A measure of volatility expectations for British equities jumped to its highest level since November 2008 relative to European stocks, according to data compiled by Bloomberg. The FTSE 100 Volatility Index has climbed 19 percent in the past four days, compared with a 7.4 percent increase for its euro-area equivalent, the VStoxx Index.
Markets had mostly ignored Scotland?s vote before this week as surveys showed separation was unlikely. The pound and U.K. shares fell after a YouGov Plc poll for the Sunday Times showed nationalists in the lead for the first time this year. An updated survey late yesterday returned the No campaign to a narrow lead.
?I expect a lot of nervous trading between now and the referendum? on Sept. 18, Stewart Richardson, who helps manage about $100 million as chief investment officer at RMG Wealth Management LLC, said by phone. ?There?s a lot that?s unclear. We?ll be avoiding banks with big operations in Scotland.?
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