Dividend Reinvestment Plans

GPTKB entity

Statements (26)
Predicate Object
gptkbp:instanceOf Investment Plan
gptkbp:alsoKnownAs DRIPs
gptkbp:alternativeTo Receiving cash dividends
gptkbp:benefit Automatic investment
Compounding returns
No or low commissions
gptkbp:commonIn Long-term investing
gptkbp:eligibility Shareholders of participating companies
gptkbp:feature Fractional share purchases
Direct stock purchase
Optional cash purchases
https://www.w3.org/2000/01/rdf-schema#label Dividend Reinvestment Plans
gptkbp:introducedIn 1961
gptkbp:offeredBy Publicly traded companies
Brokerages
Transfer agents
gptkbp:originatedIn gptkb:United_States
gptkbp:purpose Reinvest dividends to purchase more shares
gptkbp:regulates Subject to SEC rules
gptkbp:riskFactor Market risk
Lack of diversification
gptkbp:taxStatus Dividends are taxable even if reinvested
gptkbp:usedBy Institutional investors
Individual investors
gptkbp:bfsParent gptkb:asset_management_company
gptkbp:bfsLayer 6