Richard Buxton described the recent vote to leave the EU as “not good news.”
He was speaking during the Old Mutual Global Investors landmark post-referendum event today. It was hosted by Mishal Husain and during a live discussion she spoke to panel members: Buxton, Head of UK Equities; Simon Murphy, Head of UK Large Cap; and, Richard Watts, Manager, Old Mutual UK Mid Cap Fund.
Husain kicked-off with the news that prior to the vote, a OMGI survey of 1000 advisors showed that 72.5% said that the vote would go with the Remain camp.
Buxton started the discussion by making a “huge apology,” admitting that he felt that the eventual outcome had always been highly unlikely. He went on to say that it was a protest vote and “not good news.” He echoed a commentary from the Financial Times which stated that the vote for BREXIT was probably the single worse decision since the second world war. Buxton also expressed the fear that the economy could grind to a halt and it will feel like a recession.
Murphy supported Buxton’s views and said it was early days after a seismic shock, and that we are entering a period of uncertainty. Watts said that their job, as fund managers, was to determine what would be the likely effect of slowdown, which may not be a recession, but definitely a slowdown.
However, one theme that all three agreed on, is that there are many buying opportunities out there.
The debate is available online.