gilts

Diverging fortunes for government bonds and credit in recent weeks have prompted some fund buyers to suggest strategic bond portfolios could flourish again in the coming months.

The golden age of exceptionally low bond volatility is drawing to a close, and investors would be wise to lock in any handsome profits before monetary policy shifts, explains Lombard Odier's Grant Peterkin.

Core government bond yields have tumbled this afternoon, as investors rush back to safe havens and stocks slump amid widespread selling.

The UK's blue chip index has shed 100 points to drop below 6,350, hitting a fresh 12-month low at the end of a volatile week for equity markets.

The pound reached a two-year high against the euro overnight while yields on gilts and treasuries rose, as Scottish voters rejected independence from the UK and investors swapped safe havens for equities.

Threadneedle's Richard Stevens is to leave the firm at the end of the month, handing over his trio of government bond funds to other members of his team, Investment Week can reveal.

The upcoming Scottish referendum may be providing an unexpected boost to the index-linked gilt market as a lack of supply and investor caution fuel a strong rally in the space.

UK gilts are the best value they have ever been compared to German bunds, M&G's Richard Woolnough has said.

Positive economic news in the US and the continuing recovery in the UK have pushed equity valuations near to peak levels. So where can investors turn for protection in case markets fall from here?

Overseas investors may abandon gilts in the run-up to the vote on Scottish independence, with volatility likely to jump as uncertainty increases.