What’s Going On Here?According to a new report from investment bank Goldman Sachs, one ought to invest in the UK even though one knows Brexit is coming. What Does This Mean?Goldman Sachs reckons UK investments have a couple of big things going for them. For one, the firm is expecting the UK and European Union (EU) to finally reach a trade agreement in mid-December, which should give investors a bit more certainty about the country's relationship with European companies. And for another, it’s assuming vaccinations will be well underway by next quarter, and it's therefore forecasting better economic growth for the UK than most other analysts are. Why Should I Care?For markets: Cheap and cheerful.
Goldman Sachs is particularly keen on the British pound, as well as the stocks of companies that stand to benefit from it: think any that sell to the UK itself, like homebuilders and national banks. But frankly the country’s entire stock market looks cheap compared to others across the globe, says the firm. That’s partly because it’s heavily skewed toward companies in the energy and financial sectors – both of which have underperformed this year – and partly because investors have been shunning British assets until the one-two punch of Brexit and coronavirus starts to heal.
The bigger picture: Beat you to it.
Looks like Goldman was right to assume vaccinations would be on their way soon: the UK became the first country to authorize the Pfizer-BioNTech vaccine for emergency use on Wednesday, with the rollout due to kick off next week. The US might not be far behind, while the EU’s regulator – which threw some shade at the UK by saying that a longer procedure was more appropriate – is shooting for the end of this month. | 
