Treasury bonds
Treasury bonds are long-term loans issued by the U.S. government to finance its spending. When you buy a Treasury bond, you are essentially lending money to the government, which promises to pay you interest, known as the coupon, every six months until the bond matures, typically in 10 to 30 years. At maturity, the government repays your initial investment, called the principal. These bonds are considered very safe since they are backed by the government, making them a popular choice for conservative investors seeking stable returns.
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Treasury Bonds are long-term debt securities issued by the U.S. Department of the Treasury to finance government spending. When you buy a Treasury bond, you're essentially lending money to the government for a set period, typically 10 to 30 years. In return, the government pays you interest, known as the coupon, every six months. At the end of the bond's term, you receive your initial investment back. Treasury bonds are considered low-risk investments because they are backed by the U.S. government, making them a popular choice for conservative investors seeking steady income.