I invested much more than the deposited funds. For example, I probably had a few hundred dollars on deposit at each bank, but when the conversion papers were sent, I usually sent back between 20k-40k. Of course, you never get that much, as they allocated it across all the eligible depositors.

And there is definitely risk. I like to watch for those sample papers at SNL. They rotate them out occasionally. If you look at all the “pops” as they call them, some do go down, so it’s not risk-free. I usually tried to sell as soon as possible after the conversion, but it usually took a week or two to get the certificate and drop it off at my brokers office.

When it came time to invest in the actual conversions, did you normally just invest the deposited funds at that bank? I’m assuming there is some risk like investing in a stock IPO?

Did you immediately sell after the conversion?

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