A short-term debt security issued by the U.S. government with a maturity of one year or less. Treasury bills are sold at a discount to their face value, and you receive the full face value when they mature. They are considered extremely safe because they are backed by the U.S. government.
You buy a Treasury bill for $9,950 that will pay you $10,000 when it matures in 3 months. Your $50 profit represents your return. Treasury bills are often used as a safe place to park cash and as a benchmark for comparing other investments.
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