In the News

Title

What You Should Know About Dividend Reinvestment Plans

Document Type

Article

Publication Date

1-12-2017

Abstract

In their most basic form, dividend reinvestment plans – also called DRIPs – allow investors to purchase shares of stock and reinvest their dividends for additional shares, which compound over time.

"These plans are a terrific way to accumulate larger positions in companies over time," says Robert Johnson, president and CEO of the American College of Financial Services in Bryn Mawr, Pennsylvania.