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Investments glossary

Option Pool


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Quotes of the day:

Old is gold, but new is platinum.

— Amit

An option pool consists of shares of stock reserved for employees of a private company. The option pool is a way of attracting talented employees to a startup company – if the employees help the company do well enough to go public, they will be compensated with stock. Employees who get into the startup early will usually receive a greater percentage of the option pool than employees who arrive later.


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