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I was an employee #15-30 range of a small startup and got around $200k out of options and $1.3M of additional RSU upon acquisition. I've more or less kept all o
by throwaway1122 12y ago
I was an employee #15-30 range of a small startup and got around $200k out of options and $1.3M of additional RSU upon acquisition. I've more or less kept all of my equity. Because the parent company did well, they're currently worth roughly $2.5M post tax (and I'm hoping the parent company continues to do well).
- loumf 12y agoIf you had $2.5 million cash, would you put it all into one company? Even if you like crazy growth stocks, there's an index fund for that. This is about risk reduction and wealth preservation -- going for expected value maximization is not a good idea when you only get one shot.
- wonderthrowaway 12y agoBah...if you had skills that could guarantee you could retire at 55, and equity that might let you retire at 30 (best case) or 45 (worst case), why not take the chance if you believe in your work, your company and your mission? If you know what your company is making is bullshit, then by all means bail as soon as you can. If it is important work, then the risk is far less.
- loumf 12y ago2.5 million in a well managed (even conservative) portfolio is practically guaranteed to be enough for retirement in 10 years with passive oversight. You would be adding to it with savings as well. I guess if you're hell bent on being all in, I'd recommend some kind of insurance in the form of a Put option that you hope expires worthless (assuming this is a public company).