Vested shares usually takes 24 - 48 hours to show up in your account. Is that the case with yours too, Andre? I heard if you sell on the same day, you can avoid being taxed at the short-term rate, but given vested shares don't show up immediately in the account, I wonder what your tax strategy is. I'm also interested in the ESPP vs. vested RSU diversification approach.
Having worked at Uber, I can resonate with the second half of your article. It's going to be a while before the share price is back at the initial $40
Quick note: I joined Facebook in 2017, and I still had a one year cliff. It was updated during 2018 for employees joining after Jan 1, 2018 (I clearly remember how annoyed my teammate that joined in December 2017 was about this).
Separately, I really wish there were low cost ways to reverse custom index (basically buy VTI minus $FB), since it would theoretically let people salve their FOMO without losing as much diversification. Tools definitely exist for custom indexing, but AFAIK they haven’t made their way down to the low fee world yet.
Wow, loved this analysis and thanks for sharing your template so I could compare my own vests at TENB. I guess it is one of the few/handful companies that still beats VTI & VTSAX, but not by much (+6.7% only) and with the way things are going with tech right now this may not hold true in the future. I also love your "If-it-were-cash-would-you-buy-the-stock?" test. But just for my FOMO reduction, what I've started doing since a few months ago is selling shares worth the original grant value and riding the remaining "free" shares – for a very long term (perhaps forever). Additionally I try to optimize the tax lots to have least tax impact and also I don't sell ESPP stocks until they're eligible for Qualified Disposition. Nonetheless, your analysis still shows how simple yet powerful diversifying is. While my 401K is in diversified index funds, my personal investments are mainly in tech stocks (due to cognitive biases at play, from living in the Bay Area) and as a result I'm still in deep-red with some stocks losing 67% of their value! So much for all the time spent in analyzing and picking companies to invest in while you opted for a simpler, less-riskier, and as you & Warren Buffet proved it, a more profitable way to invest. https://www.investopedia.com/articles/investing/030916/buffetts-bet-hedge-funds-year-eight-brka-brkb.asp
Vested shares usually takes 24 - 48 hours to show up in your account. Is that the case with yours too, Andre? I heard if you sell on the same day, you can avoid being taxed at the short-term rate, but given vested shares don't show up immediately in the account, I wonder what your tax strategy is. I'm also interested in the ESPP vs. vested RSU diversification approach.
Having worked at Uber, I can resonate with the second half of your article. It's going to be a while before the share price is back at the initial $40
Quick note: I joined Facebook in 2017, and I still had a one year cliff. It was updated during 2018 for employees joining after Jan 1, 2018 (I clearly remember how annoyed my teammate that joined in December 2017 was about this).
Separately, I really wish there were low cost ways to reverse custom index (basically buy VTI minus $FB), since it would theoretically let people salve their FOMO without losing as much diversification. Tools definitely exist for custom indexing, but AFAIK they haven’t made their way down to the low fee world yet.
Wow, loved this analysis and thanks for sharing your template so I could compare my own vests at TENB. I guess it is one of the few/handful companies that still beats VTI & VTSAX, but not by much (+6.7% only) and with the way things are going with tech right now this may not hold true in the future. I also love your "If-it-were-cash-would-you-buy-the-stock?" test. But just for my FOMO reduction, what I've started doing since a few months ago is selling shares worth the original grant value and riding the remaining "free" shares – for a very long term (perhaps forever). Additionally I try to optimize the tax lots to have least tax impact and also I don't sell ESPP stocks until they're eligible for Qualified Disposition. Nonetheless, your analysis still shows how simple yet powerful diversifying is. While my 401K is in diversified index funds, my personal investments are mainly in tech stocks (due to cognitive biases at play, from living in the Bay Area) and as a result I'm still in deep-red with some stocks losing 67% of their value! So much for all the time spent in analyzing and picking companies to invest in while you opted for a simpler, less-riskier, and as you & Warren Buffet proved it, a more profitable way to invest. https://www.investopedia.com/articles/investing/030916/buffetts-bet-hedge-funds-year-eight-brka-brkb.asp
Great analysis, thank you! I assume you ARE holding your FB stock now? Or should we diversify even in times like these?