Gilts sector sees disparity returns

Short-dated gilts struggle to perform against longer end, driven by demand from pension scheme trustees

While the uniform asset class at the centre of the gilt sector may lead investors to believe funds offer uniform returns, the peer group displays a wide disparity of performance. That said, the upper echelons of the IMA UK Gilts sector can prove slim pickings for private investors, with the bulk of the top ranking funds over three years to 31 October aimed at the institutional market. Yet the sector's highest performer, SG Sterling Bond Institutional, which returned 19.38% against the sector return of 13.93% is expected to open to retail investors in due course as part of SG's review of ...