DRIPS (Dividend Reinvestment Plan) Do i have to buy it from the broker first before i buy it direct from comp?
If I am already buying a share of stock with a broker then shouldnt i just continue to buy all of my stocks through them. I mean what are the advantages of buying 1 through them and then the rest directly through the company...sharebuilder offers drips (i am just using sharebuilder as an example i.e ameritrade etc)...especially if im buying stocks from more than 1 company (like 5) isnt easier to just buy it all witht he same broker instead of directly through the company. Am I saving money and is the money that significant if I buy just 1 share of each company through a broker and the rest through a company..I am planning on buying and keeping the stocks for long term...
Also heard about DSP's direct stock purchase plans that will allow me to just buy the stock right through the company the first time without having to go through a broker.
what should i do. I am totally new to this, but I want to go the route of inexpensive and if possible I want to know that the company is going to keep track of the DRIPS sold and bought for tax purposes (I heard its difficult keeping track)