Thursday, October 05, 2006

Direct stock purchase programs

Do you want to invest in the stock market but feel you do not have enough money to even join the game? It can be costly just to poney up the money to join a discount broker like Charles Schwab or Etrade. Charles Schwab requires a minium of $2,500 to open an account and Etrade requires $1,000. On top of that they charge you about $13.00 everytime you want to buy or sell a stock. Hardly a winning combination for a tight budget. However all is not loss (pun) there is a way for the little fish to get in on the action. For as little as $50 a month you can buy shares of blue chip companies. The secret is buying the stock directly from the company using a company's direct stock purchase program or DRIP (dividend reinvestment program). Not all companies provide these programs, but a signifcant number of well-known and well-run business do. A sample list of companies that sell stocks direct to the public are
  • McDonald (nyse: MCD)

  • Walt Disney Co. (nyse: DIS)

  • Intel (nasdaq: INTC)

  • CVS (nyse: CVS)

Let's say the most you can afford a month is $25. Now what can you get for just $25 a month? How about a some bud-light? I do not mean buying a case of it, I mean owning a piece of the company. ANHEUSER BUSCH (NYSE:BUD) has a direct stock purchase program that allows you by shares of the company in increments as low as $25/month. Don't belive me? Go findout out for yourself by checking this link at bud-light headquarters

O.K. now I have shown you a real life example of how you can join the big fish and own stocks for as little as $25/month. Believe it or not that is the easy part. My question to you is "So is (NYSE:BUD) a good stock to purchase? Is this stock right for your investment portfolio?" Yes that's right now that you can join the game you need to learn to play the game. Stay tune to PennyJar in the weeks to come I as we take a closer look at our bud-light friend and see if it is the kinda stock we think will make us some money

No comments: