09-12-2013, 02:53 PM
It is a silly consideration, but I don't like the fractional shares that you accumulate as a result of automatic reinvestment. Maybe I'm too much of a neat freak. This hasn't stopped me from reinvesting automatically, but sometimes I wish I had never done any automatic reinvesting, and my portfolio would be nothing but nice round numbers.
You make a good point about commissions, Horace, but I think the idea would be to pool the dividends with new money such that you are still only making purchases of sensible size.
Certainly, if you would keep buying a particular company with new money, no reason not to reinvest automatically.
You make a good point about commissions, Horace, but I think the idea would be to pool the dividends with new money such that you are still only making purchases of sensible size.
Certainly, if you would keep buying a particular company with new money, no reason not to reinvest automatically.