Brexit – the stocks most affected by the referendum

Britain has taken the historic decision to leave the European Union - a move that has rocked global equity markets.

The FTSE opened significantly lower on Friday, although there was evidence of some stabilisation by mid-morning.

Here’s a quick rundown of the key stocks affected and why:

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Losers

 

Two main sectors were anticipated to fall after a Leave vote – banks and property. Both are heavily exposed because of a strong correlation of their earnings with UK domestic demand growth over recent years.

Taylor Wimpey – the homebuilder was among those pegged as a potential loser from a Brexit vote and its stock dropped precipitously on Friday, sliding around 25%.

Persimmon – Another housebuilder, shares in Persimmon also fell by approximately a quarter in the first few hours of trading.

Barratt Developments – Yet another property developer – share price off more than 20% during the morning session on Friday.

Berkeley Group – Completing the property sector woes for FTSE firms, the group’s stock dropped by a fifth after the vote.

Lloyds Banking Group – The mortgage provider led banking shares lower on Friday, sliding over 20%.

Barclays – Analysts at Bernstein predicted Brexit would hit Barclays the hardest, estimating a 40% drop in 18 months. It managed to get half way there in a matter of minutes.

RBS – Another heavily exposed to the UK economy, the once-mighty lender dropped 18% after the vote.

 

Winners

 

Not so many winners, but a few, particularly silver and gold miners as investors rushed to safe havens.

Randgold Resources – The gold giant profited from a big spike in the yellow metal, gaining over 17% by lunch time.

Fresnillo – Silver producer was the next strongest riser on the FTSE 100, climbing 11%.

GlaxoSmithKline – Pharmaceuticals giant GSK posted a 1% gain in morning trading.

AstraZeneca – Another drug company to do solidly as investors went for defensive stocks – its share price was up 1%.

Added market volatility means increased opportunity but also more risk. To reflect this, ETX Capital may be increasing margin rates on certain markets.

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