Is the great bull run in gilts finally over?

GILTS

clock

UK gilts have had a monumental run over the last few years as investors piled into safe havens to shield them from the turbulence of equity markets.

Yields fell to record lows this year as a result, with the yield on the benchmark 10-yr gilt dropping as low as 1.43%. This is in stark contrast to a decade ago when 10-yr gilts yielded around 4.59%, and then peaked at 5.42% in June 2007. However, the credit crisis and the resulting recessions in major economies around the world changed everything, with yields tumbling since this peak. In July this year the average monthly yield on 10-year gilts reached a record low at 1.55%. However, there has recently been a move upwards in yields as investors take profits from a trade that ha...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Fixed Income

Partner Insight: A terrific environment for bonds

Partner Insight: A terrific environment for bonds

Sara Devereux, global head of fixed income at Vanguard, says bond investors are in a rare sweet spot – strong yields, low risk and big potential.

Sara Devereux, Global Head of Fixed Income Group, Vanguard
clock 04 November 2025 • 4 min read
The high (opportunity) cost of passive fixed income

The high (opportunity) cost of passive fixed income

'These aren't just numbers - they're missed opportunities'

Bryn Jones
clock 31 October 2025 • 3 min read
Darius McDermott: Debt, duration and discipline in bond markets

Darius McDermott: Debt, duration and discipline in bond markets

'The fixed income market is in an odd place'

Darius McDermott
clock 28 October 2025 • 5 min read