Changing perception of UK gilts

although Traditionally thought of as producing unspectacular returns, the UK gilts sector is breaking that image after three good years

Three year figures have changed the perception that UK gilts underperform other asset classes. The average fund in the sector achieved a return of 11.89% over the three year period to the end of September 2001, on an offer to bid basis. However, the gap between the top and bottom performing funds is not exactly narrow. One reason for this differential is the ability of some funds to invest up to 10% of assets in corporate debt. The worst performing fund is Whittingdale Gilt Growth which returned 8.77% in the three years to the end of September 2001, offer to bid. The best performing f...