G&F Investment Equity Shares FAQs

General information

What are G&F Investment Equity Shares? Expand/Collapse

G&F Investment Equity Shares are an investment in G&F Financial Group offered exclusively to our members to help raise strengthen G&F’s capital. Members also receive a premium rate of return on their investment and have the opportunity to invest directly into their credit union

What is the benefit of investing in G&F Equity Shares? Expand/Collapse

G&F Equity Shares have historically provided members a premium rate of return that is targeted to outperform traditional term deposits and are backed by the financial stability of the credit union. By investing in the credit union, members have an opportunity to share in G&F’s financial success.

What types of members are the G&F Equity Shares best suited for? Expand/Collapse

  • Members seeking higher returns in an investment alternative to term deposits and are not subject to stock market volatility
  • Members who are comfortable with an investment where the return is not guaranteed
  • Members who have a long-term investment horizon

WHat G&F members are eligible to invest in G&F Investment Equity Shares? Expand/Collapse

  • Members in good standing
  • Members over the age of 19
  • Members who reside in the province of BC

When are G&F Investment Equity Shares available and for how long? Expand/Collapse

G&F Investment Equity Shares will be available for limited times, as determined by the credit union. Check with your local branch on availability today.

Product features

What is the value of each equity share? Expand/Collapse

Shares have a fixed par value of $1.00. This does not change, since there is no open market for these shares and they are not listed on any stock exchange. They can only be purchased from or redeemed to G&F.

What investment options are available? Expand/Collapse

Members can invest in three different types of Investment Equity Shares

  • Non-registered
  • TFSA
  • RRSP

What are the minimum and maximum amounts members are allowed to invest? Expand/Collapse

Each member (personal or business) can invest a minimum of $500 (500 shares) up to a maximum cumulative limit of $5,000 (5,000 shares) inclusive of all investment share options.  The maximum is not for each type of investment option.

Can G&F Investment Equity Shares be held in joint accounts for non-registered shares? Expand/Collapse

Yes, a non-tax owner can be added to non-registered shares. The $5,000 cumulative maximum is per tax-reported owner.

Do G&F Investment Equity Shares entitle members to any special voting rights? Expand/Collapse

G&F Investment Equity Shares are non-voting shares. Only Class A Membership Equity Shares carry the right to vote at the annual general meeting of the members. However, G&F Investment Equity Shares are entitled to vote on the special rights and restrictions attached to these shares.

Are G&F Investment Equity Shares insured? Expand/Collapse

No, these investments are not protected under the Credit Union Deposit Insurance Corporation (CUDIC) as they are shares not deposits.

How long can members be invested in G&F Investment Equity Shares? Expand/Collapse

There is no set term length for the investment; however the product is ideal for members who have a long-term investment horizon.

Is there a fee to invest? Expand/Collapse

No, there is no fee associated with purchasing these shares.

Can G&F Investment Equity Shares be held as collateral or otherwise used as a security on a loan? Expand/Collapse

No, G&F Investment Equity Shares may not be used as collateral.

What happens if a member invests in an RRSP investment equity shares account and turns 71? Expand/Collapse

We are not offering RRIF investment equity shares. The year a member turns 71, the RRSP Investment Equity Shares will be redeemed and deposited into a RRIF variable account.

Dividends

How are the dividends calculated? Expand/Collapse

Dividends are calculated based on the minimum monthly balance and paid annually, posted retroactively to January 1st of the year the dividend is declared. For example, deposits made after the 1st of the month will earn dividends beginning the following month.

How are the dividends taxed? Expand/Collapse

For tax purposes, dividends are deemed to be interest income reported on the member’s T5 in the year the dividend is paid.

How will the rate of return be communicated to members? Expand/Collapse

The Board of Directors will declare the dividend rate in February after the audited financial statements have been approved. Dividends are paid annually and are non-cumulative (i.e. if they are not paid in that year, they do not carry over to the next year). G&F Equity Shares have historically provided members a premium rate of return that is targeted to outperform traditional term deposits and are backed by the financial stability of the credit union.

Redemption and transferability

How are G&F Investment Equity Shares redeemed? Expand/Collapse

G&F Investment Equity Share redemption is at the discretion of the G&F Board of Directors. To access funds held in these shares, members can submit a redemption request through their branch. 

What happens if a member leaves the province of BC? Expand/Collapse

While we are not offering G&F Investment Equity Shares to members outside of BC, the shares do not need to be redeemed if members move outside of the province.