Investors Are Fleeing Scotland: 'Most Professionals Are Cacking Themselves. They Are Terrified Of Independence'
The best quote in the story is from this unnamed money manager: "Most professionals are cacking themselves. They are terrified of independence and a new regulatory regime."
Indeed, Credit Suisse issued a note last week warning of a "negative feedback loop" if Scotland goes independent.
One fund, Kennox Asset Management, has put out a statement to its clients asking them to keep calm. But a lot of investors are simply asking, why bother with the risk? The FT reports that $186 million has left the country recently, after net inflows in the billions came to a screeching halt:
Scotland's six biggest fund houses posted collective net outflows of €144m [$186 million] in the first seven months of the year, according to figures compiled for FTfm by Morningstar, the data provider.
This is a sharp decline on the collective inflows recorded in the preceding four years of between €3bn and €10bn for the companies, which are Aberdeen Asset Management, Scottish Widows Investment Partnership, Baillie Gifford, Kames Capital, Martin Currie and Standard Life Investments.