Jeremy Goldstein Explains How Knockout Options Help Employers
In recent years, numerous corporations have decided to stop providing employees with stock options. Some firms did so to save money, but the reasons are usually more complex. Three major problems frequently persuade companies to curtail these benefits:
- The stock value may drop significantly and make it impossible for employees to exercise their options. Nonetheless, businesses still need to report the associated expenses, and stockholders face the risk of option overhang.