Dividend Reinvestment Plan - DRIP
- Dividend Reinvestment Plan - DRIP
A plan offered by a corporation that allows investors to reinvest their cash dividends by purchasing additional shares or fractional shares on the dividend payment date.
A DRIP is an excellent way to increase the value of your investment. Most DRIPs allow you to buy shares commission free and at a significant discount to the current share price. Most DRIPS don't allow reinvestments much lower than $10.
This term is sometimes abbreviated as "DRP".
Investment dictionary.
Academic.
2012.
Look at other dictionaries:
dividend reinvestment plan — (DRIP) A plan under which shareholders can elect to receive shares instead of receiving a cash dividend. Once the shareholders elect to take shares, the company s registrars will arrange for the shares to be purchased on the market. Brokers costs … Law dictionary
Dividend reinvestment plan — A dividend reinvestment program or dividend reinvestment plan (DRIP) is an equity investment option offered directly from the underlying company. The investor does not receive quarterly dividends directly as cash; instead, the investor s… … Wikipedia
dividend reinvestment plan — ( DRP) Plan which provides for automatic reinvestment of shareholder dividends in more shares of a company s stock, often without commissions. Some plans provide for the purchase of additional shares at a discount to market price. dividend… … Financial and business terms
dividend reinvestment plan — Also dividend with reinvestment option A DRIP generates the distribution of a right which allows holders to exchange cash that they decide to reinvest for example shares that the company (or its agent) must acquire on the market … Euroclear glossary
dividend reinvestment — ( DRIP) Euroclear Clearing and Settlement glossary Dividend payment where cash dividend is rolled over into additional shares in the issuing company. Euroclear Clearing and Settlement glossary See also dividend reinvestment plan / dividend with… … Financial and business terms
dividend reinvestment — (DRIP) Dividend payment where cash dividend is rolled over into additional shares in the issuing company. See also dividend reinvestment plan / dividend with reinvestment option … Euroclear glossary
dividend — /div i dend /, n. 1. Math. a number that is to be divided by a divisor. 2. Law. a sum out of an insolvent estate paid to creditors. 3. Finance. a. a pro rata share in an amount to be distributed. b. a sum of money paid to shareholders of a… … Universalium
Drip — may refer to: Dripping liquid Intravenous drip, in health and medicine Murphy drip, in proctoclysis Drip gas, natural gas condensate Drip irrigation, in agriculture and gardening Drip painting, an art style of dripping paint across a canvas Drip… … Wikipedia
DRIP — (Dividend ReInvestment Plan) drɪp program that automatically reinvests dividends towards the purchase of additional shares (Finance) … English contemporary dictionary
DRIP — See dividend reinvestment Euroclear Clearing and Settlement glossary * * * DRIP UK US noun [C] FINANCE, STOCK MARKET ► ABBREVIATION for dividend reinvestment plan: a form of investment in which the investor s dividends are used to buy more shares … Financial and business terms
