Now the real work begins…
Our take on our role in the world as we leave Europe.
The European Union exit negotiations.
We are blessed with great clients, and one of them kindly forwarded a video clip of a German politician speaking to the EU in Brussels explaining that the UK leaving the EU was, potentially, an economic catastrophe and the EU should negotiate with the UK in good faith.
She went on to explain that the contribution from the UK has been equal to the 17 smallest nations therefore the financial base of the EU has shrunk from 27 members to 10 or fewer.
She also points out that Germany will pay the largest amount to rectify this loss of revenue.
So the point I am making is simply that we can assume that the Europeans will be aggressive in arriving at a trade agreement and the terms finally agreed will not please everyone in the UK
The USA’s stance on Brexit and a “great” trade deal
The goodwill on both sides to agree on a new trade deal is being strained by the UK allowing Huawei to provide part of our 5G network.
The USA’s concern is that we will be open to security breaches.
Despite this we still expect the US and the UK to agree to a far-reaching and valuable trade deal.
The UK’s productivity
Lags behind that of the USA and Germany and has done for years.
For the UK to grow its Gross Domestic Product after 10 years of very low growth, we must increase the skills of the workforce and to innovate and automate our production processes. This will take at least two terms of government to change but if we are to compete in the world, we must modernise our production processes.
Boris, your verdict?
Is he indecisive or merely open to new ideas?
The job is now testing his character and it is too early to tell whether he really has the ability to connect all the parts that need connecting and to graduate from motivating sound bites to effecting real change for the good of the whole country.
HS2
Looks as though it will be approved but we should build from the North down and leave the South until last.
The NHS
The three biggest issues are
- Applying the extra money promised to actually change results.
- Accelerating the speed at which patients are seen. Whether Accident and Emergency or long term patients, we must be able to access the service we need more quickly.
- Connecting patients when they leave the hospital to long term care services in the community.
Helping the whole country expand its skills.
It’s obvious that the potential of our population is underutilised.
We agree with the view that there is talent throughout the UK and that government must invest more in releasing the ability of our entire population.
So what about our investments?
The greatest opportunities still lie in good quality global companies.
For those seeking an even higher return, there are three sectors that currently offer above-average returns and that, of course, a potentially higher risk. Nonetheless, they are an exciting option for the more adventurous. They are…
- Financial Technology funds
- Global Technology funds
- Global Infrastructure plans
All offer the potential for exceptional results.
Your current investment funds
You can rely upon us to continue to check their performance and research alternatives as needed.
The future value of investments
We expect greater growth for the UK economy over the next 10 years.
It is never wrong to hold good quality shares in well managed collective investments such as those run by Terry Smith (Fundsmith) and Nick Train (Lindsell Train) and we expect, by the end of the year, our client investments should have grown well above inflation.
Finally, our potential
At a truly historic moment, when we withdraw from a committee of 28 nations to chart our own course, do we have the potential to succeed?
I believe we do. With the freedom to choose how we conduct our affairs, we look to release the potential within each of us to be more than what we are today.
Anything is possible and we will discover that we have the potential to achieve great things for the good of our country and the world at large as we return to plotting a new course in world affairs. The future is bright.