stock purchase
sundarkambam suggestsd using services such as Share builders.com and Buy and hold.com to purchase stocks . this is an alternative to purchasing drips.However, my question is, companies like these , how often do they purchase shares for you? lets assume you wish to purchase shares of G.E. at a certain price. how do you know that your shares are purchased at that price and not a much higher price when you purchase through these online firms?
when you purchase drips , you can tinme your purchases so you are buying at lower prices and getting the most shares for your money . anyone care to comment on this one for me ?
Best Answer
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Oldman answered one year ago …
You can't time the purchase, but at each site is information on the relative frequency of purchases, as well as the way prices for purchases are determined.
You can't really time your purchases with DRIP's , however their pricing policies are much more precise, as each transfer agency for a particular security can give you a more specific time for collation of orders to sell/purchase, and the cutoff time for deposits to be included in the next round of purchases. In addition, with DRIP's, some of the companies have a policy of discounting these purchases, to decrease any cost/share, particularly for reinvestment of dividend..
