Article

Maturity Date

August 22, 2026 · Aditya Gupta

Investing

Maturity date is when a bond's face value is returned to the bondholder, ending the loan. Short-term bonds mature in 1-3 years; intermediate-term in 4-10 years; long-term in 10-30 years. Longer maturities generally pay higher yields (assuming a normal yield curve) but expose holders to more interest rate risk — if rates rise, longer bonds lose more value. Maturity also matters for tax planning: bonds held to maturity recover face value with no capital loss; bonds sold before maturity at a loss generate capital losses usable for tax-loss harvesting. Bond ETFs maintain a constant maturity profile by rolling over holdings.

Investing

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