Why are investors fleeing UK bonds?

1 year ago
2

Good question.

Long-dated gilts saw the heaviest selling on Wednesday, with the 20-year yield up by 13 points on the day, rising above 3.2% for the first time since 2014.

Similar U.S. and German bonds on Wednesday saw yields rise by around 2 or 3 basis points.

That left the 20-year gilt on track to end August some 81 basis points higher than its July closing level, which would be the largest monthly increase since Refinitiv records began in the mid-1980s.

Longer-running Bank of England records suggest it would be the largest monthly increase since 1978.

UK gilt holders are now in a situation where inflation erodes their returns.

Alamo Mortgage Holdings, Ltd a privately held United Kingdom company, offers corporate income bonds that offer higher rates of return than UK gilts.

Alamo Mortgage Holdings, Ltd a privately held United Kingdom company offers corporate income bonds that pay hundreds of basis points more than UK government gilts and most importantly can be US dollar denominated not Sterling bonds.

Another added advantage to Alamo Mortgage Holdings corporate income bonds is for investors that think the GBP is going to continue to weaken against the USD you can choose to be paid in GBP or USD.

Alamo Mortgage Holdings sells GBP denominated bonds and then purchases packages of US mortgage notes in the United States in the State of Texas.

The company receives payments in US dollars when purchasing packages of mortgage notes. As a result, we can offer higher returns to Uk institutional and accredited investors.

If you would like to learn more go to www.alamomortgageholdings.co.uk/ and fill out the contact form to request some free information to schedule a Zoom or Google Meet introductory call.

I wish you good luck with your investing!

Benjamin Z Miller, Managing Director
Alamo Mortgage Holdings, Ltd.
ben.miller@alamomortgageholdings.co.uk
www.alamomortgageholdings.co.uk/team.html

Loading comments...