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The Pocket Idiot's Guide™ To Direct Stock Investing

Book Description

A profitable purchase for investment enthusiasts.

The Pocket Idiot's Guide™ to Direct Stock Investing reveals an innovative style of investment that has been steadily growing under the huge shadow of Wall Street-home investors opening a Direct Stock Purchase (DSP) or a Dividend Reinvestment Plan (DRIP) now offered by hundreds of major corporations, commission free. Investment guru Douglas Gerlach, an expert in this style of guerrilla investing, shows investors how quick, easy, affordable, and profitable stock investment can be.

*Growth area of investing

*Includes a comprehensive list of the top 100 companies that offer these programs and their links

*Accessible, jargon-free step-by-step instructions to get on in this opportunity

Table of Contents

  1. Title Page
  2. Copyright Page
  3. Introduction
  4. Acknowledgements
  5. Chapter 1 - Why Invest in Stocks Directly?
    1. What Is a DRIP?
    2. What Is a DSP?
    3. Watch Out for Fees
    4. Account Administrators
    5. Following Your Statements
    6. Automatic Investments
    7. IRAs and Direct Stock Investing
    8. Synthetic DRIPs
    9. DRIPs, DSPs, and Taxes
    10. Getting Past Your Fears
  6. Chapter 2 - Choosing a Company
    1. Finding Your Companies
    2. Start Defensively
    3. Qualities You Should Seek
    4. Managing Your Portfolio
    5. How Many Stocks to Buy
  7. Chapter 3 - Getting Started with DSPs
    1. Basics of DSPs
    2. Why Companies Offer DSPs
    3. Watch Out for Fees
    4. Key Features You Should Find
    5. Enrolling in a Plan
    6. Purchasing Additional Shares
    7. Reinvesting Dividends
    8. Purchasing Shares
    9. Selling Your Shares
    10. Transferring Sales to a Broker
    11. Closing Your DSP
  8. Chapter 4 - Buying Your First DRIP Share
    1. Buying a Share from the Company
    2. Getting a Share from a Third Party
    3. Getting a Share from a Friend
    4. Buying a Share from a Stockbroker
    5. Holding On to the Stock
  9. Chapter 5 - Setting Up a DRIP Account
    1. Establishing Your Account
    2. DRIP Advantages
    3. Plan Eligibility
    4. Additional Investments
    5. What’s the Source of the Shares?
    6. Cash Dividend Reinvestments
    7. Transferring Shares Held
    8. Selling Shares
  10. Chapter 6 - Account Administrators
    1. Why Companies Choose Transfer Agents
    2. Managing Your DRIP and DSP Accounts
    3. Other Transfer Agent Functions
  11. Chapter 7 - Reading Your Direct Stock Account Reports
    1. What’s in the Statements?
    2. Tracking Partial DRIP and OCP-Only Options
    3. Automatic Investment Plans
    4. Recordkeeping with Your Statements
  12. Chapter 8 - Automatic Investing
    1. Why Automatic Investing Works
    2. How to Start Investing Automatically
  13. Chapter 9 - Direct Stock Investing Using IRAs
    1. How to Invest Using an IRA
    2. Using DRIPs and DSPs in Self-Administered IRAs
    3. Independent IRA Custodians
    4. DRIP- and DSP-Sponsored IRAs
    5. Brokerage DRIPs
  14. Chapter 10 - Synthetic DRIPs
    1. Setting Up a Broker DRIP
    2. Advantages of a Synthetic DRIP
    3. The Best Synthetic DRIP Broker
  15. Chapter 11 - Direct Stock Purchase Potential Problems
    1. Can’t Set Your Purchase Targets
    2. Limited Choices of Stocks
    3. Watch Those Fees
    4. Investment Limits
    5. Keep Those Records
  16. Chapter 12 - Direct Stock Investing and Taxes
    1. What’s Taxable
    2. DRIP Tax Reporting Differences
    3. Capital Gains Calculation
    4. Tax Strategies
  17. Appendix A - Glossary
  18. Appendix B - Resources
    1. Top Direct Stock Investing Websites
    2. DRIP and DSP Account Administrators
    3. Buying Your First Share
    4. Independent IRA Custodian Companies
  19. Appendix C - Top DRIP Companies
  20. Index