Alterna Class A Investment Shares, Series 6

Alterna’s Class A Investment Shares, Series 6 are a unique and exclusive investment opportunity for Alterna Savings Ontario Resident Members only. These shares are a low-risk investment that offer a great rate of return. Each share is worth one Canadian dollar ($1 CAD).

Feel good about investing in a financial institution 100% owned by its Members. All of Alterna’s profits are reinvested in delivering exceptional products and services for our Members and investing in the growth and development of our local communities.  

Click to view Offering Statement.

How are these shares different from other stocks or common shares? Expand/Collapse

The main differences between common shares and Alterna’s Class A Investment Shares, Series 6 are:

  • Subscriptions for the Class A Investment Shares, Series 6 are available to Ontario Resident Members only – anyone can easily become a Member.
  • Income earned on Non-Registered Class A Investment Shares, Series 6 is taxed as interest vs. income typically earned on common shares which is taxed as dividends.

  • There is no secondary market (stock market) where Class A Investment Shares, Series 6 can be traded.
  • The confidence of knowing your Class A Investment Shares, Series 6 will have a fixed redemption value, unlike common shares which are valued by the market based on many variables.

Is there a minimum and/or maximum amount of shares Members can purchase? Expand/Collapse

  • Members are required to purchase a minimum of $1,000 (1,000 shares) and are limited to a maximum of $200,000 (200,000 shares) total, including shares held jointly. Rules apply for shares held jointly, or for shares held within a separate legal entity but beneficially owned by an individual.

Why are there multiple closing periods? Expand/Collapse

  • In the prior investment share issuances, sales period lasted six months and at the end of the sales period Alterna would issue shares. For Class A Investment Shares, Series 6, Alterna has decided to offer multiple closing periods allowing it to issue shares during each month rather than waiting for six months or until the target of 50 million shares is reached. Shares issued at the end of each month will be considered as capital, allowing Alterna to continue to grow.

  • There are no differences in terms and conditions of the shares being offered during different closing periods. All shares issued will be Class A Investment Shares, Series 6.

How long is the investment term? Expand/Collapse

  • The shares cannot be redeemed until 5 years from earlier of September 27, 2019 or on the date Alterna’s Capital needs are met. Transfers of shares during this period are possible if Alterna Savings is able to find a buyer. Alterna’s Class A Series 6 Investment Shares do not have a defined term; if a Member does not wish to hold their Class A Series 6 Investment Shares any longer, they are limited to either redeeming or transferring their shares.
  • Should the Member wish to redeem their shares after the initial 5-year period from the date of issuance, they can only do so through an Alterna branch, as there is no secondary market for any of Alterna’s Class A series 6 Investment Shares. Alterna Savings will first attempt to facilitate a transfer by matching the seller with a buyer and, if no buyer can be found, then the shares will be redeemed. Annual redemptions are limited to 10% of the amount of shares outstanding at the beginning of the year, and redemption requests above that limit will be carried forward to the following year. All redemptions and/or transfers must be approved by the Alterna Savings Board, subject to Applicable Law.

What is the dividend rate? Expand/Collapse

  • The Board of Directors has passed a resolution setting a minimum annual dividend rate of 4.00% for the first 5 years (if dividends are declared), prorated for the first year of issuance. The dividend rate is subject to change after the initial 5 years, as outlined within the Offering Statement.
  • For a full list of historical dividend rates please refer here.
  • Dividends (taxed as interest) are not guaranteed to be declared annually and are non-cumulative.

Are shares eligible as registered products? Expand/Collapse

  • Yes, Alterna’s Class A Series 6 Investment Shares are eligible for Registered Retirement Savings Plans (RRSP), Tax Free Savings Accounts (TFSA), as well as non-registered plans.

How are the dividends issued? Expand/Collapse

  • If declared, dividends are paid to the holder of the shares on the dividend payment date in the form of cash.

Are shares eligible for deposit insurance? Expand/Collapse

  • Alterna’s Class A Series 6 Investment Shares are not eligible for deposit insurance by the Deposit Insurance Corporation of Ontario (DICO).


Purchase Information


How do I purchase shares? Expand/Collapse

  • Visit a branch or call our Contact Centre (1.877.560.0100) to receive a copy of the Offering Statement, all purchases must occur in a branch of Alterna Savings. Members are obligated to read the Offering Statement before purchasing shares, as it is important they understand all of the risks, legalities and instructions regarding the shares before purchase. Alterna is legally obligated to provide an Offering Statement to Members before they purchase shares. Click here to view the Offering Statement online.

Who is allowed to purchase the shares? Expand/Collapse

  • Alterna’s Class A Series 6 Investment Shares are available to individuals (age 18 and over) as well as corporations and partnerships that reside in the province of Ontario that are Members of Alterna Savings.

Who can become a Member ? Expand/Collapse

  • Anyone who is a resident in the province of Ontario can become an Alterna Savings Member. Although there is no fee to join Alterna, you are required to hold a Membership Share. A Membership share is $15 and entitles you access to all the services of the credit union, and full rights as an owner/shareholder. You can discontinue Membership at any time, at which point the Membership Share will be redeemed.


Minimum dividend rate is 4.0% annually from 2019 to 2024 if dividends are declared. Declaration of dividends is not guaranteed. Dividends are non-cumulative. Member must review offering statement for full details prior to purchase. Only members may purchase Class A Investment Shares, Series 6.