How to buy Treasury bonds? How to calculate the earnings

Mondo Finance Updated on 2024-02-27

Treasury bonds are financial instruments issued by the state with low risk, and its yield and maturity are set by the state, but the issuance of treasury bonds is limited, and certain conditions must be met if you want to buy them.

1. How to buy treasury bonds?

1.Purchase through a bank: Treasury bonds can be purchased through a bank, which needs to be handled at the counter, and the purchaser needs to provide relevant information such as ID card, bank card, and cash for the total amount purchased.

2.Purchase through a company: Treasury bonds can also be purchased through a company, which requires an account to be held and purchased on the trading system.

3.Purchase through credit cooperative institutions: You can also purchase through credit cooperative institutions, and you can consult credit cooperative institutions for specific operations.

Second, how to calculate the yield of treasury bonds?

The yield on Treasury bonds is made up of two parts: the issuance rate and market fluctuations.

1.Issuance interest rate income: At the time of issuance, the state has determined the interest rate of each treasury bond, which is calculated on an annual basis, and interest can be charged on a regular basis.

2.Market volatility returns: Since the market will be affected by changes in market supply and demand, during the holding period, if the market demand for treasury bonds is high, the yield will also increase.

Here's how the earnings are calculated:

Treasury Annual Interest Rate Holding Time (Annualized) = Interest Income.

Treasury bond market ** difference Number of holdings = market ** volatility income.

Using the above calculation method, the total return of each Treasury bond can be calculated.

To sum up, if you want to buy treasury bonds, you need to go to banks, ** companies or credit cooperative institutions and other channels to handle, on the yield of treasury bonds due to its high stability and is not greatly affected by market fluctuations, so the yield of treasury bonds with a shorter maturity will generally be lower, and the yield of treasury bonds with a longer maturity will be relatively high, so we also need to choose a suitable term according to our own needs when buying treasury bonds, and we also need to pay attention to the market and understand the fluctuations of treasury bonds.

Treasury bonds

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