Tue, 22 Jul 2014 11:45:14 GMT
Sterling price includes Scotland vote risk premium
As Scotland's
independence vote looms, investors are starting to add in the risk of
it leaving the UK into the price of the Pound Sterling. Although the
majority of voters seem to be against independence, investors are
looking to hedge against the possible risk. Furthermore, analysts say
that either result in the vote will cause a shock to the currency.