Government Bond
A government bond is a type of debt security issued by a government to raise capital. It is a fixed-income instrument that promises to pay a specified amount of money, known as the face value or par value, to the bondholder on a predetermined maturity date. Government bonds are generally considered to be low-risk investments because they are backed by the full faith and credit of the issuing government. They are typically issued in denominations of $1,000 or higher and pay interest, known as the coupon rate, at regular intervals until the bond reaches maturity.
External Links
- [GovernmentBond.com] GovernmentBond.com – How and Why to Buy, Sell, or Invest in Government Bonds
- [GovernmentBond.net]
- [fiig.com] Corporate Bonds Government Bonds Specialists | FIIG Securities
- [libertyloanbonds.com] Liberty Bond - Historical WWI U.S. Government Bonds
- [MunicipalFinance.org] Center for Municipal Finance | A nonprofit organization dedicated to increasing the transparency and efficiency of government bond markets