What Are Index-Linked Gilts?
Financial World News toimetus · Hariduslik selgitaja · Kuidas hangime tootlusi
Index-linked gilts adjust coupons and principal with UK inflation. Learn RPI lag, real yield and when linkers help.
Selle juhendi täielik ülevaade on inglise keeles. Pealkiri, kokkuvõte ja navigatsioon on teie keeles, et otsustada, kas lugeda edasi.
What Are Index-Linked Gilts — the mechanics
Linkers pay a coupon and principal that scale with an inflation index (historically RPI, with a known lag). Their real yield can be low or negative when investors pay up for inflation protection.
UK linkers historically use RPI with an eight-month lag on many older lines; always read the specific prospectus for the index and lag. Coupons and principal scale with the index ratio.
Real yield is the linker’s YTM after inflation-uplift maths. It can be negative when investors pay up for protection. You can still lose money in the short run if real yields jump.
RPI is not CPI. UK statistical reform of RPI is a known political and index-risk topic for linker holders. That is separate from whether inflation itself is high.
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.
Peamised järeldused
- UK linkers historically use RPI with an eight-month lag on many older lines; always read the specific prospectus for the index and lag.
- Prices and yields change. When this site quotes them, it dates them on the live board.
- 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.
KKK
- Do index-linked gilts remove all inflation risk?
- No. Index lag, RPI/CPI differences and real-yield moves still affect mark-to-market returns.