Cashless Exercise

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Dictionary Says

Definition of 'Cashless Exercise'

A transaction that is used when exercising employee stock options (ESO). Essentially, what you do here is borrow enough money from your broker to exercise the options. You then simultaneously sell enough shares to pay for the purchase, taxes, and broker commissions.
Investopedia Says

Investopedia explains 'Cashless Exercise'

What you are doing is technically called buying on margin. The brokerage lets you buy on margin in this case because they know there will be a quick repayment. The advantage of this technique is you don't need the cash on hand.
Search results for

'Cashless Exercise'

  • Employee Stock Options: Definitions and Key Concepts ...

    http://www.investopedia.com/university/employee-stock-options-eso/eso1.asp
    ... shares. Finally, while typically a cash exercise is the only route allowed
    by some employers, others now allow cashless exercise. Here ...

  • CFP Study Guide - Financial Planning: Process and Rules ...

    http://www.investopedia.com/exam-guide/cfp/financial-planning-process-rules/default.asp
    ... Stock Options; 22.4 Cashless Exercise of ISOs; 22.5 Non-Qualified Stock Options;
    22.6 Transferability of NQSOs. 23. Stock Plans: 23.1 ...

  • CFP Study Guide - Principles of Risk and Insurance - Introduction ...

    http://www.investopedia.com/exam-guide/cfp/principles-of-risk-and-insurance/default.asp
    ... Stock Options; 22.4 Cashless Exercise of ISOs; 22.5 Non-Qualified Stock Options;
    22.6 Transferability of NQSOs. 23. Stock Plans: 23.1 ...

  • CFP Study Guide - Principles of Risk and Insurance - The Risk ...

    http://www.investopedia.com/exam-guide/cfp/principles-of-risk-and-insurance/cfp2.asp
    ... Stock Options; 22.4 Cashless Exercise of ISOs; 22.5 Non-Qualified Stock Options;
    22.6 Transferability of NQSOs. 23. Stock Plans: 23.1 ...

  • CFP Study Guide - Property, Casualty and Liability Insurance ...

    http://www.investopedia.com/exam-guide/cfp/property-casualty-liability-insurance/default.asp
    ... Stock Options; 22.4 Cashless Exercise of ISOs; 22.5 Non-Qualified Stock Options;
    22.6 Transferability of NQSOs. 23. Stock Plans: 23.1 ...

  • CFP Study Guide - Property, Casualty and Liability Insurance ...

    http://www.investopedia.com/exam-guide/cfp/property-casualty-liability-insurance/cfp4.asp
    ... Stock Options; 22.4 Cashless Exercise of ISOs; 22.5 Non-Qualified Stock Options;
    22.6 Transferability of NQSOs. 23. Stock Plans: 23.1 ...

  • Investing In Warrants

    http://stocks.investopedia.com/stock-analysis/2010/Investing-in-Warrants-USAT-USATZ-HCII-HCIIW-WFC-WFC.WS1015.aspx
    ... Consider Your Options USA Technologies (Nasdaq:USAT), a provider of cashless devices
    to ... holder to purchase one share of common stock at the exercise price of ...

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