A short-dated contract or instrument is one with a maturity between three months and one year (or two years in some  cases). Examples are short-dated options, short-dated futures, short-dated swaps, short-dated gilt, short-dated debentures, etc. However, some instruments, like short-dated bonds, have to be paid back in a period of five years or less. By nature, bills are short-dated financial assets. Short-dated contracts are, generally, less sensitive to market volatility, and offer a safer return, than long-dated contracts.