Summary and Info
Stock options represent a significant claim against companiesthat should be reflected in their valuations, but valuing employee stock options is complex. Fortunately, in this Research Foundation of CFA Institute monograph, Mark Lang presents an excellent framework for valuing these claims by balancing the obligation of the company to fund outstanding options and future grants with the benefits arising from the incentive effects of options.
More About the Author
Mark Langhammer is a trade unionist, employed as Director of the Association of Teachers and Lecturers and elected onto the Northern Ireland Committee of the Irish Congress of Trade Unions in 2008, being re-elected in 2010. A former politician in Northern Ireland, and previously a prominent northern-based member of the Irish Labour Party.