It has cost fund managers an average of six additional basis points to trade UK equities since the UK voted to leave the European Union in June last year according to analysis by electronic broker ITG.
The Brexit referendum was held on June 23 2016. ITG said the extra costs means that any investment firm trading up to £200m ($258m) per year would have to pay an extra £120,000.
Andre Nogueira, head of EMEA Analytics client coverage at ITG said in an email: “Given the current low volatility environment, it appears that, when it comes to trading costs, the UK has ended up with the worst end of a bargain since Brexit. In contrast, the clear trend for both Germany and particularly France is one of lower trading costs since Brexit.”
