UK Gilt Yields Explained
Von der Redaktion Financial World News · Pädagogische Erklärung · So beziehen wir Renditen
Gilt yields are the market’s required sterling return. See how running yield and yield to maturity differ — with dated snapshot figures.
Die vollständige Fassung dieses Leitfadens ist auf Englisch. Titel, Kurzfassung und Navigation sind in Ihrer Sprache, damit Sie entscheiden können, ob Sie weiterlesen.
UK Gilt Yields Explained — the mechanics
Yield is not the coupon printed on the gilt. If the price is below par, yield to maturity is higher than the coupon; if the gilt is expensive, yield is lower. The curve from 2-year to 30-year gilts is a live policy signal.
Running yield is coupon divided by dirty (or sometimes clean) price. Yield to maturity solves for the constant discount rate that maps remaining cash flows to that dirty price. UK screens usually quote YTM on a semi-annual compounding convention close to the gilt standard.
The 10-year point is a policy and pension benchmark; the 2-year is a near-term Bank Rate bet; 30-year and ultra-longs are duration and LDI tools. A flat curve and an inverted curve tell different stories about expected Bank Rate cuts.
We show Bank of England IUDMNZC (10-year nominal par yield) with its print date on the live board. If that disagrees with your broker’s Gilt 10-year by a few basis points, the broker is using a slightly different bond or convention — use the broker to trade.
Dated yields for this uk gilts topic
The live board on this site prints official or exchange 10-year rates with the observation date on each card (Bank of England IUDMNZC, ECB Maastricht series, CBOE/Yahoo Treasury yields). Individual ISIN prices are estimated from those moves — not a dealer quote.
Illustrative round-number snapshot for education. Figures are not a live market feed. Confirm with the UK DMO, TreasuryDirect, Bundesrepublik Deutschland Finanzagentur, Italian MEF, Agence France Trésor or Swiss Confederation before acting.
UK Gilts: UK Treasury 4.25% 2034 yield 5.25%, estimated price 93.7, duration 6.4y, maturity 2034-03-07.
US Treasuries: US Treasury 10-year Note yield 4.97%, estimated price 91.9, duration 8.2y, maturity 2036-08-15.
German Bunds: German Bund 10-year yield 3.19%, estimated price 94.1, duration 8.6y, maturity 2036-08-15.
Italian BTPs: BTP 10-year yield 3.99%, estimated price 96.1, duration 8.1y, maturity 2036-03-01.
French OATs: French OAT 10-year yield 4.00%, estimated price 89.8, duration 8.3y, maturity 2036-05-25.
Swiss Confederation: Swiss Confederation 10-year yield 0.42%, estimated price 100.7, duration 9.4y, maturity 2036-06-28.
If a number here disagrees with your broker, trust the broker to trade. Use this page to understand the contract, then confirm the screen.
Official sources (UK Gilts)
Primary statistics and prospectuses for UK Gilts are published by the issuer, not by this newsroom. The labelled links at the end of this page go to those official sites (DMO, TreasuryDirect, Finanzagentur, MEF, AFT, SNB or ECB as relevant).
Our live board is a teaching overlay: dated prints, named sources, estimated ISIN lines. It is not a replacement for the issuer’s calendar.
Die wichtigsten Punkte
- Running yield is coupon divided by dirty (or sometimes clean) price.
- Any market figure belongs next to a date and a named source (BoE, ECB, CBOE/Yahoo). If those disagree with your broker, the broker wins for trading.
- Credit of a G7 government in its own currency is not the same as a stable screen price, and not the same as a bank deposit.
FAQ
- What is the 10-year gilt yield used for?
- It is a benchmark for UK mortgages, corporate bonds and pension discount rates. Always check the date of any quoted figure.