Our kinky curve

Quick Summary:

And zero coupon bonds can become super high-yielders if their price gets low enough.

It was just over fifteen months ago that FTAV rang the bell on the weirdly compelling nature of low coupon gilts for UK taxpayers in a higher-yield environment.

But we can compare the yields of individual high coupon bonds to low coupon bonds that have around the same distance to maturity to get some sense of magnitude of the overall high coupon effect.

---

More Pictures

---

Read Quick SummarySave Time

or

Article Details

Category: MarketsFinanceInvesting

Markets: United States

Topics: Coupon Bonds Yields Curve Gilts Retail Being Bond Gilt Rate Yield

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2024-06-28 @ 05:00:27 (2 days ago)

News Timezone: GMT -5:00

News Source URL: ft.com

Language: English

Article Length: 1047 words

Reading Time: 6 minutes read

Sentences: 54 lines

Sentence Length: 20 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Financial Times

News ID: 21407623

View Article Analysis

About Financial Times

Main Topics: MarketsFinanceInvesting

Official Website: ft.com

Update Frequency: 5 posts per day

Year Established: 1888

Headquarters: United States

News Last Updated: 14 hours ago

Coverage Areas: United States

Ownership: Independent Company

Publication Timezone: GMT -5:00

Content Availability: Worldwide

News Language: English

RSS Feed: Available (XML)

API Access: Available (JSON, REST)

Website Security: Secure (HTTPS)

Publisher ID: #3

Publisher Details

Frequently Asked Questions