Re: Employee Stock Purchase Plan?

Bill Woessner wrote:
> Hi all.  I'm seeking advice on whether or not to participate in my new
> employer's stock purchase plan.

I'm surprised how many of the replies have been in the sell-immediately 
school of thought, I've never seen comprehensive stats but it seems more 
common not to do that. Yes it does represent concentrated risk to own 
your employer's stock but depending on the company, that 15% discount, 
plus the fact that it's often applied to the low price of the purchase 
period, builds in a buffer. I do see people who sell their shares 
immediately for that near-infinite overnight return, but plenty of 
people (especially those with limited or no other equity participation 
in their company) choose to hold for the longer term. There can be a tax 
incentive to holding longer, if you're not familiar with all the rules I 
think fairmark.com covers it somewhere.

-Tad

--------------------------------------
Misc.invest.financial-plan is a moderated newsgroup where Moderators
strive
to keep the conversations on-topic for financial planning. Other posting
guidelines include a request for brevity and another for trimming posts to
which we respond.  For all of the other tips and suggestions, see "FROM
THE
MODERATORS: Posting to misc.invest.financial-plan", a weekly post now on
the
Newsgroup.