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I can't speak for Mr. Cook, but I wished to myself "please split AAPL" just the other day. I hold AAPL and I would like to let my dividends roll over via a DRI
by simpleton22 12y ago
I can't speak for Mr. Cook, but I wished to myself "please split AAPL" just the other day.
I hold AAPL and I would like to let my dividends roll over via a DRIP managed by my broker. But at current prices, yield, and dividend frequency ($525, 2.3%, quarterly) I would need to hold $90k of AAPL for a dividend payment to buy a single share -- a bit rich for me. But after the split, that number goes down to $13k.
- 2arrs2ells 12y agoDoes your broker allow fractional shares in your DRIP? I hold a couple shares of AAPL in a Vanguard brokerage account and haven't had any problems reinvesting dividends for fractional shares.
- deleted 12y ago[deleted]
- PhantomGremlin 12y agoHopefully your AAPL is in a non-taxable account. Otherwise you are setting yourself up for this [1]: If all this seems complicated -- it is. A lifetime of DRIP investing may create a morass of tax obligations when the time comes to sell the DRIP shares, with at least four new cost bases of DRIP shares established each year (when dividends are reinvested) as well as when any OCPs are made. The first time I saw my accountant he literally shook my hand when I told him I didn't do DRIP. [1] http://finance.yahoo.com/education/drip/dspp_plans/article/101139/Tax_Considerations_of_DRIP_Investing http://finance.yahoo.com/education/drip/dspp_plans/article/1...