What does Brexit mean for Indian mkts? Experts share their views

Moneycontrol BureauAhead of the crucial ‘Brexit’ referendum to decide if Britain will or not stay in the European Union, investors in India are a bit edgy as a ‘Leave’ will definitely have repercussions for global currency markets and capital flows.A quick look at how market gurus think the outcome of the referendum will influence markets in IndiaRakesh Jhunjhunwala, RARE EnterprisesBrexit itself is not important, I think why markets are freaked out is if UK decides to leave in some sense it is the canary in the coal mine that it marks the end of the year European Union (EU). You might anticipate six months later that Netherland or Germany also say why the hell are we hanging out with these no hopers and we want to get out as well. That disrupts the euro, so the fear on Brexit is less on the UK and the pound and frankly UK as an economy is that dominate or relevant so much. It causes disruption in currency market; it causes disruption in bond markets because UK is a financial centre and people like us in the financial markets who are freaked out than probably in the real economy. Manish Chokhani, market expertI am very much concerned about Brexit because if Brexit happens not only will England leave European Union (EU) ultimately EU itself will break. So, for the continuity of EU it is extremely important that Britain votes for remaining in Europe. I am very concerned.Andrew Holland, Ambit Investment AdvisorsI think it is more downside than anything else because we will automatically look a few days later and say isn’t there a Spanish elections? And there has been some opinion polls taken in many different European countries, and if Britain was to leave, do you think other would leave. And all of them said yes. So, could you see the disintegration of Europe? That is what the question will be asked and all of the problems that could bring. A few years ago, when Greece had their referendum should they stay here, should they not? We were not all scared about what would happen if Greece left. So it would not be Greece, it would be Greece, Portugal, Spain, Ireland, all would be rethinking whether they need to be part of Europe. So, it is a bigger event than just Britain leaving alone.Vallabh Bhanshali, Enam Financial ConsultantsMarket may not react at all because this has been played out for such a long time, the market seems to discounting in advance so the blip at all, if it comes maybe very short-term and indeed every dip, the good guys have been buying.