A year ago I bought 10 X stocks. Time flew by and I checked my stock account and I had received a whopping 10 EUR in dividends. Sadly it all was eaten by account management costs, which is about 24 EUR in year.
Simple mathematics state that you can’t earn this way. I did some reading and found this Direct Registration System, and from what I understand it would fit perfectly to my needs (I guess I need to add that I’m from European Union) as I want to do a long term investment and I’m not worried I won’t be able to sell the stocks fast.
Is there any reasons I would need to keep my expensive brokerage account or to paraphrase – is there any reasons to stick with brokerage firm?
Let’s say I have decided to leave it. When I tell my broker that I want to register my stocks what happens next? When they register my stocks with the issuing company then my brokerage account becomes empty and I can close it?
Let’s say I don’t have a broker any more. How can I acquire additional stocks? More importantly how can I acquire stocks from other companies (US and EU)?