A student says the interest rate on the oneyear treasury, Ask an Expert

Finance

A student says, "The interest rate on the oneyear Treasury bill is currently 0.29%, while the interest rate on the 30-year Treasury bond is currently 4.10%.

Why are any investors buying the Treasury bill when they can receive a much higher yield by buying the Treasury bond?" Provide an answer to the student's question.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92060016

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