Bond Anticipation Note

A few things in life are certain. One of them is that there will always be another James Bond movie coming out. And we will all…anticipate it.

And, um…well…that's kinda what anticipation notes are all about. Minus the massive explosions, ticking bombs, and cars that squirt oil out of the tailpipe.

When a municipality or company wants to fund a project but can't wait to issue a larger number of bonds, they can issue bond anticipation notes. These are short-term, smaller bonds issued before a larger funding project. When the company or municipality makes a larger bond issue later, they can use the money from that issue to pay for the bond anticipation notes.