What does Brexit mean for shares, bonds, income investments and commercial property?
- Companies with an international focus are going from strength to strength
- Interest rates are likely to stay 'lower for yet longer' - or even be cut
- Commercial property has suffered a 'blip' but will become increasingly important for investors starved of income
More than a month on from Britain's vote to leave the EU, there are still many aspects of Brexit that are yet to be decided upon.
Although there is a new government in place, the UK faces prolonged negotiations over trade and only time will tell the effect leaving will have on business confidence.
So how should investors position themselves in the meantime?
Scroll down for video
Stephen Jones: The UK is facing 'lower for yet longer' interest rates
In a series of exclusive videos, Stephen Jones, chief investment officer at Kames Capital, reveals how investors can roll with the punches in a post-Brexit world.
He says one standout outcome of the vote to leave is that of 'lower for yet longer' interest rates.
The Bank of England hasn't raised rates from their historically low level of 0.5 per cent in more than seven years. But it looks like the Bank will look to slash rates still further to stimulate lending, which means income could be harder to come by than ever.
As such, Jones says investors need to think especially carefully about how they invest for income. The key is to diversify and opt for global exposure i.e. an income stream that doesn't rely on the domestic UK market, such as large European or US companies.
Concern was sparked among investors post Brexit as a high level of redemptions in commercial property funds forced them to gate in investors.
Property is more illiquid than many other asset classes because it takes time to buy and sell buildings.
Some funds have had to take the step of preventing their investors from selling out, while they get rid of some of the underlying property investments to raise capital.
However, the CIO insists this is 'no Lehman brothers moment'.
While the overall price of commercial buildings has fallen, taking the shares of property funds with it, Jones argues that the higher income available from the asset class will be even more important to investors' portfolios in the low interest rate environment.
He adds that property should always be a long-term investment - so investors will hopefully see the post-Brexit problems suffered by these funds recently as just a blip in five years' time.