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What is the short-term rolling Gilt product?
What is the short-term rolling Gilt product?
Mykyta Pavlushyn avatar
Written by Mykyta Pavlushyn
Updated over 3 weeks ago

Wisealpha’s Rolling Gilt product is for clients who want an automated approach to gilt investing while delivering consistent, low-risk, and tax efficient returns. Funds will be invested in a pre-specified short-term gilt on a rolling basis (1 year or up to 18 months at a time), once this gilt matures funds will be reinvested into the next scheduled gilt.

Key features:

1.Existing gilt holding

Funds deposited into the product will be invested into the pre-specified existing gilt (for example the first Gilt is the UKT 0.125% Jan 2026 GB00BL68HJ26)

2.Pre-specified roll over gilt

A rollover gilt is predefined for your investment. Upon the maturity of your existing gilt, the funds are automatically reinvested into this rollover gilt, ensuring uninterrupted investment.

3.Low coupon gilts

Low coupon gilts will be selected for the rollover schedule to maximise tax efficiency. For UK Tax Payers income tax is applied to the coupon, while the capital gains element is tax free.

4.Ease of management

The rollover gilt product keeps your money working for you without the administrative hassle of manually reinvesting. Once an existing gilt matures, funds are locked within the product, and reinvested into the roll over girl.

5.Exit at any time

Clients who wish to exit the product can ‘cash out’ at any time. Please note that liquidity is subject to other Wisealpha clients buying your gilts on the secondary market.

6.Government backed securities

Gilts are issued by HMT, providing a reliable and stable foundation for your portfolio.

Benefits:

  • Consistency: Ensures ongoing investment without disruptions.

  • Convenience: Automates the reinvestment process, saving time and effort.

  • Security: Maintains investment in low risk UK government securities.

  • Flexibility: Updates to rollover gilt selection ensure adaptability to market conditions.

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