Few attracted by gilts

THE Government's gilt auction last Wednesday attracted just 2,000 private investors who invested an average of pounds 6,050, after an unprecedented effort by the Bank of England to make the auction attractive to the public.

It spent pounds 140,000 on extra advertising - pounds 70 per investor. They paid the average price bid by the professionals for the Treasury 71 4 per cent 1998 - pounds 101.04 (just above pounds 101 1 32 ) for each nominal pounds 100 , giving a yield of 6.98 per cent. The stock now stands at pounds 1009 32 .