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Investments glossary

Equity Compensation


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Stay beautiful stay off drugs -Johnny Wowk AKA Johnny The Walker

— Johnny Wowk

Equity compensation is non-cash pay that represents ownership in the firm. This type of compensation can take many forms, including options, restricted stock, and performance shares. Equity compensation allows the employees of the firm to share in the profits via appreciation and can encourage retention, particularly if there are vesting requirements.


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