If the citizens of Great Britain vote for their country’s probable exit from the EU, then the key Swiss currency might appear to be a number one protective asset.
The everlasting rumors regarding whether Great Britain should cut all the currently existing relations with the European Union has intensified ahead of a recently announced referendum on June 23. David Cameron, the UK’s prime minister has been struggling to persuade the English to come back to the EU/UK separation.
Needless to say, Brexit would be an enormous event for the EU. It’s believed that the given event would bring the pound lower by approximately 20%, while the common currency might tumble too.
Meanwhile, a great number of financial analysts are assured that the Swiss franc is a number one hedge against an evident Brexit risk. In other worlds, that’s another safe-haven asset.
By the way, the British currency has already been hurt by this choking uncertainty regarding summer’s vote outcome. Last month, the major British currency demonstrated the lowest result for seven years against the greenback, by dipping below $1.39.