Is there any way I can invest money in stock without going through an investment firm?

In the USA, yes you can. Many companies have DRIP's, Dividend ReInvestment Programs, some require you to already be an investor, others allow you to buy the initial shares directly from the company, without going through a broker/investment firm (the company has a "stock transfer agent" handle the buying for you and the company, some are free, some charge a small fee). Check the "investor relations" section of the web site of the companies you are interested in.

Not in pubic stock, no. In order to purchase a publicly-traded security, the trade must be executed by an NASD registered broker. The individual executing the trade must hold an active series 7 license.

That being said, there's no reason to use a full-service broker any more. You can use one of the many online brokers and keep transaction costs to a bare minimum.

In theory, yes. But this is not easy to do. Say you want some GE common stock shares, you could contact GE's corporate shareholder services department, drive to thier corporate headquarters up in Fairfield, CT and get your newly minted common stock certificate(s). The problem is, why would you want to even do this? These days, purchases share OTC is so simple. Let's assume you are asking this question because you want to avoid brokerage fees that a typical investment firm may charge you. Granted, no one wants to pay these comissions but the savings in gas alone will probably change your mind. Just remember, you dont have to use a full service brokerage house such as Merrilly Lynch or Charles Schwab which may charge you some $30 per lot you purchase assuming you have some minimum balance. What you are really paying for is the services of a licensed broker that provides you with guidance in your stock choices based on your stated goals and rish tolerances. Most average investors do not need this level of assistance however and could make out just as easily as long as they do not try to act foolish and try to time the market thinking they are going to be the next Warren Buffett. (whom incidentally would never try to time the market on any stock). Try a low cost brokerage firm like an E trade or even a moderate priced one like a T. Rowe Price who wont guide you on your stock trades but will have reps to guide you on types of trades such as telling you the difference between a limit order and a market order. E trade may charge $10 in commissions up to x amount of shares purchased or sold whereas T. Rowe may charge ~$20. Want to play the marke a bit and benefit from it as well? Open up and IRA Brokerage account so you can trade stocks tax deffered! Dont forget the ROTH if you qualify for it, it is the best way to go by far. Your earnings come out completely tax free when you retire, cant beat that boss! Happy Trading!!!

gosh is correct, there are dozens of companies offering "DRiPs", or "dividend reinvestment plans". These allow you to invest small dollar amounts regularly into dividend-bearing companies, and the dividends on your share balance automatically buy yet more stock. The vast majority of these plans charge NO commission to buy, but will charge to sell or issue a certificate.


Here's a link to about 800 companies that do this. Stick with businesses you know and understand. Commit to making regular (monthly or quarterly) investments. Pay NO attention to the market's ups & downs. Before you know it you'll be rich.

If that's what you want... DRIP's are the way to go!