US Treasury Bonds: How to Buy Treasuries From Abroad in 2026
US Treasury bonds — Treasuries — are one of the most reliable dollar instruments in the world. Investors outside the US can buy them on a local exchange or through a broker with access to the US market. Using Kazakhstan (KASE) as the example, we explain how it works, what you could earn and which taxes to factor in.
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Up to date as of October 2026. Broker fees, exchange listings and tax rules change — check your broker's website, the exchange and your local tax authority (in Kazakhstan, the State Revenue Committee) before you trade.
What Treasuries are
They are debt securities issued by the US Department of the Treasury: you lend money to the government, it pays you interest and returns the face value at maturity. A short definition is in our glossary: Treasury bonds, and the basics are in bonds explained simply.
| Type | Term | How you earn |
|---|---|---|
| Bills | Up to 1 year | No coupon: you buy below face value |
| Notes | 2–10 years | Coupon every six months |
| Bonds | 20–30 years | Coupon every six months |
| Treasury ETFs | No maturity | Fund distributions; price depends on interest rates |
Where to buy them (Kazakhstan example)
| Route | What we know | What to check |
|---|---|---|
| KASE, government securities sector | Some Treasury issues trade in dollars; the quote is the clean price as a % of face value, accrued interest is added separately | List of issues, lot size, spread |
| Broker with access to the US market | Freedom Broker has a "Treasury bonds" section with dollar bonds, including Treasuries | Fees, minimum amount, W-8BEN |
| US bond ETFs | Bought like stocks on a US exchange | Fund expenses, tax on distributions |
A KASE example: issue US191_2806 (ISIN US91282CCH25), with a 1.25% annual coupon paid twice a year and maturing on 30 June 2028, has been on the KASE official list since 25 February 2026; the listing was initiated by Halyk Finance. To buy it, you need an account with a Kazakh broker that has access to the KASE stock market. Issues mature and new ones are added — check the current list with your broker and on kase.kz. How buying securities on the local exchange works is covered in how to buy stocks on KASE. In other countries, check which local brokers or exchanges offer access to Treasuries.
A worked example
The numbers are illustrative. A bond with a $1,000 face value, a 1.25% annual coupon and 1.5 years to maturity. Market rates are above the coupon, so the bond trades below face value — at 96%.
| Item | Amount |
|---|---|
| Clean price (96% of $1,000) | $960 |
| Accrued interest — paid to the seller | ≈ $3 |
| Total to pay (before fees) | ≈ $963 |
| Coupons over 1.5 years (3 × $6.25) | $18.75, of which $3 just returns the accrued interest you paid |
| Redemption | $1,000 |
| Income before taxes and fees | ≈ $55.75, around 3.9% a year |
Terms: accrued interest, yield to maturity. The bond yield calculator will run your own numbers.
If you hold to maturity, you get the face value regardless of price swings. If you sell earlier, the price may be lower: when interest rates rise, existing bonds get cheaper. The longer the term (duration), the stronger the effect.
Taxes and the W-8BEN form
- USA. Under IRS rules, non-residents don't pay US tax on so-called portfolio interest, which usually includes interest on Treasury bonds. For this to apply, the withholding agent must have your W-8BEN form on file — otherwise 30% is withheld. The form usually stays valid until the end of the third calendar year after you sign it.
- Bond ETFs make distributions as a fund, and withholding depends on the fund and the broker. Don't assume 0% automatically — check your broker's tax statement.
- Kazakhstan, securities on KASE. According to KASE, income from non-resident bonds on the official list is tax-exempt for resident individuals; the exchange notes that this is not an official clarification.
- Kazakhstan, securities on a foreign exchange. You declare the income yourself in tax form 270.00 by 15 September of the following year. Details: tax on investments in Kazakhstan. If you live elsewhere, check your own country's rules on foreign interest income.
How much to invest
Treasuries usually make up the defensive part of a portfolio. Example: a $5,000 portfolio with 20–30% in bonds — that's $1,000–1,500, i.e. one bond with a $1,000 face value plus a buffer. Match the term to your goal: if you will need the money in two years, choose a bond that matures no later than that, so you don't have to sell early at the market price.
Common mistakes
- Looking only at the coupon. Your return is set by the purchase price: a bond with a 1.25% coupon bought below face value can pay more.
- Forgetting accrued interest. You pay it to the seller on top of the price.
- Buying long bonds "for a year". When rates rise, the price of 20–30-year bonds can fall sharply.
- Not signing the W-8BEN when buying through the US market.
- Ignoring the spread on a local exchange such as KASE. If you sell before maturity, it eats part of your return.
What you are risking
The risk of the US defaulting is considered very low, but not zero. The real risks for an investor outside the US (Kazakhstan in this example) are interest rate risk (the price falls when rates rise), currency risk (if your local currency, such as the tenge, strengthens, your return in that currency will be smaller), liquidity on the local exchange and broker risk: in Kazakhstan, brokerage assets are not insured by the KDIF. To compare bonds with a bank deposit, see bonds or a deposit, and the Aspiro Academy (in Russian) lesson "Bonds and ETFs" gives you the basics.
Aspiro Invest — a medium-term portfolio: what to hold, when to review it and where the protective levels are.
- In Kazakhstan, Treasuries can be bought on KASE (government securities sector, in dollars) or through a broker with access to the US market.
- Your return is set by the purchase price, not just the coupon; accrued interest is paid to the seller.
- When buying through the US market, sign the W-8BEN, or 30% will be withheld.
- Hold to maturity or match the term to your goal, so you don't depend on interest rates.
FAQ
Can you buy US Treasury bonds on KASE?
Yes. Some issues of US Treasury bonds trade in dollars in the KASE government securities sector. For example, issue US191_2806, maturing on 30 June 2028, has been on the KASE official list since 25 February 2026. The list of issues changes, so check with your broker which securities are available.
Do I need a W-8BEN form for US Treasury bonds?
If you hold the bonds through US infrastructure, yes: under IRS rules, interest on Treasury bonds is usually exempt from US tax for non-residents, but without a W-8BEN the withholding agent will withhold 30%. The form usually stays valid until the end of the third calendar year after you sign it.
How are US Treasury bonds taxed in Kazakhstan?
According to KASE (its page is not an official clarification), income from non-resident bonds on the KASE official list is treated as exempt for resident individuals. For securities bought on a foreign exchange, you declare the income yourself in tax form 270.00 by 15 September. Check the exact procedure with the State Revenue Committee. In other countries, local rules apply.
Are US Treasury bonds risk-free?
The risk of a US default is considered very low, but other risks remain: a bond's price falls when interest rates rise, your local currency (such as the tenge) may strengthen, spreads on a local exchange like KASE can be wide, and brokerage assets are not insured (in Kazakhstan, by the KDIF).
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