imported>Doug Williamson |
imported>Doug Williamson |
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| 1. ''Financial markets - financial instruments - UK central government debt.''
| | ''UK bank supervision.'' |
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| Most commonly in UK usage, UK central government debt.
| | (ILG). |
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| | Individual Liquidity Guidance is guidance given to a regulated institution about the amount, quality and funding profile of liquidity resources that the regulator as asked the institution to maintain. |
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| Also known as Gilt-edged securities, or Gilt-edged stock.
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| | | ==See also== |
| | | *[[Buffer]] |
| :<span style="color:#4B0082">'''''Example 1: Short-dated Conventional gilt'''''</span>
| | *[[ILAAP]] |
| | | *[[LAB]] |
| :An example of a short-dated conventional UK gilt was the 2% Treasury Gilt 2020.
| | *[[Liquidity Coverage Ratio]] |
| | | *[[Liquidity risk]] |
| :Each £100 gilt repaid £100 to the owner on 22 July 2020.
| | *[[Pillar 1]] |
| | | *[[Pillar 2]] |
| :It also paid interest on 22 July 2020, calculated at 2% per year. It was originally issued in 2014.
| | *[[Prudential Regulation Authority]] |
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| :It paid a predetermined fixed amount of interest (2% per year) throughout its whole life.
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| :It was repaid at a fixed amount of £100 at its maturity on 22 July 2020.
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| :Whatever happened to inflation before final maturity, these amounts did not change.
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| :<span style="color:#4B0082">'''''Example 2: Long-dated Conventional gilt'''''</span>
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| :A very long dated conventional gilt is the 4% Treasury Gilt 2060.
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| :It will pay interest at 4% per year until 2060.
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| :<span style="color:#4B0082">'''''Example 3: Index-linked gilts'''''</span>
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| :Index-linked gilts pay out larger amounts, the higher the rate of inflation.
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| :The 'index' they are linked to is the UK Retail Prices Index (RPI).
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| :About 25% of UK gilts are index-linked, with 75% being conventional.
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| Historically, gilts were printed on gilt-edged paper (heavy bond paper with a metallic edge, usually gold-leaf or gold paint).
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| The heavy expensive looking paper was designed to give confidence in the promise.
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| 2. ''Financial markets - central government debt.''
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| The term 'gilt' is also used to refer to the debt of certain other central governments, especially US government treasury securities.
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| == See also == | |
| * [[Bill]] | |
| * [[Bond]]
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| * [[Bund]]
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| * [[Debt Management Office]]
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| * [[Exempt gain]]
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| * [[G+]]
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| * [[High-yield]]
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| * [[Index-linked gilt]]
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| * [[Investment grade]]
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| * [[Paper]]
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| * [[Risk-free rate of return]]
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| * [[Semi-annual rate]] | |
| * [[Share]] | |
| * [[Sovereign]] | |
| * [[Stock]] | |
| * [[Stock exchange]]
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| * [[Swap spread risk]]
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| * [[Tap stock]] | |
| * [[Treasury]] | |
| * [[Treasury securities]] | |
| * [[United Kingdom]]
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| [[Category:Corporate_financial_management]]
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