UK Gilt Coupon Payments Explained
Editorjal Financial World News · Spjegatur edukattiv · Kif niksbu r-rendimenti
Most gilts pay coupons semi-annually. Accrued interest, ex-dividend dates and tax treatment all affect what you keep.
Il-briefing sħiħ ta' din il-gwida huwa bl-Ingliż. It-titlu, is-sommarju u n-navigazzjoni huma fil-lingwa tiegħek biex tiddeċiedi jekk taqrax 'il quddiem.
UK Gilt Coupon Payments Explained — the mechanics
The coupon is a percentage of par, not of the price you paid. A 4% gilt still pays £4 per year per £100 nominal if you bought it at 90 or at 110 — yield is what changes.
Most conventional gilts pay twice a year, each payment half the annual coupon times nominal. Payment dates are in the prospectus and on DMO/broker screens.
If you buy three weeks before a coupon, you pay accrued to the seller (dirty price). You then receive the full coupon. You have not ‘double dipped’; you prepaid the slice.
Ex-dividend, the buyer does not get the imminent coupon. Dirty price maths goes the other way. Platforms usually flag xd.
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.
Punti ewlenin
- Most conventional gilts pay twice a year, each payment half the annual coupon times nominal.
- 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.
Mistoqsijiet frekwenti
- When does a gilt go ex-dividend?
- Gilts have a short ex-dividend window before the coupon date. Trades in that window affect who receives the next coupon.