UK gilt futures on IB

[just21]

If you would like to trade uk gilt futures on interactive brokers please email ibmgmt@interactivebrokers.com and ask them when they will be available. There is an interesting convergence trade with euro bonds if the UK goes into the euro currency and interest rates move down from 3.5% to 2%. This spread will have to be traded as a ratio to take into account contract size differences.

 

[zentrader]

I've made several requests over the last 12 months for the gilts as I want to trade that spread too. Can't understand why they offer the STIRs on LIFFE and not the gilt.

If you see this Def please pass our request along!

 

[just21]

The long gilt futures will be available to you on your TWS tomorrow
(Friday) under the symbol R on LIFFE.

Note that both these and the Euro bond futures are physical delivery
contracts. Please review IB's policies on physical delivery futures by
visiting the IB web site and searching for "physical delivery". Then
select the "Futures Closeout" item.

Thank you for your business,

Thomas A. J. Frank, Ph.D.
Executive Vice President
Chief Information Officer
Interactive Brokers LLC


I suppose I better trade them then! Keep emailing ib management!

 

[just21]

What ratio do you trade the gilt/euro bond spread to take into account contract size differences?

 

[zentrader]

That's great news. I haven't traded this spread before, but the correct ratio looks like 3 bunds : 2 gilts. Good luck with it.