Treasury Bond

Definition

A negotiable, coupon-bearing debt obligation issued by the U.S. government and backed by its full faith and credit, having a maturity of more than 7 years. Interest is paid semi-annually. Treasury bonds are exempt from state and local taxes. These securities have the longest maturity of any bond issued by the U.S. Treasury, from 10 to 30 years. The 30-year bond is also called the "long bond." Denominations range from $1000 to $1 million. Treasury bonds pay interest every 6 months at a fixed coupon rate. These bonds are not callable, but some older Treasury bonds available on the secondary market are callable within five years of the maturity date.
also called U.S. Treasury bond or T-bond.

Use Treasury Bond in a sentence

You may want to try and invest in a treasury bond if you are looking for a low risk investment opportunity.

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There was a treasury bond and I paid no attention because the government dd not have any effect on my and what I did.

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The treasury bond was optimal because we only desired coupon payments every six months, so we lent money to the government.

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