Invesco's Goldstone: Brexit 'common sense will prevail'

Both sides want to avoid mutual damage

As a value-orientated investor, the portfolios I manage have owned shares of UK domestic banks (Barclays, Lloyds and RBS) for some time.

Since the publication of the Bank of England's (BoE) Financial Stability Report in December 2015, I have felt that the valuation of those banks has implied an overly pessimistic assessment of the sector's prospects.  Despite the assertion of Mark Carney, chair of the BoE's Monetary Policy Committee, that the sector was, at the time of that report, adequately capitalised and despite an annual confirmation of that view as the banks have passed the BoE's stress test each December, the stockmarket has remained sceptical and the shares of domestic banks have traded at a discount both to their...