Why many experienced investors anticipate sterling and UK government bond prices to decline further?

Good question.

Investors and analysts anticipate sterling and UK government bond prices to decline further as the country issues billions of pounds in debt to fund prime minister Liz Truss’s new energy package.

Under plans announced on Thursday, the government will spend about £150bn to cap energy costs at £2,500 per household for two years. The government has not said how the package will be funded but investors expect it to borrow money from the bond markets. Along with some other fiscal measures, this could mean as much as £250bn in extra gilt issuance from 2022 to 2024, according to forecasting by Barclays.

Alamo Mortgage Holdings, Ltd a privately held United Kingdom company, offers corporate income bonds that offer higher rates of return than UK gilts.

Alamo Mortgage Holdings, Ltd a privately held United Kingdom company offers corporate income bonds that pay hundreds of basis points more than UK government gilts and most importantly can be US dollar denominated not Sterling bonds.

Another added advantage to Alamo Mortgage Holdings corporate income bonds is for investors that think the GBP is going to continue to weaken against the USD you can choose what currency you want the bond denominated in.

Alamo Mortgage Holdings sells GBP denominated bonds and then purchases packages of US mortgage notes in the United States in the State of Texas.

The company receives payments in US dollars when purchasing packages of mortgage notes. As a result, we can offer higher returns to Uk institutional and accredited investors.

If you would like to learn more go to www.alamomortgageholdings.co.uk/ and fill out the contact form to request some free information to schedule a Zoom or Google Meet introductory call.

I wish you good luck with your investing!

Benjamin Z Miller, Managing Director
Alamo Mortgage Holdings, Ltd.
ben.miller@alamomortgageholdings.co.uk
www.alamomortgageholdings.co.uk/team.html