Title: Japanese Government Bond (JGB) Definition
Headings: Japanese Government Bond (JGB)
Japanese Government Bond (JGB)
What Is a Japanese Government Bonds (JGB)?
Understanding Japanese Government Bonds (JGBs)
Special Considerations
Japanese Government Bonds (JGBs) vs. U.S. Treasuries

Content: The yield curve steepens when the spread between short-term interest rates, which are negative in Japan, and long term rates increase. The wider spread in interest rates creates opportunities to arbitrage profits, which is advantageous for banks in Japan. Japanese Government Bonds (JGBs) vs. U.S. Treasuries
Japanese government bonds (JGBs) are very much like U.S. Treasury securities. They are fully backed by the Japanese government, making them a very popular investment among low-risk investors and a useful investment among high-risk investors as a way to balance the risk factor of their portfolios. Like U.S. savings bonds, they have high levels of credit and liquidity, which further adds to their popularity. Furthermore, the price and yield at which JGBs trade is used as a benchmark against which other riskier debt in the country is valued.