Short term gilts? Treasuries? Or EU alternatives?

[philip9999]

Hi, 

Any reasonable etf options for Short term gilts? Treasuries? Or EU alternatives? Somewhere low risk to park funds and collect a circa 4.5/5% coupon?

I have two IG accounts, my professional account includes options such as BIL etf which is ideal, although it would be nice to have a UK option so I don't have to hedge the fx. Any options for non professional accounts?

I've come across two US options that might work, both will need fx hedging:

Vanguard US Treasury 0-1 Year Bond UCITS ETF

iShares USD Treasury Bond 0-1yr UCITS ETF

 

Any other options?

 

Thanks,

 

Phil

[MongiIG]

On 18/02/2023 at 20:04, philip9999 said:

Hi, 

Any reasonable etf options for Short term gilts? Treasuries? Or EU alternatives? Somewhere low risk to park funds and collect a circa 4.5/5% coupon?

I have two IG accounts, my professional account includes options such as BIL etf which is ideal, although it would be nice to have a UK option so I don't have to hedge the fx. Any options for non professional accounts?

I've come across two US options that might work, both will need fx hedging:

Vanguard US Treasury 0-1 Year Bond UCITS ETF

iShares USD Treasury Bond 0-1yr UCITS ETF

 

Any other options?

 

Thanks,

 

Phil

Hi @philip9999

The two options are available for non-professional traders, however, they are currently on unborrowable which means you can only open long positions. Another options would be the iShares UK Gilts 0-5yr UCITS ETF.

 

All the best - MongiIG

[philip9999]

Thanks Mongil, I think the 0-5 years carries a bit too much risk at the moment. I'll stick with the two aforementioned options. 

Is there any way to tell what the liquidity within ETF's is like on IG? Presume bonds should be liquid but you never know!

Thanks,

Phil

[MongiIG]

53 minutes ago, philip9999 said:

Is there any way to tell what the liquidity within ETF's is like on IG?

Hi @philip9999

A wider spread can indicate low liquidity, also volume of trades (time between price ticks) as an indicator on our platform.

 

All the best - MongiIG