Define: Treasurys

Treasurys are debt securities issued by the U.S. Department of the Treasury to finance the national debt and government spending.

Treasurys are generally considered a safe investment because they are backed by the full faith and credit of the U.S. government.

Investors purchase treasurys at a set interest rate and receive regular interest payments until the maturity date, at which point they receive the full principal amount.

Treasurys come in various forms, including Treasury bills (T-bills), Treasury notes, and Treasury bonds, each with different maturity dates and interest rates.

Interest earned on treasurys is subject to federal income tax, but exempt from state and local taxes.

Treasurys can be sold on the secondary market before their maturity date, but the price may be higher or lower than the original purchase price.

A default on treasurys would have significant economic and financial repercussions, and the U.S. government has never defaulted on its debt.

Treasurys are often used as collateral for loans because of their high credit quality and liquidity.

Treasurys are often considered a good hedge against inflation because their interest payments and principal are guaranteed by the U.S. government.

Treasurys can be purchased directly from the U.S. Department of the Treasury through their website, or through a broker or financial institution.