Gilt ladder building tool
Posted: December 8th, 2023, 9:53 am
I created a tool for building a gilt ladder – lategenxer.streamlit.app/Gilt_Ladder – (I'm not allowed to post any links yet, so one needs to copy'n'paste this link onto the browser's address bar.)
It can take in consideration one's marginal income tax. Instead of using heuristics to filter out bonds with high coupons, it will select the optimal combination of all bonds using linear programming, and therefore it always make the right trade off between high coupons and depreciating cash balances.
It can also take arbitrary withdrawal schedule as an CSV. This can be useful if one wants to use gilts to fund nominal or real expenses in the medium term, such as partially paying out a mortgage when fixed deal ends, or school tuition fees.
The tool has some limitations and makes certain assumptions. If you plan to use this please read the disclaimer on the bottom, the description on the About tab, the help on the (?) icons, and any notices produced. That said, I do hope others find this useful.
It can take in consideration one's marginal income tax. Instead of using heuristics to filter out bonds with high coupons, it will select the optimal combination of all bonds using linear programming, and therefore it always make the right trade off between high coupons and depreciating cash balances.
It can also take arbitrary withdrawal schedule as an CSV. This can be useful if one wants to use gilts to fund nominal or real expenses in the medium term, such as partially paying out a mortgage when fixed deal ends, or school tuition fees.
The tool has some limitations and makes certain assumptions. If you plan to use this please read the disclaimer on the bottom, the description on the About tab, the help on the (?) icons, and any notices produced. That said, I do hope others find this useful.