Lux Investing

How do you purchase 1 stock for $100 or less to be able to then invest in a drip?

Public Comments

1. You can probably buy a stock through a broker like Scottrade and then have them issue the certificate directly to you. The purchase transaction will cost $8, and the certificate about $30. Assuming the stock you chose sells for less than about $60, you should come un under your limit. If you've purchased a company that offers the DRIP program, you should have access to it then. On the other hand, Sharebuilder.com may be your best option. It allows you to buy in to companies just like you would with a DRIP, but it will only cost you $4 each time you buy.
2. Asuming you are an Scottrade Customer you would have to pay $7.00 to buy it and $7.00 to sell it. This means you would have to wait until your stock goes up to $114.00 just to make a profit. (14%) That just does not make any economic sense. You need to invest at least $350.00 to keep your comissions at 4% If you want to make more money than a regular checking account you would have to wait until your stock goes up 9% and that is too high. $700 would be 2% in comissions and $1400.00 would be just 1% in comissions. You really need to save more and invest more than $100.00 each time you buy shares if you don't want to die broke. Top 3 Answerer in Business & Finance. (Vote for me)