Dividend Reinvestment (DRIP)
The dividend reinvestment plan (DRIP) is a free program that allows cash dividends you receive to automatically be used to purchase additional whole or fractional shares of your investment. This lets shareholders accumulate stock over the long term without paying commission fees.
Yes. All marginable U.S. equities and selected American Depository Receipts (ADRs) priced at $4 or more that trade either on an exchange or quotes on NASDAQ are eligible for DRIP. Dividends are reinvested on your behalf on the dividend payable date by our clearing firm. The reinvested position will reflect in whole and fractional shares. The reinvestment price will be the prevailing market price at the time the order is entered on the payable date.
We can set up your entire account so that any eligible security that you currently hold will be subject to DRIP. Any eligible securities that you purchase thereafter will be automatically enrolled in DRIP. A security will need to be enrolled for DRIP prior to the ex-dividend date in order for the dividend to be reinvested.
You can also always request individual positions in your account to be enrolled for DRIP at no charge.
You can enroll in our dividend reinvestment program online from your settings in Ally Invest Live. Select the gear icon next to Home and choose All Settings from the dropdown menu. You’ll find the toggle for dividend reinvestment at the bottom of the screen. You can enroll or unenroll once per day. If you want to add or remove individual stocks, you can call us at 1-855-880-2559.
Yes, you can transfer stocks held in a dividend reinvestment program from another firm to your Ally Invest account. Keep in mind, transferring the stock would terminate the other firm’s DRIP and partial shares would be liquidated during the transfer process and moved as cash.
Contact us by phone at 1-855-880-2559, via our Live Chat, or by email at email@example.com in order to enroll those holdings in the Ally Invest DRIP.
Yes, you will be able to see dividend reinvestment (DRIP) transactions in real time on your Activity page. You can also view DRIP purchases on the Maxit Tax Manager page. In addition to viewing your DRIP activity online, you will see your transactions in your monthly or quarterly account statements.