Medium-term Notes

Medium-term notes (MTNs) are a type of debt instrument that is issued by corporations and governments to raise capital. They are typically issued with maturities of one to ten years, and are usually sold in denominations of $1,000 or more. MTNs are typically issued in private placements, meaning that they are not publicly traded on a stock exchange. They are usually sold to institutional investors, such as banks, insurance companies, and pension funds.

History of Medium-term Notes

Medium-term notes have been around since the early 1900s, when they were first used by governments to finance their operations. Since then, they have become a popular way for corporations to raise capital. MTNs are attractive to investors because they offer a higher yield than other debt instruments, such as bonds. They also offer more flexibility than other debt instruments, as they can be structured to meet the needs of the issuer and the investor.

Comparison of Medium-term Notes

Summary

Medium-term notes are a type of debt instrument that is issued by corporations and governments to raise capital. They are typically issued with maturities of one to ten years, and are usually sold in denominations of $1,000 or more. MTNs are typically issued in private placements, meaning that they are not publicly traded on a stock exchange. They offer a higher yield than other debt instruments, such as bonds, and offer more flexibility than other debt instruments. For more information about MTNs, you can visit the websites of the Securities and Exchange Commission, the Financial Industry Regulatory Authority, and the International Capital Market Association.

See Also

• Bonds
• Commercial Paper
• Debt Instruments
• Fixed-income Securities
• Private Placements
• Securities and Exchange Commission
• Financial Industry Regulatory Authority
• International Capital Market Association
• Treasury Bills
• Treasury Notes

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