Dividend Reinvestment Plans

November 28, 2022 Beginner
A DRIP allows investors to automatically reinvest the cash from a stock's dividend payments. Watch this video to learn how to enroll in a DRIP.
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Just getting started with stocks?

Opening Market Update

The second government estimate of Q3 Gross Domestic Product (GDP) showed even more economic vigor that quarter with an estimated annualized growth of 5.2%.

Closing Market Update

The major indexes ended mixed but still tracking for a strong month as declining Treasury yields encouraged investors with a critical inflation report looming.

The Truth About Corporate Stock Earnings Estimates

Companies often beat their stock earnings estimates. What gives—and how are traders to respond?

This material is intended for informational purposes only and should not be considered a personalized recommendation or investment advice. Investors should review investment strategies for their own particular situations before making any investment decisions.

Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.

Past performance is no guarantee of future results.

Investing involves risks, including the loss of principal invested.

All ETFs are subject to management fees and expenses.

Dividend focused funds may underperform funds that do not limit their investment to dividend-paying stocks. Stocks held by the fund may reduce or stop paying dividends, affecting the fund's ability to generate income.

Investors should consider carefully information contained in the prospectus or, if available, the summary prospectus, including investment objectives, risks, charges, and expenses. You can request a prospectus by calling Schwab at 800-435-4000. Please read it carefully before investing.

Schwab Equity Ratings and the general buy/hold/sell guidance are not personal recommendations for any particular investor or client and do not take into account the financial, investment, or other objectives or needs of, and may not be suitable for, any particular investor or client. Investors and clients should consider Schwab Equity Ratings as only a single factor in making their investment decision while taking into account the current market environment.

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