April 2016

Brexit should not concern investors because it is “simply not going to happen”, according to Old Mutual Global Investors chief executive Richard Buxton.

Buxton: Brexit “not going to happen”

While many wealth and fund managers have taken a more defensive stance in recent weeks ahead of the referendum vote, the Old Mutual UK Alpha Fund manager pointed to bookmakers’ odds which have remained 2/1 on for the UK to remain part of the EU.

“The British electorate is in inheritably conservative – with a small ‘c’ – so you should ignore the polls and focus on what the bookies say because they are invariably always right,” he said.

He added: “Market jitters, ahead of the EU referendum vote on 23 June, are at complete loggerheads with what UK company bosses are telling us.”

Co-manager Ed Meier backed up Buxton’s view, acknowledging that UK Alpha Fund is not positioned to outperform should Brexit occur.

The fund is currently languishing in the UK All Companies sector, having lost 11% over the past 12 months, its performance dragged down by its financials exposure.

Recent changes include the sale of Reed Elsevier (sold at 20x earnings having been bought at 12x) and Unilever.

The managers are sticking with Lloyds, its share price having been boosted by its special dividend in February, while having conviction in “recovery stories”, Tesco, Ladbrokes and Debenhams.  

Kames Income Hub


Vincent McEntegart, manager of the Kames Diversified Monthly Income Fund, explains how he aims to deliver a stable and sustainable income of 5% p.a.*, paid monthly, by investing in a range of asset classes

Square Mile Research

Lazard Emerging Markets
Lazard Emerging Markets

Talking Factsheets is a video service for users...

Visitor's Comments Add your comment

Add Your Comment

We won't publish your address

About Author

Gary Shepherd


Portfolio Adviser

Gary joined Last Word Media in 2009, becoming editor of Portfolio Adviser a year later. Previously, he worked at Incisive Media with roles across its Professional Adviser, Investment Week, Bloomberg Money and Mortgage Solutions titles. Gary has been shortlisted for various awards, winning Headline Money Investment Writer of the Year in 2010.



Investment Strategy




PA Channel Island 2016
PA Channel Island 2016

8th November 2016
The Royal Yacht, Jersey


17th November 2016
The Andaz

PA Emerging Markets 2016
PA Emerging Markets 2016

1st December 2016
The Mayfair, London

Sponsored Content

Investment Strategy