DIVIDEND REINVESTMENT PLAN ADMINISTRATION (DRIP)

 

Why DRIP?

Paying regular dividends to shareholders is often viewed as a sign of stability and may attract long-term investors. Providing a properly managed Dividend Reinvestment Plan (DRIP) can add benefits to both the issuing company and their shareholders. Well performing securities with reinvestment plans provide an attractive edge to competing stocks because they allow investors to compound dividend returns on their investments.


I would recommend ClearTrust to any organization that requires transfer agent or DRIP administration services.
— Richard D Scott | Ohio Valley Bank

ClearTrust’s Services:

  • Process timely and smart broker services for trades

  • Provide expertise as a trusted third party to manage dividend and reinvestment services

  • Maintain SOC 1 certifications

  • Provide transparent reporting for plan escrow accounts and transactions

  • Allow Issuers to establish requirements and/or limits for participation

  • Offer options to absorb or pass on administrative costs, which may be integrated with other shareholder services

  • Act independently to process trades without delays and in received order

  • Accumulate shares in anticipation of dividends to lessen effects on the market and pass on discounted trading fees for shareholders


Issuer Benefits:

  1. Have peace of mind that compliance standards are met

  2. Know that funds are independently safeguarded

  3. Process transactions in a timely manner

  4. Keep expenses to a minimum

  5. Have confidence that the plan is properly managed

  6. Receive tailored administrative services

Shareholder Benefits:

  1.  Purchase and liquidate conveniently and easily

  2. Access small and fractional share purchases without a brokerage account

  3. Eliminate high brokerage fees

  4. Enjoy low maintenance

  5. Capitalize on the company’s long-term growth through direct purchase and reinvestment opportunities