How are government bonds and notes typically quoted?

Government bonds and notes are typically quoted as a percentage of par, which refers to their face value. This standard practice allows investors to easily compare the current market prices of these securities to their original value, helping them understand how much they would pay relative to what they would receive upon maturity. Quoting in percentages of par provides a clear and straightforward way to assess the price movements and yields of these securities, which are held in high regard for their safety and reliability.

In contrast, while other options present quoting methods for various securities, such as quoting in 1/8ths for some corporate bonds or using yield to maturity for assessing returns on securities, the convention for government bonds and notes is to provide prices as a percentage of their par value to maintain clarity and standardization across the market.