ITT

Intermediate Term Treasury

itt-2017

 

Intermediate term treasury funds generally have an average maturity around 5-7 years.  The fund will accomplish this by purchasing 10-year treasuries and selling them when they fall below 4 years (the exact details may vary by fund).

Intermediate term treasuries are popular both for their steady returns and notable safety even compared to a total bond market fund.  Note that they share a similar average maturity as the total bond market.

US treasury bonds are generally considered the safest form of bond, since because the government can always print more money there’s virtually no default risk.

 

Index Funds

 


Source Data
  • 1970-1991: Longinvest’s bonds fund spreadsheet (10-4 model), S
  • 1992+: Vanguard Intermediate Term Treasury Fund (VFITX), P

 


Portfolios with Intermediate Treasury assets