What is the typical maturity range for a Treasury Note?

The typical maturity range for a Treasury Note is indeed between 1 and 10 years. Treasury Notes, which are issued by the U.S. Department of the Treasury, are designed to help finance government spending and are sold at a fixed interest rate. Investors purchase these securities with the understanding that they will receive periodic interest payments, known as coupon payments, throughout the life of the note, as well as the principal amount back at maturity.

This specific maturity range distinguishes Treasury Notes from other types of government securities. Treasury Bills, for instance, have maturities of less than one year, while Treasury Bonds typically have maturities longer than 10 years, often extending to 30 years. Understanding these classifications is essential for investors to align their investment strategies with their financial goals and desired time horizons. Thus, the maturity range of 1 to 10 years for Treasury Notes highlights their role in balancing investment options that are neither too short nor too long in duration.