Government bonds

A government bond is a debt security issued by the state to finance its spending. Such bonds are regularly issued to attract extra cash to support the government obligations in education, defense, healthcare, and others. In such cases, those who buy bonds are lenders to the government, whereas the government is acting as a borrower.

Find more information on government bonds in our Knowledge base and check out our Bond Screener to shape your analysis.

US Treasury bonds, or T-bonds, are government marketable securities available to retail investors. These are long-term investments with maturities of 20 or 30 years.

You can buy T-bonds starting at just $100. They are considered nearly risk-free since they are backed by the government. The price and interest rates are set during the auction, and you purchase them directly from the Treasury. After that, they can be traded on the secondary market.

Stay updated on T-bonds with the US government bonds yield curve chart. For more insights, check out the Economic Calendar.

Bonds are considered a low-risk investment option and are often chosen by those looking to mitigate potential losses. Although the returns from bonds are generally lower compared to more volatile investments like stocks, they have their advantages and operate differently.

When you invest in a bond, you typically purchase it at its face value. Most bonds pay a fixed interest, known as a coupon rate, to their holders — usually on a semiannual basis. For example, if you buy a $10,000 bond with a 4.5% coupon rate and a 20-year maturity, you’ll receive $225 every six months for 20 years. Once the bond reaches its maturity date, the issuer repays the original $10,000 to you.

It’s also worth noting that bond prices often move inversely to stock prices. When stocks perform well, investors may shift their money out of bonds, causing bond prices to fall — and vice versa.

Government bond yields are the returns on investments made. There are four different types of government bond yields.

- Current yield measures the income you’re getting from the bond relative to its current market price. It's calculated by dividing the coupon rate by the price of the bond

- Yield to maturity (YTM) is the annualized internal rate of return an investor would earn if they buy a bond at its current price, hold it until the maturity date, and receive all the coupon payments and the par value at maturity of a bond

- Bond equivalent yield (BEY) is calculated by doubling the semiannual yield. It serves for comparison purposes and does not imply a detailed analysis of a bond's total return

- Effective annual yield (EAY) is a way to represent the actual return of a bond assuming that the coupon payments are reinvested at the same rate as the bond's coupon yield

There are several ways to buy government bonds. One of them is to go through an official government platform, such as TreasuryDirect in the US or Tesouro Direto in Brazil. You can also trade bonds right here on TradingView — explore our list of brokers and find the one that suits your strategy.

Another way to access government bonds is through fixed income ETFs — these funds give you exposure to the bond market without requiring you to buy actual bonds, making them a more accessible option for many investors.

It's always crucial to make your research before buying anything: leverage our Bond Screener to find the best bonds for you.

Different countries have their own categories and namings for government bonds, though they often serve similar purposes (short-term financing, inflation protection, etc.). Here are some of the popular bond types across different countries.

US government bonds:
- T-bills (short-term), T-notes (medium-term), or T-bonds (long-term)
- TIPS (inflation-protected)
- Savings bonds
- Municipal bonds

UK government bonds (Gilts):
- Conventional Gilts (pay fixed interest)
- Index-linked Gilts (inflation-protected)

German government bonds:
- Bunds (long-term)
- Bobls (medium-term)
- Bubills (short-term)

Japanese government bonds (JGBs)
- Short-, medium-, or long-term
- Inflation-linked JGBs

You can find the best bonds to buy with our Bond Screener.

The primary source of income for government bondholders comes from interest payments, known as coupons. The coupon rate is a percentage of the bond’s par value and is typically paid out semiannually in two equal installments.

Many government bonds are also considered liquid securities, meaning investors can sell them before the maturity date. These bonds are actively traded in a large over-the-counter (OTC) secondary market.

You can view and compare government bond rates and yields directly on TradingView — and explore bond ideas and forecasts to uncover new opportunities.

Treasury notes (T-notes) are the US medium-term securities with a time to maturity of 2, 3, 5, 7, or 10 years. They pay a fixed coupon rate until the maturity date, which doesn't change over the life of the note.

For example, buying a 10-year T-note with a 4.625% coupon rate will bring you $2.3125 every 6 months for 10 years plus $100 when the note matures.

Savings bonds are low-risk, long-term investments, designed more for individual savers than for big institutional investors.

US savings bonds are now presented in two types — Series EE bonds and Series I bonds, both of which have a time to maturity of 30-years. They are not marketable securities, and their interest rate is compounded semiannually so the value of a bond regularly increases.

- Series EE. These are guaranteed to double in value within 20 years, even if the Treasury has to add money to make that happen
- Series I. They're designed to protect you against inflation. Their combined rate is calculated from the fixed rate and the inflation rate, so, as inflation data changes every six months, the rates can go up or down

Even though these bonds cannot be found on a secondary market, they can be cashed in earlier. However, if redeemed before 5 years, you lose 3 months of interest.

Floating Rate Notes (FRNs) are two-year U.S. government securities that pay interest quarterly. Their interest rate adjusts over time (making it a floating rate), based on two components:

- Index rate. The highest accepted discount rate from the most recent 13-week T-bill auction (updated weekly)
- Spread. A fixed rate set at the FRN’s original auction

Interest accrues daily and is added to the bond’s par value. FRNs are federally taxed but exempt from state and local taxes.

Use our Bond Screener to find the right bond, and check News Flow for the latest updates.

Bond holders can only cash the savings bonds they legally own by providing evidence to a local bank or TreasuryDirect. Savings bonds purchased through any online auction or anyone besides TreasuryDirect cannot be cashed. Addditionally, you must own savings bonds for at least 1 year.

The redemption process differs slightly between paper and electronic bonds — paper bonds must be cashed in full, while electronic bonds can be redeemed both partially and in full.

Redemption limits may also vary depending on your bank, but there are no limits when using TreasuryDirect.

Learn more about other bond redemption types in our Knowledge Base and find more opportunities in the bond markets with our Bond Screener.

Treasury Inflation Protected Securities (TIPS) are 5-, 10-, or 30-year U.S. Treasury investments designed to protect against inflation. They pay interest semiannually, based on a fixed rate set at auction — even when the real yield is negative.

The minimum purchase is $100, in $100 increments. Their principal adjusts with inflation: if consumer prices rise, the bond’s value increases; if prices fall, it decreases — but at maturity, you’ll never receive less than the original principal.

Compare global bond rates and use our Bond Screener to dive deeper into the data.

Market price is the amount a government bond sells for on the secondary market. Depending on factors like economic conditions, the issuer’s credit rating, and the availability of other bonds, the market price can be higher or lower than the bond’s face value — resulting in the bond trading at a premium or discount.

Some bonds are marketable, meaning they can be easily sold for cash, while others, like savings bonds, are non-marketable. A bond’s market price is also shaped by investor sentiment and future expectations.

Browse bond prices and yields with our Bond Screener, and follow our government bonds News Flow to stay updated on market trends.

The par value (also known as face value or principal) is the amount the government agrees to repay when the bond reaches maturity. It’s the basis for calculating coupon payments and plays a key role in determining the yield to maturity — the total return earned if the bond is held until it matures.

Some bonds may be redeemed at more than their original principal. For example, U.S. Treasury Inflation-Protected Securities (TIPS) adjust the principal based on inflation, so the final payout may be higher.

Use the Bonds Heatmap to compare yields and explore the market further with our Bond Screener.

The maturity date is when the bond issuer must repay the bond’s face value. It’s a key factor in determining the bond’s price.

Government bonds are typically grouped by maturity length:

- Short-term: up to 5 years
- Medium-term: 5–10 years
- Long-term: 10–30 years

Bonds with longer maturities tend to carry more risk, as their prices are more sensitive to changes in the market — especially when new bonds are issued with different terms.

Track price and yield movements in our full list of government bonds, or explore trends visually with the Bond Yield Heatmap.