Negotiable Financial Instruments > This page

Retail Deposit Notes
(Source: Merrill Lynch)

New investment opportunity   
High investment quality 
The Security of FDIC Insurance (Member section)
Call Feature (Member section)

New investment opportunity 
Whether your investment objective is capital preservation or current income, innovative deposit notes can help you reach your goal. Deposit notes not only bridge the gap between corporate bonds and insured certificates of deposit (CDs), but they also offer investors the following special combination of advantages in an investment vehicle with an optional call feature:

• The protection of federal deposit insurance.
• Attractive yields.
• Steady income, typically paid on the first business day of each month.
• Intermediate maturities ranging from five to 15 years.
• Convenient minimum denominations of $1,000.

Deposit notes can be particularly attractive for investors who are seeking dependable monthly income. They can also be especially advantageous for investors accumulating assets in Individual Retirement Accounts (IRAs) or other tax-deferred accounts where the income earned is not subject to current taxes.

High investment quality
Deposit notes are issued by banks and carry a fixed rate of interest. They represent senior bank deposit obligations and rank ......................

More information is provided in the Member Area

Recommended further reading:
Discounting of bank guarantees (BG's) 
Risk Free Capital Accumulation
Books on Financial Instruments