Hi there
IB lets you enable an “auto dividend reinvest” option (with fractional shares)…
What are your thoughts about it? Pro? Contra?
If the dividend is small, 1 USD for the transaction can be a big expense. This would depend of your portfolio.
Some taxe softwares don’t support fractionnal share.
Dividend help a bit for rebalancing (might avoid selling stock).
1 Like
@clon no need for auto dividend reinvest if you regularly (e.g. monthly), like a good mustachian, buy your favourite ETF(s).
This means that next time you buy your ETF(s) you can buy a bit more than usual…
2 Likes