Financial Definition of Dividend Reinvestment Plan (Drp)
Meaning of Dividend Reinvestment Plan (Drp)
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 reinvestment plans allow shareholders to accumulate stock over the Long term using dollar cost averaging. The DRP is usually administered by the company without charges to the holder.
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Dividend Reinvestment Plan (Drp) in Historical Law
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