Farnoush Farsiar was formerly a senior director at Emirates NBD, and founder of Plato Capital is passionate about Brexit.
Her wealth of experience in the fields of finance and wealth has given her a an unique perspective.
Farnoush wrote two articles on BrexitCentral in 2019, and it appears that many of her predictions came true today.
Revisiting Farnoush Farsiar’s prediction about Brexit
Farnoush Farsiar believes that a departure from the European Union will free the British economy from the burdensome rules.
This would allow London’s full potential to be fully realized.
Financial services sector was not able meet the requirements of MiFID II (Financial Instruments Directive) because of the intrusion of regulators.
It is crucial that rules are continuously updated to ensure that businesses are competitive.
Farsiar said that, as London is home to the world’s largest banks in Europe It has a significant impact on the economic system.
The financial services industry in Britain could develop to be the most effective when it is completely free.
British financial markets may be affected by Britain’s exit from EU and its conditions.
They will be independent again and will no longer be capable of blaming Brussels.
Tax reductions for corporations should be a top priority. It is essential to change EU legislation. This would encourage foreign investors as well as stabilize the financial market.
What was the UK Market prediction before Brexit
According to an Deloitte report according to a Deloitte report, the UK was the most popular destination for Foreign Direct Investment between 2015 and 2018, than any other European country.
The report found that London was a more sought-after place to invest in international investment over New York.
It is one a few truly global and internationally-minded cities.
https://brexitregulations.com/tag/remain/ trading is an illustration of this rule.
The effectiveness of the whole market is affected when high-frequency trading is removed and financial services are stopped.
The industry will be unable to compete with high frequency trading without speed.
In contrast, Brexit would make it possible for Britain to provide lower options for investors.
https://find-and-update.company-information.service.gov.uk/officers/WK-EF0wApQbynTt8XCu6eTiRcxU/appointments against commerce made it difficult for London to stay lucrative as a rival. Industry representatives repeatedly warned of the immense cost to small and mid-sized firms.
Andrew Bailey, CEO of Financial Conduct Authority (FCA), envisioned “the future regulation of financial conduct”.
Bailey explained the ways in which Britain could be compared to other governments around the world.
His idea of “the future financial conduct regulation” was to create an “outcome-focused” and “lower-burden” method of regulation.
Brexit is the UK’s opportunity to increase its global financial impact and escape any limitations by the EU.
These restrictions have impeded the previous regulations that were more relaxed in the UK. https://ae.linkedin.com/in/farnoush-farsiar-b1583b66 prevent startups from expanding and becoming competitive in the global marketplace.
Brexit will ensure that the tech hubs remain in the midst of the main cities.
Bailey claimed that if the UK was it was left to its own devices the regulatory system in the UK could alter in a different manner.
There was serious concern about the UK’s finance market
A competitive advantage, in terms of money, is the ability to get an advantage over your competitors by being knowledgeable in the field you are specialized in.
Due to the regulations due to the regulation, the UK began to be concerned that the capital’s financial system was being demolished.
Therefore, they would be less attractive to international investors as companies would be forced to relocate to Paris, Frankfurt, or Amsterdam.
The most significant fear in the UK financial market was that trading would be regulated by the European Union.
Another concern is that import and exported will be more expensive.
Therefore, Britain wants to stay at the top of the global center for financial services.
Farnoush Farsiar expects positive outcomes
Farnoush Farsiar predicted the Brexit outcome , and the prediction was not too far-fetched.
In the debate about the British economy, there is a light at the at the end of the tunnel.
Since December 2020, 7,600 were relocated to Europe as a result of Brexit. The result has been an increase in the number of people who have been relocated by around 100.
These numbers are comparable to PwC’s April 2016 estimates. They forecast that the UK could lose more than 100,000 jobs in finance if it votes Leave.
However, the market in Britain remains rising despite the covid’s devastating effects.
The UK is competitive with the rest, and the EU has eliminated any limitations. This permits the UK to open its market to more foreign businesses.
Large companies are moving to the British stock exchange, which is still a leader in the world.
The European market is their only real weak point in the sector of financial services.
The decline in trade of seafood and fish was the primary problem that faced the British Islands.
It is interesting to note that despite having lower trade with Europe the cost per capita did rise.
Farnoush Farsiar is correct. Brexit is a great factor for the financial sector. It also enabled London to realize its full potential.