Meaning & use
Treasury bond
Last updated
Meaning
nouncountablefinance
a government bond issued by a national treasury, especially a long-term US government bond
Grammar: Countable: you can say 'a Treasury bond' or 'Treasury bonds'.
Patterns
- buy a Treasury bond
- invest in Treasury bonds
- a 10-year Treasury bond
Many investors buy Treasury bonds because they are considered safe.
The Treasury bond pays interest every six months.
He put half his savings into Treasury bonds.
Word forms
| plural | Treasury bonds |
|---|
Common combinations
- 10-year Treasury bond
- The 10-year Treasury bond yield rose today.
- buy Treasury bonds
- The fund buys Treasury bonds to reduce risk.
- Treasury bond yield
- The Treasury bond yield is closely watched by traders.
Synonyms and how they differ
- government bond
- A general term for any bond issued by a government; 'Treasury bond' is more specific to a treasury department's issue.
- gilt
- A British government bond; use 'gilt' in UK contexts, 'Treasury bond' in US contexts.
Word family
- Treasury noun
- The government department that manages public money and issues bonds.
Commonly confused: Treasury bond or Treasury note?
Treasury bond vs Treasury note
In the US, a Treasury note is a medium-term bond (2–10 years), while a Treasury bond is longer-term (20–30 years).
Practice
Which is the best definition of a Treasury bond?
Choose one answer.
A Treasury bond is issued by a national government's treasury. Company bonds are corporate bonds, and local council bonds are municipal bonds.
Make it your own
Write a sentence using “Treasury bond”, then check it and compare it with the examples above.