How to Understand Stock Options (written my someone who doesn't)

Don't complain.  It is more difficult to find someone who writes well than someone who understands how stock options work. 

So true....Thanks for the perspective

That is true, Alan, in all professions, but writing well only makes the ignorance more dangerous because it "sounds right."  I agree with Dan that the potential danger outweighs our desire for silence and complacency. 

Where possible, I have been adding comments to blog posts to point out the errors and suggest resources for real expert advice, and where comments are not enabled I have been contacting the posting service - but I don't have enough time to do this all alone and would love for the real experts in equity comp to put on a united front and make sure that the word gets out about such unreliable articles.  In fact, I have just decided to do an article for the December NCEO newsletter to alert our members (mostly not equity comp experts). 

What are you (you as in the general ECE member, not just Alan) willing/able to do to re-direct people from these misinformed articles?  If we all take the opportunity to assist with this, it will not be a burden on anyone.

The desired double end result here I assume you would agree is to 1.) reach the reader should beware but isn't crowd, and, 2.) to limit or contain the dissemination of inaccurate information - well written or not, and good intentioned or not so much.

I think Achaessa intention for an article and the NCEO make a good sized dent in #1 via good and voluminous material and having an audience that is not largely preaching to the choir. As for #2, I suggest direct written confrontation to such authors as one limitation and containment strategy - it works on passive aggressives, why not them? 

There are a number of this content sites that covers a wide range of topics, such as ehow.com, financebuff.com, about.com, and many others that have been adding very specific entries on stock option and restricted stock topics. They show up high in the search engines, for whatever reason. These sites are also starting to have entries beyond the basics to more detailed topics, such as hedging employee stock options or tax return reporting. While some of the information is useful, it is mostly too general and not always correct. I have also come across these same sites when researching topics on buying a sofa and methods for controlling crab grass, to give you a sense of how broad these general content sites have become (and other issues in my life!).

I have notice this trend in past few years. Certain sites devoted to stock compensation are more authoritative and professional, such as my own (www.myStockOptions.com and www.myNQDC.com are staffed by experts and all content goes through a detailed editorial process). We remain amazed at the proliferation of articles such as these that at times show up above us in the search engines.

Bruce Brumberg, Editor

www.myStockOptions.com