Fixed Income Bonds Get Another Boost: Shawbrook Bank Now Offers Best Deal With 4.04% Nine Month Deal
Fixed-income bonds have received a new boost, with short-term deals offering the most attractive rates.
The best comes from Shawbrook Bank.
It yesterday raised the amount it will pay on its nine-month bond to 4.04 percent, just above Allica Bank’s 4 percent and Atom’s 3.95 percent.
Shawbrook Bank yesterday increased the amount it pays on its nine-month bond to 4.04%, putting it just above Allica Bank’s 4% and Atom’s 3.95%
One-year bonds also continued to rise, with Cynergy leading at 4.45 percent, Shawbrook at 4.44 percent, followed by Close Brothers and Atom both at 4.4 percent.
You can earn a smidgen more for two years with Cynergy Bank’s best rate of 4.5 percent. However, long-term bonds are not rising at the same rate.
The top five-year rate is 4.6 percent at Tandem, followed by 4.58 percent at United Trust Bank and 4.55 percent at Close Brothers.
Fixed income bonds are priced based on what money market traders believe will happen over time.
With inflation expected to fall from the current sky-high 10.4 percent, they are betting on lower rates to come.
sy.morris@dailymail.co.uk