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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: chowder who wrote (3769)	2/12/2010 8:06:16 PM
From: Elroy	Read Replies (1) \| Respond to of 34328

You can hold DRIP's in a normal brokerage account. Most of mine are. You just don't get the discount. Shares are reinvested at market price on the day the dividend is in your account. That's what my brokerage told me, but they couldn't say what would be the purchase price for the new shares, which turned me off. If it's in a Roth IRA and you don't get the discount, the only advantage to a DRIP is to not pay commission on the purchase. I still don't understand why T or Q would offer an investor a DRIP with a 5% discount on the new purchase, but force the investor to hold it in a new account? Why not offer the same program through the normal brokerages?