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Dividend Reinvestment (DRIP)

You can automatically reinvest cash dividend payments back into the underlying stock or ETF with dividend reinvestment—also known as DRIP.

How do I get started?

On mobile:

  1. Go to the Account tab (person icon)
  2. Tap Investing
  3. Scroll to Dividend Reinvestment section
  4. Tap Enable Dividend Reinvestment
  5. Toggle the switch on
  6. If prompted, complete the onboarding process

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Once you enable dividend reinvestment, you’ll see a list of your investments that are eligible for dividend reinvestment. You can choose which of these investments you’d like to reinvest cash dividends for by tapping the circle or checkmark.

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On web:

  1. Click on Account in the navigation bar at the top
  2. Click Settings
  3. Click on Dividend Reinvestment
  4. Toggle the switch on
  5. If prompted, complete the onboarding process

Which investments are eligible for dividend reinvestment?

Any dividend-paying stock or ETF that supports fractional shares is eligible for dividend reinvestment.

When will my dividend be reinvested?

Because of regulatory rules, there’s typically a waiting period of at least 10 days between when a company announces a dividend (the declaration date”) and when this dividend is actually paid out to shareholders (the “pay date”). Dividends will then be reinvested starting at market open (9:30 AM ET) on the trading day after the dividend pay date. Because it typically takes some time to process the reinvestment orders, your dividend may not be reinvested right at market open, but you’ll receive a notification letting you know when it is.

Please note that the cutoff to enable or disable dividend reinvestment is 12:00 AM ET on the day the dividend is scheduled to be paid. For example: if you are receiving a dividend on Feb. 5th and you want it reinvested, you need to enable dividend reinvestment by 12:00 AM ET on Feb. 5th. If you miss this cutoff time, the funds will be paid to you as cash instead of automatically reinvested.

How do I see my pending and past dividend reinvestments?

To see all your pending and past dividends and dividend reinvestments:

On mobile:

  1. Go to the Account tab (person icon)
  2. Tap Statements & History

On web:

  1. Click on Account in the navigation bar at the top
  2. Click History

You’ll see a list of all of your history on Robinhood, including your dividend reinvestments.

To see your pending dividends and dividend reinvestments for an individual stock, go to the individual stock detail page. You’ll see pending dividends and pending dividend reinvestments under Upcoming Activity.

Why was my dividend not reinvested?

Your dividend may not have been reinvested for a variety of reasons. Here are some common cases:

  • The equity is no longer eligible for dividend reinvestment
  • The dividend was voided or reversed
  • The market is closed, so the dividend should be reinvested on the next trading day

Disclosures

All investments involve risk and loss of principal is possible. Investors should consider their investment objectives and risks carefully before investing.

Fractional shares are illiquid outside of Robinhood and not transferable. Not all securities on Robinhood are eligible for fractional shares orders. For a complete explanation of conditions, restrictions and limitations associated with fractional shares, see our Customer Agreement related to fractional shares.

This is not investment advice, a recommendation, an offer to sell, or a solicitation of an offer to buy any security.

Securities trading offered through Robinhood Financial LLC, a registered broker-dealer and Member SIPC, and a subsidiary of Robinhood Markets, Inc. (“Robinhood”).

Reference No. 1529238
Still have questions? Contact Robinhood Support