I was looking at the transaction history for my MegaCorp 401(k) account, which has two parts, the company match paid as company stock, and my own contribution, which is currently in a bond index fund, an S&P 500 index fund, and the Vanguard Windsor fund. I was confused, because there are listings every three months for dividend payments for the company stock portion, but there are never any dividend payments for the other three. When I called, the rep told me that dividend reinvestment for funds is done automatically and "is the reason the share price increases for the funds," which I took to mean that the value of each share unit is going up in dollar value over time, even if my number of shares doesn't increase due to a dividend reinvestment. But later I thought again about this and realized it doesn't make sense. Anyone have an idea as to what's going on?
I guess it's possible that the rep was wrong and they do do dividend reinvestment and for whatever reason don't want to display that for me, but it's ok to display it for company stock.. I haven't actually sat down with Excel and added up all the share transactions to see if there are some invisible gains being added in which would be the undisplayed dividend reinvestments.
I guess it's possible that the rep was wrong and they do do dividend reinvestment and for whatever reason don't want to display that for me, but it's ok to display it for company stock.. I haven't actually sat down with Excel and added up all the share transactions to see if there are some invisible gains being added in which would be the undisplayed dividend reinvestments.