How Do You Directly Purchase Stocks Without Using Stockbrokers?
Generally, you must utilize the services of a stockbroker to purchase shares of stock. There are a few companies, however, that will allow you to purchase shares in their company directly. These opportunities are known as Dividend Reinvestment Plans (DRIPS). When you sign up for this type of program, generally you must agree to purchase a certain amount of stock to begin participating. You must also agree that all dividends will be used to purchase more shares. Dividend Reinvestment Plans are a great way to get into the stock market if you do not have a lot of money to invest, and they are also a great way to grow your investment as the reinvested dividends compound and add up quickly. Obtain a listing of the companies that offer Dividend Reinvestment Plans. Vita Nelson (see additional resources below) offers a complete and up-to-date list for a nominal price. Do a little research of your own once you have the list. Look for sound companies with a high dividend yield that may be tradin
