Municipal Note

Debt issued by state and local governments to finance capital expenditures such as construction projects. Municipal notes are appealing to investors because they mature in one year or less, offer fixed income and are often exempt from income tax at the local, state and/or federal levels.

Investors can determine the risk of investing in a particular municipal note by examining the ratings issued by Moody's and by Standard & Poor's.

Moody's gives municipal notes three possible ratings: MIG 1 (best quality), MIG 2 (high quality) and MIG 3 (adequate quality).

Standard & Poor's uses a four-tiered rating system: SP-1+, SP-1, SP-2 and SP-3. Only the first three are considered worth investing in. SP-3 municipal notes are considered speculative.


Investment dictionary. . 2012.

Look at other dictionaries:

  • municipal note — noun a municipal debt instrument with a maturity of less than 2 years • Hypernyms: ↑note, ↑promissory note, ↑note of hand …   Useful english dictionary

  • municipal note — A note for money borrowed by a municipal corporation, usually payable and issued to a single investor and maturing at a date earlier than a bond issue. 43 Am J1st Pub Sec § 11 …   Ballentine's law dictionary

  • note of hand — noun a promise to pay a specified amount on demand or at a certain time I had to co sign his note at the bank • Syn: ↑note, ↑promissory note • Hypernyms: ↑debt instrument, ↑obligation, ↑certificate of indebtedness …   Useful english dictionary

  • note of protest — A note of the fact of the protest of a negotiable instrument indorsed thereon by a notary at the time of its protest. See memorandum; municipal note; promissory note; public note …   Ballentine's law dictionary

  • Municipal notes — Short term notes issued by municipalities in anticipation of tax receipts, proceeds from a bond issue, or other revenues. The New York Times Financial Glossary * * *    Short term US securities, typically out to three years maximum, issued by… …   Financial and business terms

  • municipal notes — short term notes issued by municipalities in anticipation of tax receipts, proceeds from a bond issue, or other revenues. Bloomberg Financial Dictionary * * *    Short term US securities, typically out to three years maximum, issued by state and… …   Financial and business terms

  • Municipal Auditorium-Recreation Club — U.S. National Register of Historic Places …   Wikipedia

  • Municipal or urban engineering — applies the tools of science, art and engineering in an urban environment. Contents 1 Summary 2 History 3 Professional practice 4 International Organisation …   Wikipedia

  • Municipal Silca — Nickname(s) Los Benjamines …   Wikipedia

  • Municipal Liberia — Full name A.D. Municipal Liberia Founded 7 june 1977 Ground Estadio Edgardo Baltodano Briceño Liberia, Costa Rica (Capacity: 6,500) Chairman …   Wikipedia

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