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Path: utzoo!linus!decvax!bellcore!petrus!copp
From: copp@petrus.UUCP
Newsgroups: net.invest
Subject: Re: Stockbroker selection, discount brok
Message-ID: <17700002@petrus.UUCP>
Date: Sat, 7-Dec-85 21:24:00 EST
Article-I.D.: petrus.17700002
Posted: Sat Dec  7 21:24:00 1985
Date-Received: Wed, 11-Dec-85 20:23:59 EST
References: <2267@amdahl.UUCP>
Organization: Bell Communications Research, Inc.
Lines: 21
Nf-ID: #R:amdahl:-226700:petrus:17700002:000:907
Nf-From: petrus!copp    Dec  7 21:24:00 1985

There are two issues here:

  1)  Whether to register the shares in street name or in your name

  2)  If the shares are registered in your name, whether or not to
      take delivery of the stock certificates

I (1) register in my name, and (2) take delivery.  I register in my name
mostly because I take delivery, but there is a side benefit--if you
register in your name then you can sign up for dividend reinvesting.
I do this for all long-term purchases.  You don't have to deal with
quarterly dividend checks (and you don't fritter them away).
AND, you are entitled to make additional investments paying only
very low commission.

A drawback of dividend reinvestment is that the tax calculations
are more complex when you sell.

The drawbacks of taking delivery include risk of loss
(although as registered securities they can be be replaced)
and slightly more hassle when you want to sell something.