An Intro to Your Restricted Stock Units (RSUs)

Companies use restricted stock units or RSUs in a similar way to incentive stock options (ISOs) or nonqualified stock options (NSOs). But RSUs are simpler and more straightforward than ISOs or NSOs. This is because RSUs are just shares of your company’s stock while ISOs and NSOs represent the right but not the obligation to purchase company shares at a … Read More

Managing Cryptocurrency Risk via Portfolio Rebalancing

I wrote recently about how the addition of cryptocurrency to a portfolio over the last five years would have increased the risk-adjusted return of a portfolio as measured by the Sharpe ratio. In that article, I analyzed three possible portfolios; one with 5% bitcoin; one with 2.5% bitcoin and 2.5% ether; and one with no cryptocurrency (standard 60/40 allocation). In … Read More

What are Nonqualified Stock Options?

This is part 3 in a series on equity compensation. You can find Part 1 here and Part 2 here. This article is a more indepth look at nonqualified stock options.  Refresher: What are Nonqualified Stock Options Nonqualified stock options are a common feature of compensation packages. Just like incentive stock options, they give you the right to purchase a … Read More

What are Incentive Stock Options?

If you’ve read Part I of this blog series you may recall Incentive Stock Options (aka Qualified stock options). This is Part II of the series and we will take a deep dive into incentive stock options. Refresher: Incentive stock options are a type of equity compensation arrangement where the employer grants the employee the right to purchase company shares … Read More

Brief Overview of Employee Stock Options

You may have employee stock options as part of your compensation package. Employee stock options can be confusing and you may be wondering what you should do with yours. This is Part I in a series shedding light on employee stock options, their taxation, and strategies for managing them.  Non-Qualified Employee Stock Options vs. Incentive Stock Options (aka Qualified Employee … Read More

Learning is Doing – You Can’t Afford Not to Make Mistakes

Not doing anything when you don’t know what to do can be worse than doing something and making adjustments later. I see this all the time with young professionals and their investments. Many of them have built successful careers or businesses in a non-finance or non-investment related field. As such, they haven’t devoted their time to learning about investment strategies … Read More

Smart Ways to Use Your Tax Refund

It’s tax season again which means many people are hoping for a refund check soon. If you’re one of these people here are some suggestions for making the best use of your tax refund money. Establish emergency savings I know what you’re thinking; this has got to be the most boring use for a tax refund but hear me out. … Read More