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Thursday, February 25, 2010

ThinkorSwim Response on Partial Shares and DRIP ...

Well, in response to my inquiry into ThinkorSwim support, I received this reply ...

"Hi Daniel,

Thanks for the e-mail. I just confirmed with Penson, our clearing firm, and was informed that they reinvest whole shares only. I believe that was the only thing you wanted confirmed, but if I missed something please let me know.

Kind regards,"

If they ever do issue 'partial shares' (as some have been told when they inquired) - it's probably on more of a direct speciality plan that the offering company has. I think we'll just have to wait and see.

This will allow for a little more flexibility, as self-directed synthetic DRIP's can be constructed, which I will demonstrate with the Challenge Project accounts. Speaking of the Challenge Project, the shares of corporations that are gaining partial shares at Sharebuilder will remain there, but any new purchases I gather will be done in the new ThinkorSwim account.

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Note: This is not an investment or trading recommendation. The losses in trading can be very real, and depending on the investment vehicle, can exceed your initial investment. I am not a licensed trading or investment adviser, or financial planner. But I do have over 13 years of experience in trading and investing in these markets. The Challenge accounts are run for the education of other traders who should make their own decisions based off their own research, and tolerance for risk.

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