G7 Bond

DEFINITION of 'G7 Bond'

A term used to refer to government bonds issued by a nation in the Group of Seven (G7). A G7 bond is considered relatively less risky than bonds issued by nations outside the G7.

The G7 nations are Canada, France, Germany, Italy, Japan, the United Kingdom and the United States. All these nations are considered industrialized and developed countries.

BREAKING DOWN 'G7 Bond'

For retail investors, there are funds that invest mainly in G7 bonds. These fixed-income funds target risk-averse investors looking for stability and preservation of capital. G7 bonds are often characterized by their high liquidity and low risk.

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RELATED FAQS
  1. What are G7 bonds?

    G7 Bonds refer to bonds that are issued by the governments of the following seven countries: United States, Canada, France, ... Read Answer >>
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    Let’s say a corporate bond who was quoting 95 is now quoting 70 because of increased fear regarding the company. The ... Read Answer >>
  3. What are the key factors that will cause a bond to trade as a premium bond?

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  4. Where can I buy government bonds?

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