so there has been a tiny tiny mention about this in the latest issue of The Economist. Now if you are not such a news-crazy freak like me you may have missed it, because other big media outlets did not seem to pay much attention to it.
Correct me if I am wrong, but The London Stock Exchange sounds like a place where lots of stock is traded away, right ? So I assume great deal of the British economy is invested in this institution. The Deutsche Börse and the LSE have announced a merge also saying that the German CEO is going to head the whole thing and the new HQ will be in London. Sounds like a hell of a deal for our dear Britons. After all London is the financial capital of Europe and Germany is its greatest trading partner in Europe.
As we have the EU, comfortable international trade and no political tension…(just kidding) both countries are bound to make piles and piles of money. But wait, what ? What do you mean by Brexit ? The UK wants to leave EU ? Why on earth would they merge if the UK is about to break all ties ? Two options. If Britain remains in the EU then bringing in more of the German trade is certainly a golden mine. Well done Britain. But what if it doesn’t ? In my humble opinion since the whole institution will be headed by a German CEO it probably wouldn’t be all that difficult to move the HQ from London to Germany.
Knowing that, who is likely to profit from this merge more ? The most painful wounds from Brexit would be mainly upon Germany and the UK itself. If the UK stays we are all likely to dance away hand in hand towards the rainbow with cash and bellies full of German beer and whateverthebritscallfoodthere (exactly how I picture it by the way). If it doesn’t, it looks like Germany could pull their trade in and take great deal of the British one with it. That could potentially soothe the wounded German bank accounts and administer a hefty dose of “We told you so” to our dear Britons.
But hey, not judging here… That’s just what I think.