Bank of England alarm as hedge fund gilt bets hit £100bn

Bank of England data show hedge funds had borrowed £99.9bn from banks to recycle back into gilts as of the end of November - Andrew Aitchison/Getty Images Hedge funds have placed a £100bn bet on gilts that the Bank of England believes has left Britain dangerously exposed to a bond market meltdown. Andrew Bailey will face questions from MPs this week after Threadneedle Street expressed alarm over trades that allow hedge funds to borrow huge amounts of cash from banks using gilts as collateral. The Gover ...