P&G Shares Purchased
Early last month, I sent the account application form together with a $500 check to P&G to invest in their stocks. The confirmation mail arrived yesterday, saying the initial purchase was made on December 1st. This part of my recent DRIP investments in dividend-paying stocks. So far I have bought three stocks: Bank of America (BAC), Progress Energy (PGN), and P&G (PG). The first two were purchased via DRIP programs at ComputerShare.com and PG was from the company directly. Here’s a summary of P&G’s Shareholder Investment Program (SIP):
- $250 minimum initial investment;
- $7.50 one-time account setup fee;
- $50 minimum additional purchase with $1.00 per share fee via bank account and $2.50 via check or money order, plus $0.02 per share commission;
- 5% of quarterly dividend up to maximum of $1.25 plan maintenance fee;
- Commission free dividend reinvestment if using electronic statement;
- $10 stock sale fee plus $0.02 per share commission.
Overall, the plan’s fee structure is not as simple as that of BAC or PGN (no buy/sale commission and no account maintenance fee), though the fees are not terribly high (it could become a problem when the number of shares reaches a certain level later on). In addition, I have to request an online access to manage my PG shares as P&G doesn’t provide any online registration when the first purchase was made. Still paper based process and it’s not very convenient at all.
If you are interested in investing in DRIP stocks, check out my ComputerShare review for details.
This article was originally written or modified on . If you enjoyed reading this post, please consider subscribing to my full RSS feed. Or you can also choose to have free daily updates delivered right to your inbox.