United States Treasury Securities
Treasury Bonds are issued by the federal government, sometimes referred to as government bonds. The US Treasury calls its notes:
T-Bills: 1 year or less
Notes: 2-10 years
Bonds: 20-30 years
US Treasury securities are very liquid and are traded on secondary markets
T-bills or Treasury Bills mature in one year or less. They do not pay interest prior to maturity, but instead are sold at discount to their par value.
Treasury notes or T-notes mature in two to ten years and have coupon payments every six month. The 10-year T-note is the most commonly quoted government security when discussing macroeconomic expectations.
Treasury Bonds or T-bonds have the longest maturity of government bonds, twenty to thirty years, and have coupon payments every six months.
Treasury Bonds or T-bonds have the longest maturity of government bonds, twenty to thirty years, and have coupon payments every six months.