True, you don't have to hold the bond for all that time. You can always sell it. Yet the price you will get ultimately depends on someone reckoning the debts will be honored in 2055. Pension funds seem to think that because they have liabilities stretching far into the future, they need matching assets. That is nonsense. You will need a television set in 50 years, but would you expect to get one that lasts that long if you bought it today? Just because you need an income-generating asset in 2055 doesn't mean you have to purchase it now. You can just keep replenishing your holdings of shorter-dated bonds. If you want to lend money to the government, fine. Still, it's better to hand it over for only five or 10 years so you have more chance of getting it back.