Question

What is the category of bonds in the U.S. (from the selection below) that has the largest amount (quantity) outstanding, at the end of 2018?

1) Corporate bonds
2) Municipal bonds
3) Treasury bonds
4) Agency bonds

Answer 1

The category of bonds in the U.S. with the largest amount outstanding at the end of 2018 is Treasury bonds, due to their reputation as a safe global investment and the volume of bonds issued.

Step-by-step explanation:

You asked about which category of bonds in the U.S. has the largest amount outstanding at the end of 2018. The correct category is Treasury bonds.

The U.S. federal Treasury bonds are considered one of the safest investments globally, as the government has a solid track record of making consistent payments for over two centuries. Despite corporate bonds offering a higher interest rate to compensate for a greater risk of default, the sheer volume of Treasury bonds issued and their wide acceptance as a safe investment mean that they represent the largest quantity outstanding among the choices provided.