S&P highlights disparity in gilt and UK fixed interest returns

Gilts and fixed interest funds' average returns varied by as much as 20% in 2008, according to Stand...

Gilts and fixed interest funds' average returns varied by as much as 20% in 2008, according to Standard & Poor's. The ratings agency says the median UK gilt fund returned 9.9% in the fourth quarter of 2008, bringing its gain for the year to 12.2%. By contrast, the median UK fixed interest fund lost 0.1% in Q4 2008, making its loss for the year 7.2%. S&P's says the S&P AAA-rated M&G Strategic Corporate Bond fund, managed by Richard Woolnough was one of the best performers in the period generating a return of 4.2% over Q4 2008. Meanwhile, the S&P AAA-rated Old Mutual Corporate Bond fu...