The M&G Dividend Reinvestment Plan (DRIP)

If you are resident in the UK you can join. If you live overseas, please see section 3 of the full terms and conditions for more information on whether you can join. 

You are responsible for checking if you are eligible to join. The DRIP is not available if you are resident in the United States, Canada, India, Pakistan or China. 

Usually you must participate in the DRIP for all the shares in your account. But, if your shares are held for more than one beneficial owner, we may at our discretion allow you to reinvest the cash dividend on only part of your shareholding. 

If you hold shares in CREST, you will need to make your election to join the DRIP through CREST. Please refer to the elections process document available at Shareview.

There is no charge for joining or leaving the DRIP and there is no annual fee.

Please note that the commission charge is changing from 22 February 2023.

The commission charge to 21 February 2023 is 0.75% of the value of shares purchased, with no minimum fee.

From 22 February 2023, the commission charge will be 1.5% of the value of shares purchased, with a minimum fee of £2.00.

Other fees may apply – see the full terms and conditions at Shareview.

Payment of stamp duty reserve tax (currently 0.5% of the value of the shares that you buy) will also be paid from your dividend proceeds on your behalf.

Residues are returned as cash when someone leaves the DRIP. An Annual Management Fee applies to these cash payments where they remain unclaimed. Any fee will be taken from the unclaimed payment held (up to a maximum of £5 including VAT per annum). Please note this only applies to payments issued to you when you leave the DRIP which you do not cash.

Equiniti will start the purchase as soon as practicable on or after the dividend payment date. This may take several days to complete. You cannot specify a maximum or minimum price. It may be necessary to carry out several transactions and the prices at which shares are purchased may vary, in which case all participants will receive the same average price. Shares will usually be added to your holding three to four days after the dividend payment date.

To participate in the DRIP for a particular dividend, your election must be received 15 working days prior to the next dividend payment date, otherwise your dividend will be paid in cash. Elections received after this will only apply to subsequent dividends. You can find out more about the DRIP here. If you have any questions about the DRIP, you should contact Equiniti.

Equiniti will issue a statement quarterly informing you of the cash balance held and/ or showing details of your share purchases in the DRIP. These will be made available online via your Shareview Portfolio. An email will be issued to the address associated with your Shareview Portfolio to let you know when each statement is available and how to access it.

If you hold your shares in certificated form you will receive a DRIP purchase statement along with your new share certificate in the post after every eligible dividend.

If you do not activate your Shareview Portfolio, you will receive an annual DRIP purchase statement in the post showing details of all eligible DRIP dividends received during the year where dividends are paid on shares held in the Corporate Nominee Service.

If you would prefer to receive your quarterly statements in the post, please contact Equiniti Contact the registrar – M&G plc (mandg.com). You will need your Shareholder Reference Number which can be found on your Share Certificate of Corporate Sponsored Nominee Service opening statement.

The number of shares you will receive for each dividend will depend on:

1.  your cash dividend, based on the number of shares you hold at the dividend record date
2. any cash balance brought forward from previous dividends
3. the price at which the shares are bought, and
4. the dealing costs and stamp duty reserve tax for the purchase of shares.

You will receive the maximum whole number of shares which can be bought on your behalf.

Any cash balance will be carried forward (without interest) and added to your next dividend.

You can view the historical DRIP share purchase prices here.

Yes, you can leave the DRIP at any time and there is no charge. Simply update your ‘Dividend Elections’ on your Shareview Portfolio or call Equiniti. You will also need to register a bank mandate instruction in order to receive cash dividends direct.

Equiniti must receive your cancellation notice at least 15 working days before the dividend payment date, otherwise your instruction will only take effect from the subsequent dividend.