Borrowing is accomplished through the sale of shortterm notes and longterm bonds. (11) The term ''indenture security'' means any security issued or issuable under the indenture to be qualified.Benefits of Indenture. An indenture, signed at the closing of the issuance of the notes, is a contract between the issuer of the notes, any guarantors of the debt and the trustee. The highyield indenture is a complex and sometimes highly negotiated agreement. Documents in any action arising out of the provisions of the indenture. 228See Lubben, supra note 46. An indenture, signed at the closing of the issuance of the notes, is a contract between the issuer of the notes, any guarantors of the debt and the trustee.