Does anyone have information about MTN's (Mid Term Notes)

Does anyone have information about MTN's (Mid Term Notes)

Real Estate Investor · Memphis, TN · Member since 2008 · 4 posts · 0 votes

Hi, I'm not sure if I'm putting my question in the correct forum, but I have a lack of information on the topic and I just guessed that it may be attached to REO's. If not, someone please point me in the right direction...

Anyway, can anyone tell me where I could find some written information about MTN's or Mid Term Notes? I have a business associate that supposedly has a connection into the world of MTN's and he's telling me that there is alot of money in investing in or brokering them for other investors. I believe that my associate is a trustworthy individual, but some of the numbers that he throws out are hard for me to believe. For example, a 5 million dollar investment into an MTN "pool" (for lack of a better descriptive word) will yield a return of 15 million in under 30 days? He actually said a week, but I feel silly even typing that! ...lol He sounds convinced in his connection and that everything is legit and currently has a deal in the works, but I'm a big skeptic when it comes to fast money. I really can't find any written information on the internet or otherwise that gives an overview of exactly what an MTN is and how money is made from dealing with them. I would hate for someone to be scamming my associate and he not know, and I would also hate for everything to be legit and me miss out on the opportunity to make big money..lol If there is anyone that has dealt with or is familiar with MTN's and can give me any helpful information, please give me a point in the right direction. Thanks in advance!

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Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
19y

MTN - Medium Term Note. Tied to an SEC shelf registration where the issuing firm says they will issue debt over a period of time in the form of medium term notes.

Depending on what role you want to play you may need to be licensed or otherwise regulated.

MTNs are mostly for companies that want to borrow funds for projects, working capital, etc. Their needs vary over time and the market interest rate varies. They go through the process to register their future offering but do not go into the market until the timing is right.

For the most part (broad sweeping statement coming...)

Anyone who would spend time on BP is not going to be someone who has the connections to buy, sell or otherwise facilitate the sale of MTNs. BP is a RE board and the deal sizes here are much smaller than the typical MTN face amount.

One of the keys to success in investing is learning how to ignore the noise around you and focus on what you do best. If you really want to get involved with MTNs dive in by joining a reputable firm. If they will not hire you then likely you will not be very good at dealing with MTNs. If they will hire you then go for it if you like the work.

John Corey

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  • Member since 2008 · 1 post · 0 votes
    19y

    Hi

    My partner and I have been doing them now for awhile.What would you like to know?

    Mark

  • Member since 2008 · 18 posts · 1 vote
    19y

    James,

    You hit that right on the nail.

    MTN's are not for the little Investor.. If your not an Institution or a Mega-Wealthy Investor with connections,forget the world of MTN's...

    Regards,

    Joe Intonato
    D.R.R. Enterprises.

    Originally posted by "**********":
    Simple answer-

    "5 million invested-15 million return in 30 days" is a scam!

    Buyer beware!

  • Real Estate Investor · Memphis, TN · Member since 2008 · 4 posts · 0 votes
    19y
    Originally posted by "backman":
    Hi

    My partner and I have been doing them now for awhile.What would you like to know?

    Mark

    Everything!! :D Seriously though, I'm interested in learning exactly what they are, how they are traded, and how I could possible profit from brokering/connecting companies that trade MTN's with a few of my clients that have that type of buying power. I want to be throughly informed before I try to present any type of investing opportunity to them, because aside from hearsay, I'm not knowledgeable enough about MTN's to know if it is an investment that my clients would be interested in or not. Is there anywhere that I could get hard information to read about them? Thanks for you reply!

  • Real Estate Investor · Memphis, TN · Member since 2008 · 4 posts · 0 votes
    19y
    Originally posted by "**********":
    Simple answer-

    "5 million invested-15 million return in 30 days" is a scam!

    Buyer beware!

    LOL... :mrgreen: ..He actually said in 7 days...lol But yes, I agree, something like that just isn't gonna happen, and if by chance it did, I doubt that I would be lucky enough to get in on the ground floor of it! Thanks!

  • North Hollywood, CA · Member since 2008 · 10 posts · 0 votes
    19y

    I also would like to know more about MTN's. Everybody's "got a source"...which I've learned is usually somebody who knows somebody who knows somebody who has a friend in some institution.

    I also haven't seen been able to find much literature about it either.....

  • Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
    19y

    MTN - Medium Term Note. Tied to an SEC shelf registration where the issuing firm says they will issue debt over a period of time in the form of medium term notes.

    Depending on what role you want to play you may need to be licensed or otherwise regulated.

    MTNs are mostly for companies that want to borrow funds for projects, working capital, etc. Their needs vary over time and the market interest rate varies. They go through the process to register their future offering but do not go into the market until the timing is right.

    For the most part (broad sweeping statement coming...)

    Anyone who would spend time on BP is not going to be someone who has the connections to buy, sell or otherwise facilitate the sale of MTNs. BP is a RE board and the deal sizes here are much smaller than the typical MTN face amount.

    One of the keys to success in investing is learning how to ignore the noise around you and focus on what you do best. If you really want to get involved with MTNs dive in by joining a reputable firm. If they will not hire you then likely you will not be very good at dealing with MTNs. If they will hire you then go for it if you like the work.

    John Corey

  • Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
    16y

    very well said John, hows the fog? Speaking of fog, John has very good advice about the noise, which may fog your judgement! RE investors have enough to keep up with than to venture off on a tangent into the unknown, I know enough about it to know I'm not a buyer or a dealer! Bill

  • Lender · Fort Pierce, FL · Member since 2009 · 825 posts · 486 votes
    16y

    This thread discusses the long-lived prime bank note scam

    http://investorswatchdog.com/blog/investorswatchblog/?p=876

    Whenever I see a message that includes Medium Term Notes or MTNs .. a very large red flag flies.

  • Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
    16y

    I agree, the term itself seems to have been the result of backroom jargon as any pool sold or collateralized will be based in part on the WAM, Weighted Average Maturity of the obligations.

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