The primary difference between Canadian Treasury bills and Canadian Treasury bonds is that the bills:
A)Do not have default risk
B)Have more price volatility
C)Have a shorter maturity at time of issue
D)Offer a higher return

Question

Quizplus · Accepted Answer

Canadian Treasury bills have a shorter maturity at the time of issue, typically ranging from 1 month to 1 year, while Canadian Treasury bonds have a longer maturity of 10 years or more. This makes Canadian Treasury bills ideal for short-term investments, while Canadian Treasury bonds are better suited for long-term investments. The other options listed do not accurately describe the primary difference between these two types of securities.

The Primary Difference Between Canadian Treasury Bills and Canadian Treasury