A Treasury Bill is a US government security with a maturity of less than one year. As others have mentioned it is sold on a discounted basis from its face value (also known as par value).
Treasury Bills differ from other US Government debt instruments in that:
1) Their maturity is shorter
2) They don't make coupon payments
As with any bond, note that there is an inverse relationship between price and yield. Also mentioned was the fact that prices can vary as market rates move; while correct this is only pertinent if you plan on reselling the T-bill before maturity.
Cheers,
Naverone
Treasury Bills differ from other US Government debt instruments in that:
1) Their maturity is shorter
2) They don't make coupon payments
As with any bond, note that there is an inverse relationship between price and yield. Also mentioned was the fact that prices can vary as market rates move; while correct this is only pertinent if you plan on reselling the T-bill before maturity.
Cheers,
Naverone