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Stocks & Shares Isa - Index Linked Guilts - Help

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So what I'm looking for is an easy guide to setting up a self-managed stocks and shares ISA and getting some of those Index linked guilts inside. Do I need to by an index linked fund ETF to do this?

This is a long term investment I'm not looking to trade the guilts, just get an RPI + return over 25ish years - probably with an initial input of 3.6k this financial year and potentially adding to that investment in later years. I realise if RPI falls this may be a bad investment I will not be putting all my eggs in this one.

Would rather not be paying some fund manager/ yearly on the ISA either if possible.

Thanks for any help.

Edited by CrashInHand
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Most self select ISAs have a small annual management charge - typically around £10-£20 per year.

Gilts are bought and sold just like shares - except, you can buy fractions of a gilt (you can't buy a fraction of a share).

Gilts aren't traded on the main stock exchange, but are traded on other exchanges which most online budget brokers have access to - you just give the broker the code number (ISIN) and that's it.

For example, if you want to buy "1 7/8% Index linked treasury gilt 2022", you'd simply enter its ISIN number: GB00B1Z5HQ14 as the share code. Complete list available here.

If you don't know which gilt to buy, then you can buy an ETF e.g. INXG (which contains a mixture of different index linked gilts, so you avoid the risk that a particular duration of gilt does poorly). The catch with buying an ETF is that there is a small management fee - in the case of INXG it's 0.25% per year. On the plus side, if you buy a single gilt - you take a risk on the duration - you can hedge this by buying multiple gilts - but you increase your transaction costs.

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