Question

What is a stock swap or pyramiding in stock options?

Answer

A stock swap, also known as pyramiding, is a strategy where you use already-owned company shares to pay the exercise price for new employee stock options. Instead of using cash, you trade your existing shares for replacement shares, potentially acquiring additional new shares in the process. This approach can be repeated over time to build equity.

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.

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