Investing in cooperative banks

Are common shares in cooperative banks a safe investment?

Hi there,

Shares in cooperative banks are not issued as stock certificates but simply documents of proof documenting your share in the cooperative. These shares normally cannot be transferred to other investors, but must be sold back to the cooperative bank itself. Banks may require notice before the return of shares, or they may only allow you to sell your shares on specific days. Because of this, these shares are less liquid than stocks.

Best regards from Moneyguru

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