Quantitative Easing

What is Quantitative Easing and Why has it been used? Quantitative easing is a policy introduced by the Bank of England to pump [to date] £375 billion into the economy. It works by the BofE purchasing government bonds (known as Gilts) off private and institutional investors which increases the price of government bonds, thus lowering Read more about Quantitative Easing[…]

Pension Deficit Falls

http://www.bbc.co.uk/news/business-20946476 The article above shows the effect that the BoEs Quantitative Easing (QE) policy has had for pension funds. By undertaking QE the yield on government bonds (Guilts) has fallen. This is because the Bank of England purchases Guilts off of financial institutions (banks, insurance firms, pension funds, hedge funds, private investors, equity funds etc) Read more about Pension Deficit Falls[…]