“Many capital market participants will ‘hedge’ and act soon. They will not wait until the likely outcome of Brexit is fully known.”
That’s just one of three key implications stemming from the United Kingdom’s Brexit vote, that IPC® concluded in our recently released white paper, “Brexit and its Potential Impact on the Capital Markets – the growing importance of connectivity and ecosystems.”
As the world accepts the new reality that ramifications from Brexit will move forward in some unknown format in an unknown timeframe, the impact of Brexit on the capital markets becomes the next big question. Some trends have already begun to emerge – such as the one mentioned above. Financial organizations of all sizes are taking steps to ensure they will be ready when the United Kingdom leaves the European Economic Area (EEA).
And there are a couple of major technology implications, as well:
- Brexit will also certainly strengthen the exchange/co-location model that has evolved over the last decade or so with even wider use of this model enable technology to be moved into jurisdictions where business needs to take place.
- To support the col-location model and the movement to more applications the need for bigger, better and faster data networking ‘across geographies’ will become key. Service providers – such as aggregated feed vendors – will also need to ensure that their services are available where the market wants them. This will contribute to the community network’s increasing importance in enabling Europe-wide delivery of services.
You’ll want to know the other two implications of Brexit for capital markets and all the details around them, so download this extensive report now.