A Shiny New Car?
How do you decide when to sell your executive stock options? When it's time to buy a new car? When the college bill comes due? How can you be sure that you're getting the most out of these key pieces of your compensation?
If you are a successful executive at a large corporation, there is a good chance that you have received some employee stock options and/or some restricted stock as part of your compensation. You are then confronted with having to decide when to exercise your stock options. To make a great decision, you should actually consider a minimum of three factors. In this post, I'll describe all three factors and then focus on one, stock price, in a little more detail.