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UK's small and mid-cap shares stand to lose in Brexit

Investors have punished the FTSE 250 Index more than the FTSE 100 Index this year on concerns about growth prospects for smaller companies if Britain decides to exit the EU.


THE risk of Britain's isolation from the European Union (EU) is threatening what has been a winning trade for the country's stocks since the financial crisis: buy small.

Buoyed by their limited exposure to slowing emerging-market growth, a rout in commodities and a banking...