If a dividend is declared as cash it will be paid as cash but shareholders can make arrangements with their stockbrokers and the payments can be made to the stockbroker for reinvestment. The stockbroker will go to the market to purchase the shares.
Modified on: Wed, 13 Feb, 2019 at 2:31 PM
Did you find it helpful?Send feedback
Sorry we couldn't be helpful. Help us improve this article with your feedback.