For three weeks starting this week, I’d like to talk about some financial advice for those working in the multinational sector.
This week I’ll talk a little bit about some of the investment alternatives to those who have built up money through stock options.
Stock options are part of remuneration to multinational sectors through bonuses, pay or whatever it might be, and individuals can build up pretty significant sums over the years.
Stock options, by their nature are in one share in one industry, and when the markets turn or take a drop as they have this year you could face the full brunt of the drop.
There will be those who are happy to sit and wait for the price to recover.
And I certainly wouldn’t advocate selling in a loss making situation.
But there will also be those who maybe aren’t as comfortable with the level of volatility that they’re experiencing, and they’ll be those who have that money earmarked for something in future may now be looking to try and protect it a bit more than it is now.
So for those individuals, there are lower risk and diversified options available and I’d be happy to discuss at any point.
I should also say that selling stock options does will likely incur a tax liability.