RSUs and stock options differ significantly in how they’re granted and taxed, as well as the level of risk to investors. Many, or all, of the products featured on this page are from our advertising ...

What Is a Stock Option? A stock option is a contract giving its holder the right, but not the obligation, to buy or sell a stock at a given price before a specific date. There are two main types of ...

Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website.

As we’ve previously said, equity compensation in general—and stock options in particular—is a critical component of any startup company’s ability to recruit and retain talent. But there is perhaps ...

Index options offer access to a market with more liquidity. Index options offer cash settlements. Stock options offer inexpensive price options. Index options only offer a few choices that are ...

If options are part of your compensation package, it’s worth your while to get familiar with how they work generally, as well as how your company handles stock options specifically. Forms of ...

Determine the company’s primary goals in granting equity compensation to executives and other service providers (collectively, service providers). Common goals for equity compensation awards include: ...