US Treasury bill


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Related to US Treasury bill: US Treasury note

US Treasury bill

US government debt with a maturity of less than a year.

Treasury Bill

A debt security backed by the full faith and credit of the United States government with a maturity of one year or less. Very commonly, T bills have a maturity of a few weeks to a few months. They are purchased at a discount and then redeemed for par; T bills do not pay interest. For example, an investor may purchase a $5,000 bill for $4,500. While he/she will not earn any coupon payments, he/she will receive $5,000 in no more than a year. They are low-risk, low-return investments. Private investors may purchase T bills in small quantities, but the bulk of the T bill market comes from institutional investors, especially banks. See also: Treasury note, Treasury bond.
References in periodicals archive ?
In addition to the US Treasury Bills, the Company's trust account has a cash balance of $218,921, which is deposited in a US Treasury money market fund.
375 percent over the comparable US Treasury Bills, which will mature on May 15, 2013.
Products now traded on BrokerTec's US and European platforms include: US Treasury Bills, Notes, Bonds, Strips, Agency Benchmark and Euro Sovereign Debt, U.