Vanguard USD Treasury Bonds

ETF description

This ETF invests in U.S. Treasury bonds, which are debt securities issued by the U.S. government. Treasury bonds are considered low‑risk investments as they are backed by the U.S. government, making them a popular choice for conservative investors. The fund provides exposure to a range of U.S. Treasury bonds with various maturities, offering a stable and predictable source of income.

This ETF may appeal to investors seeking a low‑risk, stable investment focused on government‑backed bonds. It could suit those who prioritise preserving capital while earning consistent returns through U.S. Treasury bonds.

Issuer details

Vanguard is the largest provider of mutual funds and the second‑largest provider of ETFs in the world.

Vanguard is a major American investment management company headquartered in Malvern, Pennsylvania. It’s known for being the largest provider of mutual funds in the world and the second‑largest provider of ETFs after BlackRock’s iShares with over $8trn in global assets under management (as at June 2024). Vanguard was founded in 1975 by John C. Bogle and is notable for its unique ownership structure ‑ it is owned by its funds, which in turn are owned by their shareholders. This structure is designed to align Vanguard’s interests with those of its investors, helping to keep costs low.

Index details

The USD Treasury Bonds index offers investors comprehensive exposure to U.S. government bonds issued in U.S. dollars, reflecting the performance of a wide range of Treasury securities. By focusing on these low‑risk, highly liquid investments, the index provides opportunities for stable income generation and capital preservation.