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direct stock purchase plan

   Also found in: Acronyms 0.01 sec.
direct stock purchase plan
A plan initiated by some firms that permits investors to purchase stock directly from the issuer (thereby avoiding brokerage commissions). Although generally open only to employees and current shareholders, an increasing number of companies allow nonstockholders to make direct purchases.


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Registration statements covering continuous offerings such as direct stock purchase plans open to new investors
DSP or Direct Stock Purchase plans allow you to buy stock shares directly from the company.
A To purchase shares of these companies and many others without using a broker, you must enroll in a direct stock purchase plan or
 
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