Question

Should I use a stock swap to exercise my employee stock options?

Answer

A stock swap may be beneficial if you want to conserve cash, defer capital gains taxes on existing shares, and leverage your current equity. However, it introduces complex tax tracking and increases your concentration risk in employer securities. You should evaluate this strategy as part of a comprehensive financial plan and consult with a tax professional to determine if it aligns with your goals.

About Mercer Advisors

We exist so you don’t have to worry about money. For more than 40 years, we’ve taken the sophisticated, time-tested approach that many ultra-high net worth individuals use to help manage their financial lives and made it accessible to more families.

Want to learn more about Mercer Advisors?