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Investing in companies Pre-Brexit

13

Comments

  • Malthusian
    Malthusian Posts: 11,055 Forumite
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    azza987 wrote: »
    Yes I do believe Britain leaving the eu will effect certain companies for better or worse. If you can't say anything helpful, encouraging or positive, why say anything at all?

    We told you not to lose money by churning your portfolio trying to predict how one specific insignificant localised event will affect share prices that have already priced it in. If you think not losing money is unhelpful then I'm afraid you're on the wrong forum. Try the Daily Telegraph or the ADVFN forums.

    You are not going to find a magical Amazon share that will go up by 1,000x on Internet forums. Virtually nobody had more than a handful of shares in Amazon when they were £1.79, that's why they were £1.79.
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
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    A_T wrote: »
    Only the probability of specific outcomes is priced in i.e. no deal, soft Brexit, remain, etc.


    A fair point, the consensus of all those views is whats priced in. But that doesnt help the OP who wants share tips for companies that will specifically do well out of Brexit (whatever that actually turns out to be including no Brexit ! ).
  • Linton
    Linton Posts: 18,540 Forumite
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    A_T wrote: »
    It certainly will but we don't know how yet as the outcome is uncertain. That's why it might be best to avoid specific shares and invest in a global fund.


    And when we do know what BREXIT is, so will all the big traders and the price of those shares will have changed well before most small investors can do anything about it.
  • A_T wrote: »
    It certainly will but we don't know how yet as the outcome is uncertain. That's why it might be best to avoid specific shares and invest in a global fund.

    From a global perspective Brexit is to a large extent a zero sum game - eg if the UK companies lose export markets then foreign companies will pick up the sales, so yes global funds is the way to go
  • Alexland
    Alexland Posts: 10,561 Forumite
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    azza987 wrote: »
    I guess buying shares is a mugs game, no point in buying shares in amazon in 1997 for £1.79 each.

    It's easy to look back and pick from the survivors but the problem is that in 1997 it wasn't obvious that Amazon was any better an investment than the thousands of other dotcom companies competing for investment. Many more people will have picked the losers than the winners.

    The UK based dotcom company I worked for in the late 90s (one of my first jobs) was completely gone in about 3 years - probably a 100% loss of tens of £millions to its investors. One of their big ideas was making us sit on spikey chairs so working there was a pain in the....

    Alex
  • As soon as an outcome is known (soft, hard or medium rare) and the uncertainty diminishes (perhaps quite quickly), I expect a correction of some sort (similar to 2016) followed by a rally, whichever way it goes.
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
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    Wildsound wrote: »
    As soon as an outcome is known (soft, hard or medium rare) and the uncertainty diminishes (perhaps quite quickly), I expect a correction of some sort (similar to 2016) followed by a rally, whichever way it goes.

    A correction in what ?
  • A_T
    A_T Posts: 975 Forumite
    Part of the Furniture 500 Posts Name Dropper
    Wildsound wrote: »
    As soon as an outcome is known (soft, hard or medium rare) and the uncertainty diminishes (perhaps quite quickly), I expect a correction of some sort (similar to 2016) followed by a rally, whichever way it goes.

    It's not hard to predict what might happen in certain scenarios:

    Hard Brexit (no deal) = UK-listed shares fall (except multinationals like BP, BATS, etc), sterling falls (value of foreign investments rises so people like Rees-Mogg do very well :wink: )

    Soft Brexit = sterling rises, UK-listed shares rise (except multinationals like BP, BATS, etc)
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
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    azza987 wrote: »
    no point in buying shares in amazon in 1997 for £1.79 each.

    When did Amazon first report a profit?

    How did the investors in LastMinute.com fare?

    Hindsight isn't a great tool for investing. Everyone is trying to find tomorrow's winners .
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
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    From a global perspective Brexit is to a large extent a zero sum game - eg if the UK companies lose export markets then foreign companies will pick up the sales, so yes global funds is the way to go

    Over 92% of UK companies don't export.
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