The whole of London is in full mood of celebration because of the Queen’s Diamond Jubilee, in the same way, the gilt market of the country is also in a quite a patriotic mood. In the present times, the War loan that is the curio of the government of the UK debts is doing trade on the figures which is even more than its face value. It is very much possible that this has happened for the very first time from the time when Elizabeth II has taken up the throne. It is also being said that this thing will be in the interest of the government to make the repayment.
The War Loan whose worth is nearly 1.9 billion pounds is a favourite of financial geeks. the main reason of this is that this is a foregone example of the consistent security of the market of the UK. Its origin goes back to the year 1917 so that help can be given at the time of world war one. It was given refinancing again in the year 1932. It has been hanging on till that time for so long. Till then it has been paying an interest of 3.5 per cent per year in the form of interest to its holder.
As per the views of Jim Leaviss, who is the head of retail fixed-income investment at M&G Investments, today the War Loan is doing trading at the figures of 100.3p in the pound. He added that this has happened that the figure has been at par after quite a lot of years. Leaviss is the owner of the bonds in his gilt fund as well as he has also written quite a lot about the very same thing that is on Bond Vigilantes, M&G's fixed-income blog.
FT Alphaville has also been writing about this curious bond in the past. It has to inform that it has been below par for at least around 80 years. If it is said in other words, it has not been given this much high valued by the investors of the bond during the full reign of Elizabeth II. Apply with pay weekly loans @ http://www.payweeklyloans.org.uk/ and get quick fund your immediate aids.
Leaviss has to point out that this has got nothing much to do with the patriotic masses of the UK capital but has got quite a lot to do with the constant trouble of eurozone. The prices of UK gilt have gone across the board since the investors have tried to be safe.