Investopedia and AD Banker says that VRDNs/VRDOs are long-term municipal bonds, while Achievable states it is short-term issued bond.
What is correct and why?
Thank you.
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Hi @Blue! Thanks for reaching out! Good question.
Technically, VRDNs are issued with long term maturities. However, their put option allows for short term redemption of the security. The embedded put feature essentially makes the security short term
(from a suitability standpoint), although they could be held for a number of years. I added some context to the Achievable chapter on this material:
While VRDNs allow an investor to hold them for short periods of time due to their put options, they are typically issued with long term maturities. This gives the investor flexibility. If the investor wants to continue collecting interest payments for long periods, they can. If the investor wants to exercise the put option to redeem their security at par, they can. Therefore, VRDNs can be viewed as both long and short term securities, although they technically are long term debt securities with the ability to redeem in the short term.
Additionally, I updated the key points at the end of the chapter:
Variable rate demand notes
- Long term municipal debt with short term redemption options
- Resetting interest rates on a periodic schedule
- Contain a put option at par
I hope this answers your question! Thanks for asking!
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It makes so much sense now, and it is better explained. Thank you so much, Brandon. 
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