What is U. S. Treasury securities?

U. S. Treasury securities are like promises that the government makes to you, and they're pretty safe ones too.

Imagine you have a piggy bank, and your friend (who is like the U. S. government) says, “I’ll give you some candy every month if you let me borrow a few of your jellybeans now.” That’s kind of what happens with Treasury securities, the government borrows money from people like you, and promises to pay it back later with some extra candy (which is like interest) added on top.

When you buy a Treasury security, you’re giving the government money. In return, they promise to give it back to you after a certain time, maybe in 1 year, or even 30 years! And if they say they’ll also give you some extra candy every now and then, that’s like getting interest.

These promises are sold to people all over the world, just like how your friend might borrow jellybeans from many different kids. That way, the government can keep borrowing money for big projects, like building roads or paying for schools!