LONDON, June 16, 2016 /PRNewswire/ --
With the EU Referendum Fast Approaching, What Impact Would Leaving or Indeed Remaining in the EU Have on the British Pound? The Brexit Calculator Looks at the Potential Outcomes for the Pound Against Some of the Major Currencies.
The debate surrounding Brexit has already had a significant effect on the pound and is no doubt a major contributor to sterling's losses in recent months. Compared to its value at the end of 2015, the pound has lost over 10% against the euro. Having traded at over 1.4200 interbank (IB) in December, we now find rates sitting around 1.2600 IB (as at 16 June 2016).
Both the 'Leave' and 'Remain' camps are becoming increasingly vocal in their attempts to win over voters. One thing both camps have in common is they are adding to sterling volatility in the run up to the 23rd June.
The truth is that nobody really knows what will happen, and there are countless opinions and counter arguments as to what will happen to the pound in the run-up to the referendum.
If we are to believe Project Fear then leaving the EU could result in another 10-15% fall or more in the value of the pound, which would bring GBP/EUR close to the historic lows seen back in 2008. If we do remain then predictions suggest the rates are expected to rise, but by how much?
Amongst all the chatter, noise and constant news flow surrounding a potential Brexit, it is important to reflect on what the vote could mean for you. We have seen a significant number of enquiries lately regarding locking into a forward contract, to get rate protection from the 23rd June vote.
The real question is, can you afford to wait?
If we fast forward to Monday 27th June, after the referendum result, any of the above outcomes could occur, which may be good or bad for your given circumstances. Can you afford to take that risk?
Anyone with an overseas money transfer requirement should contact FC Exchange about how Brexit could affect them or their business and possible solutions. These include locking in an exchange rate now in what could well be a turbulent time going forward.
Start by using the Brexit currency calculator to look at the potential impact on pound against some of the major currencies.
About FC Exchange
Established in 2005, FC Exchange is one of the UK's leading specialist foreign exchange broker and international payment solutions providers, offering a wide range of products and services for both individuals and businesses. The Company is headquartered in the City of London with offices around the world.
Delivering bank-beating exchange rates - often up to 5% better than the high street banks - and a dedicated currency broker for each of its customers, FC Exchange is proud to build long-term relationships with both its clients and its partners. With more than 25,000 clients and a 5 star independent customer review rating on TrustPilot, FC Exchange is the first choice for international money transfers. For further information, please visit www.fcexchange.com
For further information, please contact:
Corporate: +44 (0)20 7989 1111
Personal: +44 (0)20 7989 0000
SOURCE FC Exchange