Brexit chaos continues to preoccupy investors
Luxembourg, 26 February 2021 – Brexit continues to be a cause of great concern for many UK investors, whether resident in or outside the UK. Some financial services providers have cancelled accounts, revoked credit cards or stopped buying UK funds in savings plans. “Just a few years ago, no one would have expected such a situation”, Sabine Said, Executive Vice President of Moventum S.C.A., pointed out. “Now that it’s a reality, many clients are considering where and how to keep their assets safe for the long term.”
Enquiries from Britons working in Europe or around the world and EU citizens in the UK have increased particular sharply in recent months. “We are doing a lot of educational work”, Said mentioned. “Due to recent market events, some investors feel for the first time in years that they need to actively revisit their savings, investments or pension planning.” It is not only because of the direct impact of Brexit that the UK market is in turmoil. In addition, some British fund and brokerage platforms are in a state of upheaval, which is causing further uncertainty among clients.
“We are noticing that many clients are now splitting their assets. This is where we are seeing strong inflows”, Said indicated. “This also has to do with the fact that our head office in Luxembourg as a financial hub in the heart of Europe is very strong, of course – including in the UK.” There was no need to fear any turmoil – no matter what were to happen with Brexit or even a possible Scottish referendum on independence.
As a financial hub, Luxembourg is more geared towards international business than almost any other place. “We have strict regulations, but ones that are very practicable and compatible with numerous legal systems around the world”, Said added. Given the international interconnections that frequently exist in corporate structures, this is a major advantage. “We see a lot of demand for solutions that allow people to easily take their pension savings with them, just like their bank accounts, despite international work and associated relocations.”
While bank accounts can generally be opened quickly, individuals are reluctant to touch pension plans or wealth accumulation products, for example, because of potential tax disadvantages. “At Moventum, we also see this in our work for large international companies”, Said indicated. “We are managing portfolios for clients from a wide range of countries of origin and in different places all over the world, so that they are always well prepared should they need to relocate.”
Moventum accounts may be held in many major currencies. The trading platform, reporting and service centre are multilingual. “Moventum is a firm that places the utmost focus on international investors”, according to Said. “Many of our international clients have access to asset management, which has an 18-year and enormously successful track record.”
Moventum therefore offers advisors an outstanding, internationally diversified product range. “We are a one-stop shop with custody management, securities trading and asset management services”, Said underlined. “And that helps our clients around the world – including clients from the UK.”
Additional information is available at www.moventum.lu
As an independent financial service partner, Moventum S.C.A. has been providing a home for financial service providers such as advisors and asset managers as well as institutional clients from all over the world for more than 20 years. The digital “MoventumOffice” platform offers access to more than 10,000 funds, ETFs and other securities. In addition, it allows financial advisors to open securities accounts for their clients, to place trading orders and to use analysis, reporting and support tools. Institutional clients are able to outsource their entire fund trading with complementary services to Moventum as part of collective or individual custody account management. A variety of fund services are assumed for asset managers, ranging from registrar and transfer agent services to fund accounting, company administration and domiciliation services.
Moventum Asset Management S.A. (Moventum AM) is a wholly owned subsidiary of Moventum S.C.A. Since 2019 Moventum AM manages Moventum’s own funds of funds and individual mandates as part of its asset management portfolios.