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Get Started in Shares by Glen Arnold

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Perks

Fancy a cheap trip or a discount off a dress, a house, or a car? A few companies offer their shareholders freebies. These might be substantial discounts off their goods and services or merely a £20 goody bag handed out at the AGM. These perks help promote the sale of the company products, e.g. Persimmon might entice the sale of a house with a 2% discount, and the shareholder gains a little extra, engendering greater loyalty. Table 3.4 gives some examples of shareholder perks.

Some of the minimum shareholding levels are quite high so you need to weigh up the extent to which you might benefit from the perk against the lost opportunity of investing that money elsewhere. If you would have bought into the company on its investment merits anyway ...

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