Re: Selling Stock

"joetaxpayer" <joetaxpayer@[EMAIL PROTECTED]
> wrote
> I agree about using banks, but don't understand why the 
> avoidance of brokers. My reinvested dividends (through 
> Schwab) do not have any commission.

TRowePrice, Fidelity and Vanguard brokerages also do not 
charge a commission for reinvesting dividends, capital 
gains, and returns of capital. Ameritrade says dividend 
reinvestment "is available at no cost on some common and 
preferred stocks and closed-end mutual funds." No doubt 
there are more.

I have not checked precisely but from general reading I 
think the number of brokerages offering free dividend 
reinvestment has increased rapidly in the last five years. A 
2006 article in USA Today says that most brokerages offer 
dividend reinvestment, and it "is usually free of charge."

As Joetaxpayer and Ernie propose, it likely does not cost 
the brokerages much to offer this service. 

--------------------------------------
Misc.invest.financial-plan is a moderated newsgroup where Moderators
strive
to keep the conversations on-topic for financial planning. Other posting
guidelines include a request for brevity and another for trimming posts to
which we respond.  For all of the other tips and suggestions, see "FROM
THE
MODERATORS: Posting to misc.invest.financial-plan", a weekly post now on
the
Newsgroup.