GILTS UK vs US

masonic

PixelPound said:

DRS1 said:

Gains on UK gilts are not subject to CGT for a UK taxpayer.  Presumably the same is not true of gains on US Treasury Bonds?

Same is not true if the UK gilt is in a ETF. 

Funds in general containing gilts would not be subject to the CGT exemption, only direct gilt holdings. There are also other risks associated with funds that mean they behave quite differently than gilts held directly and to maturity.

InvesterJones

PixelPound said:

DRS1 said:

Gains on UK gilts are not subject to CGT for a UK taxpayer.  Presumably the same is not true of gains on US Treasury Bonds?

Same is not true if the UK gilt is in a ETF. 

Do you know of any UK gilt ETFs that hold till maturity?

masonic

InvesterJones said:

PixelPound said:

DRS1 said:

Gains on UK gilts are not subject to CGT for a UK taxpayer.  Presumably the same is not true of gains on US Treasury Bonds?

Same is not true if the UK gilt is in a ETF. 

Do you know of any UK gilt ETFs that hold till maturity?

There are plenty of these. The trouble is there are no examples which run down their portfolio, so an investor never gets their capital back unless they sell their shares including the whole underlying portfolio.

PixelPound

InvesterJones said:

PixelPound said:

DRS1 said:

Gains on UK gilts are not subject to CGT for a UK taxpayer.  Presumably the same is not true of gains on US Treasury Bonds?

Same is not true if the UK gilt is in a ETF. 

Do you know of any UK gilt ETFs that hold till maturity?

Do you mean ones that hold their bonds until they mature, or ones with a defined maturity date?

ishares ibonds do, you can get Dec 2028, Dec 2029, Dec 2030 etc

Or Invesco bulletshares

Cus

aroominyork said:

OldScientist said:

Comparing the risk of default between the US and UK is tricky (the US has slightly higher credit ratings than the UK)

Surely it's not tricky. Neither will default. If you think they might isn't it time for gold bullion under the bed?

There could be some sort of technical default that leads to a reduced payment.  I know it's not the same but Argentina have defaulted twice I think and society continues.

InvesterJones

PixelPound said:

InvesterJones said:

PixelPound said:

DRS1 said:

Gains on UK gilts are not subject to CGT for a UK taxpayer.  Presumably the same is not true of gains on US Treasury Bonds?

Same is not true if the UK gilt is in a ETF. 

Do you know of any UK gilt ETFs that hold till maturity?

Do you mean ones that hold their bonds until they mature, or ones with a defined maturity date?

ishares ibonds do, you can get Dec 2028, Dec 2029, Dec 2030 etc

Or Invesco bulletshares

Yeah I was thinking ones that hold until maturity. I could never find out how to actually buy ishares ibonds.

wmb194

InvesterJones said:

PixelPound said:

InvesterJones said:

PixelPound said:

DRS1 said:

Gains on UK gilts are not subject to CGT for a UK taxpayer.  Presumably the same is not true of gains on US Treasury Bonds?

Same is not true if the UK gilt is in a ETF. 

Do you know of any UK gilt ETFs that hold till maturity?

Do you mean ones that hold their bonds until they mature, or ones with a defined maturity date?

ishares ibonds do, you can get Dec 2028, Dec 2029, Dec 2030 etc

Or Invesco bulletshares

Yeah I was thinking ones that hold until maturity. I could never find out how to actually buy ishares ibonds.

Trading212 appears to offer them, only euro and US dollar iBonds appear to exist though.

 https://www.trading212.com/trading-instruments/invest