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No, a longer grant period means you benefit more from stock appreciation. If you get a 4 year grant and the stock goes up 5x in a year you get that for four yea
by almost_usual 5y ago
No, a longer grant period means you benefit more from stock appreciation. If you get a 4 year grant and the stock goes up 5x in a year you get that for four years. If you’re on an annual grant I really doubt your employer will keep paying 5x your starting comp after a year.
- xyzelement 5y agoI am late to the response here but one of us is wrong about how grants work, and I think it might be you :) An equity grant is an allocation of shares/options offered to you when you start. eg: join our company and get 40K shares. Vesting just controls how long it takes you to get those shares. In a 4 year vesting you get 10K each year. In a 1-year you'd get them all at once in 12 months. This is independent of the share price, it's your equity that's the whole point. So in no universe is it better to get 40K after 4 years than it is to get 40k in one year.