Series 62


Government Securities - Introduction

The US Government is the largest issuer of debt. It is also the issuer with the least amount of default risk. Default risk is also known as credit risk and is the risk that the issuer will not be able to meet its obligations under the terms of the bond in a timely fashion. The United States Government issues debt securities with maturities ranging from 3 months up to 30 years. The Treasury department issues the securities on behalf of the federal government and they are a legally binding obligation of the federal government. Interest earned by the investors from US Government securities is only taxed at the federal level. The state and local governments do not tax the interest income.



series 62 exam prep



Types Of Government Securities

You May Also Like

Related Articles
  1. Investing

    How does FINRA differ from the SEC?

  2. Professionals

    Series 99

  3. Professionals

    Series 24

  4. Professionals

    Becoming A Registered Investment Advisor

  5. Professionals

    I have a CFA designation. Do I qualify ...

Trading Center