In US Fixed Income markets, a note is an instrument with a maturity of greater than one, but less than ten years.

Notes are - with the exception of their time to maturity - are identical to bonds. Notes, unlike discount instruments such as bills, pay interest at regular intervals. This is in addition to a pay of principal received at the maturity of the bond.

For example, one might purchase a US Government issued 7 year bond, paying a 5% coupon maturing in Jan 2007 for perhaps $950. Every six months the owner would then receive a coupon payment of $25, followed by a final payment of $1,000 (the so-called face value of the bond) at maturity.

See also bill and bond.