IN PLAIN ENGLISH
A dividend reinvestment plan: your broker uses each cash dividend to buy more of the same shares automatically.
WHERE YOU MEET IT
Set up at your broker, not in the app. Record each reinvestment as a small buy so your share count stays right.
WATCH OUT FOR
Each reinvestment is a purchase at that day's price, so it adds to your cost basis.
EXPLAINED IN
Educational content only. It is not personal financial advice.