Medium-term notes (MTNs) are debt securities with maturities ranging from 9 months to 10 years. They are typically issued by corporations and governments to raise capital for various purposes, such as funding operations, expansion, or refinancing existing debt.
MTNs offer several advantages over other types of debt securities. They are generally more flexible than bonds, with fewer restrictions on issuance and maturity. They also tend to be more liquid than bonds, as they are often traded in larger volumes. Additionally, MTNs can be tailored to meet the specific needs of investors, in terms of maturity, coupon payments, and other features.