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How will you vote on June 23?

  • Leave

    Votes: 30 27.8%
  • Leave but unlikely to vote

    Votes: 0 0.0%
  • Stay

    Votes: 68 63.0%
  • Stay but unlikely to vote

    Votes: 6 5.6%
  • Undecided but will vote

    Votes: 3 2.8%
  • Undecided and unlikely to vote

    Votes: 1 0.9%

  • Total voters
    108
  • Poll closed .
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Some amount of guff written here about banks moving. The same guff that was written when Britain declined to join the euro. I believe Frankfurt was to eclipse London utterly...

European banking (and indeed much of the world outside the US) is dominated by LMA standard documentation and English law, banks have vast capital expenditures in moving, and much of their business doesn't require an EU presence per se, especially as they can then chuck MiFID, AIFMD etc.

This is obviously horribly off-topic, but in the interest of balance: I've been told on an off the record basis by numerous institutional investors that the vast flow of EU capital into the UK is very much at risk if Britain leaves the EU. Make of it what you will, but if there's little European investment coming into the UK it makes absolute sense that firms will move significant chunks of their operations to territories that will see such activity - particularly non-EU businesses using London as a base for their European operations. It may or may not be true for the rest of the economy but the financial sector is very much at risk.
 

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This is obviously horribly off-topic, but in the interest of balance: I've been told on an off the record basis by numerous institutional investors that the vast flow of EU capital into the UK is very much at risk if Britain leaves the EU. Make of it what you will, but if there's little European investment coming into the UK it makes absolute sense that firms will move significant chunks of their operations to territories that will see such activity - particularly non-EU businesses using London as a base for their European operations. It may or may not be true for the rest of the economy but the financial sector is very much at risk.
I've heard through the grapevine that some of the big US banks are considering dumping their EU operations all together. There will be big pressure from hedge funds and the like to abandon the single market altogether so as to rid themselves of the regulatory burden of brussels.
 

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I've heard through the grapevine that some of the big US banks are considering dumping their EU operations all together. There will be big pressure from hedge funds and the like to abandon the single market altogether so as to rid themselves of the regulatory burden of brussels.

US banks I cannot comment on. US alternative investors (so private equity firms, hedge funds etc) are doing exactly the opposite at the moment due to extremely high multiples currently changing hands for US companies. European multiples are often half their US equivalents. And on an institutional investor basis, there's a lot of attraction to markets such as Spain where they perceive the market to have bottomed out. I haven't spoken to a single investor who has mentioned EU red tape.
 

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Riverside South | Canary Wharf | 236m/189m | 45/37 fl | Cancelled

Switzerland has strong financial centres outside the EU.

Switzerland is very popular among a very specific type of financial client. I'll let you fill in the blanks.

And Zurich is not London, New York or Hong Kong.
 

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I certainly opened a can of worms after making a very flippant (and tongue in cheek) remark earlier - how serious everyone is ! was soon chastised by someone who was clearly hyper-fastidious about my wording - oh dear:eek:hno!
 

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SE9, you're great at posting content here, but you really are appalling biased and bigoted when it comes to politics.

UBS is building a major new office in the City, a move which has been seen as a sign of its intent to keep substantial operations in the UK regardless of whether or not British voters choose to stay in the EU in the upcoming referendum.
UBS-chairman-Brexit-will-not-undermine-the-City-of-London
 

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And I say that as someone who is pro-EU.

Swiss banks not liking EU regulation is one of the main reasons Switzerland isn't in the EU in the first place.

And you don't need to be physically based in a EU country to do business with its financial markets. UBS has the majority of its staff in Switzerland, even though Switzerland accounts for about 5% of its business.
 

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SE9, you're great at posting content here, but you really are appalling biased and bigoted when it comes to politics.
Your assertion above isn't worthy of a response, other than to call it a joke.

Or it's because they are regional headquarters.
In simple terms it's because Switzerland, outside the EU, doesn't have access to the single market with respect to financial services. Therefore those Swiss banks conduct significant operations from London, which serves as their regional hub, and not Zurich. Eg. Credit Suisse from Canary Wharf.

UBS signed for 5 Broadgate before an EU referendum was considered as a Conservative manifesto pledge. The UBS chairman's prior statement hinged on his 'belief' that the UK upon Brexit would get a 'favourable deal' with respect to financial services.

However, the same UBS chairman said more recently:

“The U.K. will have limited access to the EU’s financial services if it leaves the Union,” he told BBC Radio 4, adding that firms would have to consider moving employees “so that they can deal with clients who are EU-located.”

“It’s not as if that is an easy task,” he said, adding: “There are many issues that will not hit the headlines but that will be difficult to negotiate once you lose membership status.”
Brexit would restrict access to EU banks: Axel Weber
 

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Ah of course. That's why the Bank of England, the vast majority of business owners and the CBI want to Remain. They are all well known for wanting to burn money aren't they?
 

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It appears to be the case, polling of members of the Confederation of British Industry (CBI), British Chambers of Commerce (BCC), Institute of Directors (IoD) and Federation of Small Businesses (FSB):

 

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Add to this, the fact that in a report from two weeks ago 67% of private equity professionals want to remain and more than 70% believe Brexit will have a negative impact on investment over the next two years. Private equity being an industry that primarily invests in the small-cap and midmarket.
 

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Agreed, but small businesses still (appreciate its a smaller majority) want to remain in the EU. Besides, large businesses still make up 40% of employment by businesses with approx. 10,000,000 employees, and thus carry just as much importance as small businesses anyway, even if there are far more small-medium sized businesses. Source: http://researchbriefings.files.parliament.uk/documents/SN06152/SN06152.pdf (Pg. 5 in particular)
 
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