Fund managers assess Brexit passport loss

Author: Lizzie Meager | Published: 8 Jun 2016
London is used as an EU base by financial services firms the world over

UK-based funds and their managers are considering their options in the likely event that they lose their passporting rights if the UK votes to leave the EU on June 23.

The so-called passport authorises financial services firms to offer their products across the continent without setting up a subsidiary in each country.

“It’s something that I imagine would be high on the agenda of any negotiations, but it’s the period of uncertainty until then that’s a concern,” said Clifford Chance’s Owen Lysak. “I think really, much will stay the same, but when the Brexit actually happens, there will be a loss of passporting.”

An IFLR poll conducted in April found a loss of passporting rights to be among the biggest referendum-related concerns among readers, along with third party access rules. And it wouldn’t be just...