In the U.K., government bonds are called "gilts." Similar to U.S. Treasuries, they are pretty much guaranteed to pay out, making them safe investments. That also means they generally pay a low rate of return.Giltscome in two forms; a standard or conventional gilt and index linked gilts...
There are many more options for gilt investors in the secondary market as the UK has around 64 conventional gilts and 33 index-linked gilts currently in issue. There can be big tax advantages to buying a gilt that was issued when interest rates were low if it is not held within a tax w...
There’s also the argument that a 20-year borrowing binge is still being unwound, which will further impact the sector. On the other hand, people always say this sort of thing at the bottom of the market, and an 80% decline is not to be sniffed at. Unless you believe in Economic Arm...