Employee Stock Option
An option given to directors, officers or employees of a company or its holding or subsidiary company, conferring the right to purchase or subscribe for shares at a future date at a pre-determined price — a retirement…
This one is not written up yet
The definition above is the short version. A full explanation — how it works, a worked example and the exam traps — is still being written. In the meantime the chapter below covers it in context.
Written up from the same chapter
- Convertible debenturesDebentures that turn into equity shares on terms fixed at issue — the investor draws a coupon until conversion, and the company settles the debt in shares instead of cash.
- Qualified Institutions PlacementA fast route by which an already-listed company places eligible securities privately with Qualified Institutional Buyers, without the prospectus and timetable of a public issue.
Where this is taught
Free preparation for NISM Series II-ARelated terms
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