Law & Legal & Attorney Health Law

How to Become a Shareholder of a Corporation

    • 1). Purchase stock directly from the issuing company if it offers a direct stock purchase plan, or DRIP. Not all corporations offer a DRIP, but if it does, you can become a shareholder directly without using a broker.

    • 2). Purchase stock through one of the many discount brokerage. They let you purchase stocks for a low fee but include advisory services only for additional charges. They are a good option if you know what company stock you want to purchase and don't need advice.

    • 3). Purchase stocks through a traditional broker if you know that you want to become a shareholder in a company but you aren't certain which company is the right choice for you. A stockbroker can advise you based on your financial goals and requirements. Verify that your broker is a member of the Financial Industry Regulatory Authority through the BrokerCheck page of the FINRA website.

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