International Dividend Reinvestment

chris4151

Hi, Im ready to start a share dealing account. I am looking at companies that offer dividends and brokers that use dividend reinvestments.

Ive looked at iWeb however after emailing them they do not allow dividends from international companies only UK stocks, does anyone use or know of any brokers that allow UK customers to receive dividends from international companies and also offer dividend reinvestments.

Thanks for any help.

chris4151

anyone? really need help with this

chris4151

no one here invests in international stocks for dividends?

RetiredInThailand

"International" is a big place. It might be more helpful to say which country you are thinking about.
Other stock exchanges/governments may not allow DRIPs at all.

bigadaj

My international investment for dividends are in funds, individual shares are too fiddly particularly for dividends with different taxation and domicile regimes for me.

chris4151

RetiredInThailand wrote: »

"International" is a big place. It might be more helpful to say which country you are thinking about.
Other stock exchanges/governments may not allow DRIPs at all.

Sorry, new to this, I'm looking at mainly US companies e.g coca cola, j&j. Most of the brokers I've looked at that offer dividend reinvestment such as iWeb only offer dividends on UK stocks just need to know where to go to invest and receive dividends in the companies like I mentioned.

thanks.

chris4151

bigadaj wrote: »

My international investment for dividends are in funds, individual shares are too fiddly particularly for dividends with different taxation and domicile regimes for me.

Sorry not quite sure what you mean by dividends in funds?

ColdIron

Unit Trusts, OEICs, Investment Trusts etc

Thrugelmir

chris4151 wrote: »

just need to know where to go to invest and receive dividends in the companies like I mentioned.

thanks.

How much are you investing in an individual stock? £5k, £10k?

There's a threshold below which there's no economy.

RetiredInThailand

Looks like for US stocks you actually need to hold the stock directly to be able to do this.
http://moneymorning.com/2012/04/30/drips-how-to-invest-in-dividend-reinvestment-plans/

It looks like US brokers charge a few USD for each DRIP trade if you do it through a broker, and I expect that finding a US broker that would take you on would be a nightmare in itself.

Coca Cola allows non-US participation in their DRIP but there are several fees.
https://www-us.computershare.com/Investor/3x/Plans/PlansList.asp?state=eStateDisplayPlanSummary&planid=165&cc=US&lang=en&bhjs=1&fla=1&theme=cpu

Given that and the general downs to owning US stock (W-8BEN forms etc., 15% dividend taxation at source, probable exchange rate rip-offs on every transaction) you might be better off looking for an accumulating fund/trust or ETF that is listed here, though of course they would not allow you to pick and choose the US stocks you want to own.