10 years after Britain voted to leave the European Union, new analysis from trading and investing platform IG shows European stocks have outperformed UK equities, driven by a deeper pool of high-growth winners in sectors such as semiconductors and biotech.
The study compared the performance of the FTSE 350 and STOXX 600 from referendum day on 23 June 2016 through to June 2026. It found that an investor who put £10,000 into the FTSE 350 on referendum day would today have around £22,830 once dividends are included. The same investment in the STOXX 600 would now be worth approximately £24,740.
While European shares outperformed, the gap was narrower than many might expect because of the strong contribution from UK dividends. The FTSE 350 generated a total return of 128%, compared with 147% for the STOXX 600. On an annualised basis, UK equities returned 8.6% per year versus 9.4% for European shares.
Table: Stock market performance since Brexit referendum
| Market | Price Return | Total Return | Annualised Total Return |
| FTSE 350 | +59% | +128% | +8.6% |
| STOXX 600 | +81% | +147% | +9.4% |
Europe’s biggest winners left the UK behind
A key driver of Europe’s outperformance versus the UK was the number of high-growth stocks on the continent. While the UK produced exceptional performers such as Games Workshop, Europe generated a larger cohort of winners tied to some of the defining investment themes of the past decade, including semiconductors, artificial intelligence, biotech and defence.
Biotech firm Argenx was the strongest performer in either index, delivering a total return of 6,600% since the Brexit referendum. It was followed by semiconductor equipment manufacturers BE Semiconductor Industries (3,110%) and ASM International (+2,900%). Defence giant Rheinmetall (2,300%) and defence technology specialist Kongsberg Gruppen (2,410%) also featured among Europe’s biggest winners.
The UK’s standout performer was Games Workshop, whose shares returned 6,470% over the same period. Other leading UK performers included Antofagasta (1,100%), Allianz Technology Trust (+1,090%) and Polar Capital Technology Trust (+1,040%).
Table: Top-performing stocks since the Brexit referendum
| FTSE 350 | Total Return (inc. dividends) | STOXX 600 | Total Return (inc. dividends) |
| Games Workshop | +6,470% | Argenx | +6,600% |
| Plus500 | +1,610% | BE Semiconductor Industries | +3,110% |
| Antofagasta | +1,100% | ASM International | +2,900% |
| Allianz Technology Trust | +1,090% | Kongsberg Gruppen | +2,410% |
| Polar Capital Technology Trust | +1,040% | Rheinmetall | +2,300% |
| Diploma | +877% | Zegona Communications | +2,000% |
| Pan African Resources | +844% | Swissquote | +1,870% |
| Goodwin | +843% | ASML | +1,780% |
| Morgan Sindall | +802% | Abivax | +1,500% |
| Lion Finance | +799% | Evolution | +1,420% |
“Nearly a decade on from the Brexit referendum, the stock market verdict is that Europe has come out ahead. Investors who backed European equities enjoyed stronger overall returns, helped by the rise of some of the continent’s biggest success stories in semiconductors, biotech and defence.
“The composition of the winners is particularly telling. Companies such as Argenx, BE Semiconductor Industries, ASM International and Rheinmetall benefited from some of the defining investment themes of the past decade, helping to drive Europe’s outperformance. At the same time, UK investors had more limited exposure to several of the period’s biggest growth stories, including Arm, whose post-listing gains accrued largely outside UK equity indices.
“That said, the gap between the two markets is smaller than many might expect. UK investors have still seen their money more than double over the period thanks to a combination of capital growth and dividends, showing that British equities continued to deliver solid long-term returns despite navigating one of the most eventful periods in modern market history.”
Chris Beauchamp, Chief Market Analyst at IG
