U.S. Long-Term Bond Duration

Long-term U.S. bond mutual funds and ETFs invest the majority of their... Long-term U.S. bond mutual funds and ETFs invest the majority of their assets in long-duration debt issued by governments and corporations in the U.S. These funds typically concentrate on debt securities that will mature over 6 years from now. This category can include mutual funds and ETFs having exposure to long-term government debt, which could be issued either by the U.S. Department of the Treasury (eg. Treasury Bonds) or by government-sponsored agencies such as Fannie Mae. Long-term municipal bond based mutual funds and ETFs, which include debt issued by different U.S. states and local governments, can be part of this category. Additionally, mutual funds and ETFs investing in long-term U.S. corporate bonds of various credit qualities can be also included in this category. Investors often seek exposure to different types of long-term U.S. bonds if they believe that interest rates will fall, as longer duration debt is more sensitive to changes in interest rates than short-term debt. Moreover, investment-grade long-term U.S. corporate debt, issued by fundamentally strong and mature companies, can also be a core part of conservative portfolios. Last Updated: 01/27/2025 View more View less

Long-term U.S. bond mutual funds and ETFs invest the majority of their assets in long-duration debt issued by governments and corporations in the U.S. These funds typically concentrate on debt securities that will... Long-term U.S. bond mutual funds and ETFs invest the majority of their assets in long-duration debt issued by governments and corporations in the U.S. These funds typically concentrate on debt securities that will mature over 6 years from now. This category can include mutual funds and ETFs having exposure to long-term government debt, which could be issued either by the U.S. Department of the Treasury (eg. Treasury Bonds) or by government-sponsored agencies such as Fannie Mae. Long-term municipal bond based mutual funds and ETFs, which include debt issued by different U.S. states and local governments, can be part of this category. Additionally, mutual funds and ETFs investing in long-term U.S. corporate bonds of various credit qualities can be also included in this category. Investors often seek exposure to different types of long-term U.S. bonds if they believe that interest rates will fall, as longer duration debt is more sensitive to changes in interest rates than short-term debt. Moreover, investment-grade long-term U.S. corporate debt, issued by fundamentally strong and mature companies, can also be a core part of conservative portfolios. Last Updated: 01/27/2025 View more View less