06.24.2016

Statement from Head of Research at Axioma on Brexit Outcome

06.24.2016

“Given the Brexit vote outcome, firms must be prepared for ongoing market volatility. Based on Axioma’s stress testing scenarios, there’s a possibility that we’ll see a decline of up to 24% in UK equities over the next two to three months based on historical analysis. The impact will be felt well beyond the UK as there is strong correlation with other markets such as the US. Additionally, should a Brexit have a contagion effect and lead to demands for referendums in other European countries, we may hypothetically see further market volatility. As a result, globally, firms must be prepared to quickly analyze the ongoing risk scenarios posed by Brexit.”

ABOUT BILL MOROKOFF

Bill Morokoff will oversee a global team of experts, and is tasked with continued expansion of the firm’s multi-asset class and equity investment research leadership. He was previously Managing Director, Head of Quantitative Analytics at Standard & Poor’s Ratings Services (“S&P”) since 2006, where he led the firm’s Global Quantitative Analytics and Research Group.

Before S&P, Morokoff was with Moody’s KMV since 2000, most recently serving as Senior Director, Acting Head of Research. Prior to that he was a Vice President at Goldman Sachs in the Firm-Wide Risk Department working on market risk in the Quantitative Modeling Group.

Related articles

  1. Brexit Vote Could Affect Emerging Market Flows

    Review of trading desks found that incoming banks did not yet retain full control of their balance sheets.

  2. UK Launches Asset Management Review

    UK has a greater market share than pre-Brexit for on-venue execution of GBP interest rate swaps.

  3. AFME Warns on ‘Brexit’

    Recognition has been temporarily extended until 30 June 2025.

  4. The trade repository has been providing UK services since the first business day after Brexit on 4 Jan 2021.

  5. Brexit Muddles Future of UK-EU Linkage

    European firms could operate temporarily in the UK after Brexit while seeking full authorisation.