Bill Gross: UK 'decently positioned' to escape debt crisis

Pimco managing director Bill Gross, who in January said gilts were "resting on a bed of nitroglycerin", now believes the UK is "decently positioned" to escape its debt crisis.

While the UK remains on Pimco's ‘must avoid' list, he says Britain has some advantages over Greece in the fight to avoid similar debt pressures. Gross believes by having its own currency and proactive central bank, as well as improved demographics, the UK is in a far stronger position. However, Gross remains underweight gilts and says there are more attractive choices globally. "The reason is that the debt the U.K. will increasingly issue in the future should lead to inflationary conditions and a depreciating currency relative to other countries, ultimately lowering the realised re...