Originally Posted by Bermudashorts (Post 12071176)

The FTSE isn't in dollars so that is also moot. Obviously it will have dropped if you want to make an arbitrary conversion into dollars.

The fall in the pound may have made shares cheaper for overseas investors, but the main investors in UK listed companies will be UK entities and shares did not become cheaper for them on June 24th.

Originally Posted by Bermudashorts (Post 12071176)

For the overseas investors, well the shares they have bought since June are worth less to them every day at the moment because they will ultimately have to cash them in in pounds and then use pounds to buy back their own currency. So if overseas investors are buying UK stock in droves then the overseas investors must also expect sterling to recover. (As do I).

Originally Posted by Giantaxe (Post 12071179)

No, the majority of investors are overseas. The fall in the pound is therefore anything but moot:

ONS statistics on UK share ownership - Business Insider



As do I - eventually. Essentially buying UK shares at this point is a punt on sterling.

Originally Posted by Bermudashorts (Post 12071197)

I didn't say the fall in the pound was moot. I said converting the FTSE index into dollars was moot as UK shares are in £ not $.

Originally Posted by Bermudashorts (Post 12071197)

So FTSE up, sterling expected to recover. All looking good for OP

Originally Posted by Giantaxe (Post 12071213)

No. If one is thinking of converting dollar assets into Uk shares, converting the FTSE index into dollars most certainly isn't moot; it's what you're making your judgement call on as to the value of those shares versus other assets. A major reason FTSE shares look attractively priced to such buyers right now is that the index is lower in dollar terms than it was at the beginning of the year.



Which assumes that the FTSE will remain "up" if and when the pound recovers.

Originally Posted by Bermudashorts (Post 12071218)

The exchange rate alone would be sufficient to indicate to an overseas investor that they might be able to buy UK stocks on the cheap.

Originally Posted by Bermudashorts (Post 12071218)

Looking at an arbitrary conversion of the FTSE index into $ at two different points of time is clouding two distinct features of underlying business performance and exchange rates which would be better considered separately.

Originally Posted by durham_lad (Post 12071338)

:popcorn:

Originally Posted by nun (Post 12070781)

HMG said that a few weeks ago, but speeches at the Conservative conference from hard Brexit fans like Liam Fox have put those rights back on the table as a bargaining chip. This is probably why Hollander was so tough in his speech yesterday

Originally Posted by BritInParis (Post 12071016)

Only because the EU wants to show it's willing to play hardball to stop others from considering jumping ship. It's just both sides wanting to be billy big bollocks. Transitional arrangements for existing residents will be the first thing to be agreed come April.

Originally Posted by Novocastrian (Post 12072272)

Quite. Can we just accept that the whole thing is an almighty f*** up?

Originally Posted by Novocastrian (Post 12072276)

Hollande. He's French you know.

Originally Posted by durham_lad (Post 12072277)

Absolutely we can, I'm just amused listening to the continued to and fro on the subject on this thread. I learned long ago to worry only about the things within my sphere of influence. In my career I had to put up with a couple of big projects that I argued strongly against, but once the decision had been made to proceed then I did my utmost to ensure they were implemented as well as possible.

Originally Posted by Novocastrian (Post 12072276)

Perhaps, but only one side really is.

I'm glad that "transitional arrangements" will be made in April, but it's quite unlikely given that the "transition" will have no chance of being defined by then.

"Oh duckies, whatever we do to destroy each others position won't have any affect on bits of the status quo?"

Riight.

Originally Posted by BritInParis (Post 12072286)

Care to offer a prediction of your own then?

Originally Posted by Novocastrian (Post 12072285)

Fair enough, but have you ever dealt with a decision to go ahead with a "project" which at the time of the decision was utterly undefined in terms of goals or outcomes?

Originally Posted by durham_lad (Post 12072292)

Oh most certainly.