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In March 2009 an auction of British gilts failed.
There is value in stocks absent from Treasuries, German bunds and British gilts.
Yields on German bunds and British gilts have fallen below the rate of inflation because of investors' flight to safety.
Pimco, one of the world's biggest bond investors, declared that British gilts were "resting on a bed of nitroglycerine".
Evolution Securities estimates its forward yield at 3.8 percent, while 10-year British gilts return 3 percent.
Even if all the new market making in British gilts and equities attracts a horde of new business, profits can be illusory.
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The compartment smelt faintly, hygienically of admirable varnish; the train ran as smoothly — Tietjens remembered thinking — as British gilt-edged securities.
While the benchmark 10-year Treasury note yields reached a new low of 1.46 percent, the German bund dropped to 1.171 percent and the British gilt fell to 1.529 percent.
It was inflation that wiped out British gilt-holders after the second world war.Equities offer a better hedge against inflation, but American shares still look expensive.
Barclays Capital puts the United States Treasury market at $9 trillion, a $3 trillion increase over 2006, while the British gilt market stands at $1.1 trillion, up from $610 billion.
After an initially calm reaction in the City on Wednesday, investors decided to panic yesterday – herd instinct again – and sold British Treasury gilts.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com