. Investing in Gilt Edged Security Bonds with Gilt Edged Price Chart - CSFX

UK LONG GILT INVESTING

UK LONG GILT INVESTING

Instrument- UK LONG GILT

Minimum spread- 0.2

Typical spread- 1.8

Leverage-400:01

Margin-0.25%

Minimum nominal trade size- 1000

Overnight interest (annual) sell- -0.60%

Overnight interest (annual) buy- -0.1.70%

Trading hours (GMT) – 24*5

Treasury Market Overview

UK gilts are British government bonds issued by HM Treasury, listed on the London Stock Exchange (LSE). They’re also known as ‘gilt-edged securities’ because of their reliability as an investment – the UK government has never defaulted on its coupon and principal payments, so UK gilts make for a secure investment.

UK gilts are considered one of the safest government bonds in the world because the British government has never defaulted on bond repayments.

Understanding the UK LONG GILT

All government bonds are debt-based investments, which means those who invest in them are essentially lending money to the government. In return, the government agrees to repay this loan with interest and return all of the invested capital at a specific date in the future, known as the maturity date. The interest is usually paid biannually and is known as the coupon.

UK gilts tend to mature five, ten or 30 years in the future. However, the British government has issued 50- and 55-year gilts in recent years.

Factors to keep in mind while trading UK LONG GILT

  • Economic conditions: Investor sentiment and confidence are influenced by economic factors. During a bear market, they look for more stable investments.
  • Demand for risk-free securities: Demand rises when economic conditions force investors to look for returns outside of the stock market.
  • Monetary policy: The Fed uses monetary policy to control inflation or other economic swings.
  • Inflation: An increase in prices leads to a decrease in the purchasing power of currencies.

Why trade in UK LONG GILT with CAPITAL STREET

  • BROAD RANGE OF MARKETS- Access to the popular Forex markets, including major, minor and exotic pairs
  • CSFX offers you our state-of-the-art platforms and range of trading tools
  • Trade using Margin- Get greater exposure to the marketplace with a small deposit and spread your capital using margin.
  • Automate your trade facilities and direct access to the market
  • Safety of funds