UBS Warns Its Clients They May Not Be Able To Trade At All After Brexit

Tyler Durden's picture

With less than two days until the outcome of the Brexit referendum, traders around the world know two things: in a scene reminiscent of Lehman Sunday, everyone will be ready to trade the nanosecond the first results are released resulting in a supernova of volatility and an unprecedented burst in volume or... markets will simply grind to a halt as banks refuse to take risk positions and execute client orders, all bids and offers are withdrawn as the last trace of liquidity evaporates, and central banks are forced to start trading with each other in the open market.

As the following just released warning from UBS to its clients reveals, it will probably be the latter, to wit:

Regardless of the outcome, we may see an increase in volatility and an impact on trading volumes. In the event that extreme market moves occur in an environment of limited liquidity, our principal spreads may widen for both electronic and voice trading, liquidity may reduce and prices may turn indicative (i.e., non-tradable) for periods of time.

Full UBS email.


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FL_Conservative's picture

Fearmongering in an escalating manner.  Whatever it takes to keep "the dream" afloat.

RAT005's picture

Q: How do you know the difference between a rigged election and a fair election? 

A: That's why they're rigged. 

eforce's picture

While it might seem like fearmongering they may actually time the collapse to blame it on Brexit so afterwards they get their world government.

Government needs you to pay taxes's picture

Looks like CA sliding into the ocean is the backup plan!

philipat's picture

I though the Swiss knew better? The only thing frustrating the establishment scaremongers is they can't (yet) find a way to blame Russia for being behind the Brexit campaign?

hxc's picture

Day 1: "Russia invades minds of Brits by feeding them propaganda to leave the glorious EU"


Day 2: "Russia invades england"



DishAndDishonesty's picture

UBS (and Credit Suisse) are not Swiss - They are US controlled fronts of operations when they need certain operations to have an air of morality


Sanctuary2's picture




Northern Lights's picture

That's an extreme circumstance but not outside the relm of a possibility.

I think what you would be more likely to see is that Brits renting in government housing will be forced eviction so they could move these smelly muslim fuckers in.

moleson1965's picture

That's exactly what happened in a few places in Switzerland. The Government (on behalf of the Muzzies) has the best credit rating and pays a premium, in order to house the migrants (only a very small fraction of them really from war infested Syria..., many of them bluntly lying about their origins or age (men with beards pretending to be below 18...), producing no or fake identification papers).   

fleur de lis's picture

UBS leaders are the biggest chickens.

They had ample time to prepare for either outcome and they panic like sissies anyway.

Jubal Early's picture

 "Fearmongering in an escalating manner.  Whatever it takes to keep "the dream" afloat."

A couple of years ago when the SNB's Jordan finally broke the Swiss frank floor limit of 1.20CHF/€ numerous Swiss banks and brokers, especially Swissquote, took enormous flack due to stop losses not being fired and other trades not being completed in a timely fashion.  Swissquote and some others actually went so far as to attempt to claw back some of the completed trades that had been totally one sided. 

It does not surprise me that UBS is taking precautions, although I would not rule out external/political pressure also playing a role.

nmewn's picture

Gosh, who would have ever thunk it that UBS would be in the Bremain

RAT005's picture

All of the UBS clients should close their accounts.  Why keep them open?  That would teach them to stop fear mongering. 

nmewn's picture

Not just here...but everywhere.

They caved on Obama's bullshit about "hiding assets" about now the ENTIRE WORLD should be trying to hide their assets from them.

Bail-In's anyone? ;-)

Déjà view's picture

They did...all that 'hot' money went into London RE. 

Normalcy Bias's picture

This Fear? It goes to 11...

Ignatius's picture

Now imagine America's face buried in Hitlary's muff for 8 years, and Brexit fears fade.

I know it's rude, but I'm just tryin to give Britain some context here.

joego1's picture

And it's gone...

BullyBearish's picture

So this is how the $hitshow begins...

Jack Oliver's picture

Fully orchestrated with 'Rothschild appointed' Soros as the conductor - they have put a lot of effort into this PRODUCTION !

World Cash Day's picture

What's the production? It seems Soros is on the wrong side of this talking about chaos. Obviously the thing is rigged for Remain. There will be no chaos.

hxc's picture

You probably think you can time markets too lol.

Farmer Joe in Brooklyn's picture

Yup....he's short the market and talking up the fear of exit. 

There's a good chance they pull the plug...

joego1's picture

Please be aware the our algorithmic client execution orders are as humane as possible.

Global Hunter's picture

I don't think I'm the first to post it here but I think it will be a vote to leave and they'll crash the markets.  The UK government will say due to the financial collapse they will have to delay negotiations to leave the E.U while at the same time the gov't and media will go on a full court press world wide blaming the collapse on the white right wing bible thumping nationalistic creationist conspiracy theorist homophobe gold bugs that voted to leave. 


Automatic Choke's picture

naw, they'll just blame whatever happens on climate change.

Arnold's picture

The US Federal Reserve  raising overnight rates will crash the markets.

Many unforeseen factors will crash the markets. including the Yen and Yuan.

The general thought here is that the 'markets' need  crashing.

Price discovery, man.

joego1's picture

You forgot old white islamophobes with guns. They need the blame knob turned to 11.

World Cash Day's picture

It can't be a vote to leave. It is rigged to stay. That much is clear given they've stooped to murdering politicians to get people to vote Remain.

RockySpears's picture

People keep saying rigged, but this is a paper only ballot, no machines or rigged programming.

  Now I accept they can tinker around the edges with postal votes and maybe losing a ballot box or 10.  

BUT  ...

   ... they need to make a dent of the order of MILLIONS of votes, not a few huindred thousand, MILLIONS.  Now that level of rigging takes 100's, if not 1,000's of people and I do not think you can have so many council workers (they collect and count the votes within 4 hours of close of voting) and van drivers messing with ballot boxes and no observer observes this.

  In the UK ANYONE can be an observer, anyone at all.  You merely put in a paper/electronic application at least 10 days before the election/referendum and recieve an official badge and accreditation. 

To rig a paper ballot you need to change the votes, 1 for 1, as each voter is counted into the polling station and the number of ballots in each box is noted along with the boxes serial number.  So you need to have a box in waiting, with the right number of votes on the right ballot paper.

I am not going to say impossible, but if it ever gets out that there was a single dodgy ballot, there will be problems I am sure.



Northern Lights's picture

Looking forward to this senario.  With my luck though, it won't happen :(

insanelysane's picture

I am so confused.  I thought the UK had a Parliment and laws and regulations and stuff.  What really changes after the Brexit?  Some pissy Fraunch and Belgiumans get their panties in a bunch???  Frau Merkel stands alone atop the power pyramid completely unchecked by any other government in a UK-less EU???

Ms No's picture

Maybe Douche bank and Credit Suisse will have an excuse for their collapse now.  It happened because people CONSIDERED Brexit and now they must be bailed out along with 5 million more ISIS immigrants!

Dragon HAwk's picture

I think they mean... We love our customers dearly,  But our Sorry Ass comes First.


Arnold's picture


(sorry to be repetitive.)

Government needs you to pay taxes's picture

The bookies know that Bremain will carry the day.  The UBS note is prolly just a little foreshadowing of the engineered financial doom that is in our future.

CHoward's picture

That would just be another great reason to vote to exit the fucking EU!!

navy62802's picture

More fear mongering by the mongrels. People will be able to trade, but this is a great scare tactic!

Brekyrself's picture

Blockchain technology not affected. Capital controls incoming?


Decentralized blockchain based FX options market:

Raffie's picture

Dial up the fear mongering to 11

HRH of Aquitaine's picture
HRH of Aquitaine (not verified) Jun 21, 2016 9:56 PM

Which is why I will I have PMs and cash. I will be sure to do make a withdrawal tomorrow, of excess cash. I usually do this once every few months, but hey, tomorrow is fine.

SpanishGoop's picture

"I will be sure to do make a withdrawal tomorrow, of excess cash."

You must belong to the 0.1%.


short screwed's picture

If Brexit wins, we cannot guarantee a sunrise in the morning

mary mary's picture

If Brexit wins, God will SMITE the planet, sending it screaming into the Sun, where all six billion souls (not counting animals) will burn in Hellfire, for God is a jealous God, a vengeful God, a God who really really wants to keep on controlling the Brits, a God whose work EU (and, yeah, Lloyd Blankfein) is doing, a God whose ungrateful subjects better not insult by Brexit winning.

Tachyon5321's picture

Looks like all those customer orders should be trading on an open exchange and not at the bank.


That is a good thing... Banks should not be able to clear their own trades anyway.





The Wolf's picture

Amazing ... UBS being honest enough to tell their clients that they will not let the profit from the volatility stemming from the Brexit vote ...

Collectivism Killz's picture

Of course, as we all know, prior to the creation of the EU, the world was a massive lava pit that could not sustain life. Now, thanks to the invention of rapefugees and WWIII, the world is finally inhabitable. Don't mess with the flow, man