Brexit

Learn how you could trade the market volatility caused by Brexit - and hedge your share portfolio and exposure to sterling- with the world's No.1 provider.1

Tips for trading Brexit

Tips for trading Brexit

Set price-change alerts to notify you of significant movements

Cap your maximum risk by placing guaranteed stops on your positions

Consider hedging your portfolio with GBP exposure or other asset classes

Be ready to go long or short whenever opportunities arise

Why trade Brexit with IG?

Deal GBP/USD from just 0.9 points

Go long or short on a range of currency pairs including all major GBP, EUR and USD crosses

Free risk protection

Our guaranteed stops only incur a fee when triggered1

Best FX provider in Singapore2

Access a range of major, minor and exotic pairs – including EUR/GBP

Choose from a range of price alerts

Stay informed of market movements with percentage and point-based price alerts - exclusive to IG

How to trade Brexit?

You can trade on any Brexit news or developments by trading financial markets such as shares, forex pairs and indices. Many of these assets will be highly sensitive to the outcome of negotiations during the transition period, with the FTSE 100, UK stocks, GBP/USD and gold all likely to experience some movement.

CFDs enable you to profit from markets that are falling as well as rising, giving you plenty of opportunity to capitalise on volatility without ever having to take ownership of the underlying asset.

How will Brexit affect GBP?

How Brexit affects GBP will depend on the state of negotiations during the transition period, which ends on 31 December 2020. The UK will attempt to ‘roll over’ the existing free trade deals that are in place between the EU and other countries, such as Canada. It also has the task of negotiating a new trade deal with the EU, which will take effect once the transition period ends.

The UK will remain a member of the EU customs union during the transition period – so GBP could behave much in the same way as it has since the 2016 referendum. This means the pound will likely remain volatile, especially given the possibility of new trade deals with the US and other leading global powers.

How do I hedge Brexit risk?

You can hedge your Brexit risk by opening positions that will turn a profit if the assets you own start to lose money. With IG, you can hedge against:

Share portfolio risk

We enable you to go short on major indices and over 12,000 shares, so you can protect your entire portfolio from downside risk.

Sterling volatility

We offer forex pairs including GBP/USD, EUR/GBP and GBP/EUR, enabling you to insulate yourself from currency risk.

Use our platform tools to stay ahead

Guaranteed stops

Take control with free guaranteed stops, which only incur a fee when triggered.1

Price alerts

Set alerts with the only provider to offer percentage and point-based monitoring.

Indicators

Stay ahead of volatility with indicators including average true range and Bollinger bands.

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Deal seamlessly, wherever you are

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Open an account now

Fast execution on a huge range of markets

Enjoy flexible access to more than 17,000 global markets, with reliable execution

Deal seamlessly, wherever you are

Trade on the move with our natively designed, award-winning trading app

Feel secure with a trusted provider

With 45 of experience, we’re proud to offer a truly market-leading service

Start trading now

Log in to your account now to access today's opportunity in a huge range of markets.

Markets to watch during Brexit

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Prices above are subject to our website terms and conditions. Prices are indicative only. All shares prices are delayed by at least 15 mins.

How will Brexit affect the FTSE 100, UK shares and gold?

  • Indices
  • Shares
  • Gold

How will Brexit affect the UK stock market?

The impact of Brexit on the UK stock market largely depends on the outcome of any trade deals between the UK, the EU and other countries around the globe. The degree of access to international markets that these deals grant will have a direct effect on the UK stock market.

What share opportunities will Brexit bring?

The continued volatility surrounding Brexit and the transition period provides plenty of opportunities for traders looking to go long or short.

The list below includes some shares which could increase in value if trade negotiations are successful. They are domestic UK shares, so leaving with new trade deals in place would cause the least damage to their interests:

  1. Persimmon (PSN) – is one of the UK’s largest new home builders, with considerable operations across the UK
  2. Travis Perkins (TPK) – is the UK’s largest builders’ merchants, supplying over 23,000 trade products to many companies which consider it a go-to for building supplies
  3. Lloyds Banking Group (LLOY) – has primary operations in England and Wales, so stands to gain from a smooth transition

How will Brexit affect gold?

As ever in times of uncertainty, investors look to commodities such as gold to provide a haven. After experiencing a spike following the initial referendum in June 2016, gold’s price has largely settled over the last couple of years. That is not to say that it couldn’t spike again, especially given the uncertainty surrounding the next steps for the UK’s departure.

FAQs

The volatility caused by uncertainty during the Brexit negotiations offers a wide range of opportunities to realise a profit.

CFDs is a popular way to trade underlying market volatility because they enable you to go long or short without taking ownership of any underlying assets.

You can stay up to date with Brexit’s impact on the financial markets through our comprehensive collection of Brexit news, alerts and trade ideas.

Find out more about IG’s news offering

Create an account

Take a position on how Brexit is affecting the FTSE and the pound.

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1 A small premium is payable if a guaranteed stop is triggered.
2 Awarded the best forex provider in Singapore by the Global Brands Magazine in 2020

IGA, may distribute information/research produced by its respective foreign marketing partners within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

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