Buy stocks without a broker by going directly to the company from which you want to buy stock, says For Dummies. Many major companies provide this service to interested investors, and they offer programs such as dividend-reinvestment plans that allow investors to reinvest any dividends back into the company with little hassle.Continue Reading
One of the advantages of buying stocks without a broker is the possible savings on commissions that a broker regularly takes, explains For Dummies. The fees charged by direct investments are commonly lower than the fees charged by brokerage houses. The dividend reinvestment process is commonly free of charge when set up directly with a company, but may incur fees if done though a broker.
Not all companies provide commission-free services for buying and selling stocks, reports For Dummies. Some charge fees that are higher than those offered by discount brokerage houses. Companies can also charge setup fees for direct investment plans, while many brokerage houses put together a client investment account for free. By only purchasing stocks in this manner, moreover, an investor shrinks the field of available options. Such direct investment programs are offered only by the larger, blue-chip companies. Investors without brokers may also have to deal with the hassle of different accounts if they are investing widely.Learn more about Investing