Bank Expanding

[puertorock2005]

Hi, everybody, I just wanted to ask everybody with investments if they've ever been offered stocks by their banks. if so, can you tell me what was your experience once you bought it or why you didnt' buy or if you you would buy it. my Bank's offered me to buy some stocks at $20 a pop and I saw that their stock is usually $40-45 a piece. they made the offering for an expansion. I'll get into that later. I'd like to ask what questions would be in your mind if you got such an offer. what would you look for in the Prospectus. thanks fellas, and thank you Chase Bannnon for all your help in this game as well.

 

[kjxxxx]

Here is how I would approach it.
This is your bank. I would consider whether they are a good bank compared to the other banks around where they are expanding. How they compared to the banks in your location. Do you believe other people will join them and will they pick them over other banks. Do they have what it takes to keep customers. What would you change about them. Is the negatives about them enough to make you and a bunch of their customers want to leave.

Those are some of the things I would consider to get a feel for the bank.

The most important part now is the prospectus. For that I will give you some links:

They explain the prospectus
http://www.investored.ca/en/library/csa/csab_prospectus.htm

How to read A Prospectus
http://www.sos.mo.gov/securities/pubs/How to Read A Prospectus_01.2005.pdf

They walk you through the prospectus
http://www.investopedia.com/articles/00/090600.asp