Why Commercial Paper?
Commercial paper is a short‐term debt instrument issued by a corporation, typically for the financing of accounts payable and inventories and meeting short‐term liabilities. Maturities on commercial paper rarely range longer than 270 days. It is usually issued by companies with very high credit ratings and most commercial paper is assessed by more than one rating agency.
Commercial paper usually pays a higher rate of interest than guaranteed instruments, and the rates tend to rise along with national economic growth. Those who seek higher yields will likely find these instruments appealing due to their superior returns with modest risk.
Securities offered through Institutional Bond Network, LLC member FINRA/SIPC