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commandlinefanyesterday at 9:22 PM3 repliesview on HN

> stock options did become nearly universal in tech compensation

Although I've noticed that options have been replaced more and more these days with RSU's (plain old grants) because options have a tendency to go "underwater", suggesting that they weren't all that great to begin with.


Replies

zozbot234yesterday at 10:34 PM

Right, options go underwater precisely when the company is not doing well and you are at greatest risk of losing the job. That's not a great risk profile.

JumpCrisscrossyesterday at 10:42 PM

> options have been replaced more and more these days with RSU's (plain old grants)

RSUs are also much-less liquid and tightly controllable by companies than actual stock. That has made them attractive to management and insiders.

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lotsofpulpyesterday at 9:27 PM

It’s been standard advice on this forum for at least 10 years to value options at $0, and only consider cash comp + RSUs.

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