Long Term Notes (LTNs) in the context of banking and finance are debt instruments with characteristics quite distinct from Medium Term Notes (MTNs). Here's an overview:

1. Maturity Period: The defining characteristic of Long Term Notes is their extended maturity period. Typically, these instruments have maturities that exceed ten years and can even go up to 30 years or more. This longer duration contrasts with the shorter maturities of MTNs and short-term debt instruments.

2. Purpose and Use: LTNs are often used for long-term funding needs. This can include major capital expenditures, funding for large projects, or long-term strategic investments. The extended maturity aligns the repayment schedule with the long-term nature of these investments.

3. Investor Base: Due to their long-term nature, LTNs often attract a different type of investor compared to shorter-term notes. Investors in LTNs are typically looking for long-term, stable income streams and are less concerned about short-term liquidity.

4. Interest Rate and Yield: The interest rates on LTNs might be fixed or floating. Due to the longer maturity, the yields on these notes are generally higher compared to shorter-term debt instruments, compensating investors for the increased risk over a longer time horizon.

5. Risk Factors: The primary risk associated with Long Term Notes is interest rate risk. Since these notes have a long duration, they are more sensitive to changes in interest rates. Additionally, the longer maturity also means that there's a greater risk of changes in the issuer's creditworthiness over time.

6. Marketability: LTNs can be less liquid than shorter-term instruments. However, they are often traded in active secondary markets, providing some level of liquidity to investors.

7. Regulatory and Legal Framework: Similar to other debt instruments, the issuance of Long Term Notes is subject to regulatory requirements and involves detailed legal documentation.

In summary, Long Term Notes are an important instrument for long-term financing in the banking and finance sector, offering a balance of higher yields and long-term stability for investors, with the trade-off of increased interest rate risk and potential changes in the issuer's credit profile over a longer horizon.