Usually company insiders who have a been granted a big block of shares can't sell them immediately. Like you have to let the market establish itself. Or else you're prone to pump and dump schemes.
The super rich never sell shares, then they have to pay takes on the income. It's much cheaper to borrow and never pay income tax. Up until recently at least.
Wait, do you mind an ELI5 version of that tactic? Or is it that simple borrow, payback asap to reduce interest, repeat? Borrowing from two sources spit apart and pay off one with the other, repeat? Never sell shares.
Is there a lock up period?
Usually company insiders who have a been granted a big block of shares can't sell them immediately. Like you have to let the market establish itself. Or else you're prone to pump and dump schemes.
Like the bond is coming up pretty fast.
I've read it's 6 month lock up.
Lock up just means he cannot sell. I imagine e that he can pledge the shares...
It's very common.
The super rich never sell shares, then they have to pay takes on the income. It's much cheaper to borrow and never pay income tax. Up until recently at least.
Wait, do you mind an ELI5 version of that tactic? Or is it that simple borrow, payback asap to reduce interest, repeat? Borrowing from two sources spit apart and pay off one with the other, repeat? Never sell shares.