E*TRADE Financial Corporate Services, Inc. today announced results from its annual survey of equity compensation plan participants.1 Results reveal that participants under age 35 view stock plan benefits in a markedly different way than older participant populations do:
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20190709005859/en/
(Graphic: Business Wire)
“Now more than ever, the younger generations that make up today’s workforce want to feel connected to their company and participate in the growth potential,” said Scott Whatley, President of E*TRADE Financial Corporate Services. “There have been dramatic changes in employee perspectives compared to even a decade ago, when benefits like equity compensation were not nearly as top of mind and were reserved solely for executives. To remain competitive, today’s employers will need to adopt scalable and intuitive solutions to best cater to and reward these emerging leaders.”
To learn more about E*TRADE’s equity compensation offering, visit etrade.com/corporateservices.
For news and thought leadership on equity compensation, follow E*TRADE Corporate Services, on LinkedIn.
1. E*TRADE Financial Corporate Services, Inc. annual survey fielded from April 3, 2019, to April 19, 2019, to current stock plan participants of E*TRADE’s corporate clients.
About E*TRADE Financial and Important Notices
The E*TRADE Financial family of companies provides financial services, including trading, investing, banking, and managing employee stock plans. Employee stock plan solutions are offered by E*TRADE Financial Corporate Services, Inc. Securities products and services are offered by E*TRADE Securities LLC (Member FINRA/SIPC). Commodity futures products and services are offered by E*TRADE Futures LLC (Member NFA). Managed Account Solutions are offered through E*TRADE Capital Management, LLC, a Registered Investment Adviser. Bank products and services are offered by E*TRADE Bank, a Federal savings bank, Member FDIC, or its subsidiaries. More information is available at www.etrade.com.
In connection with stock plan solutions offered by E*TRADE Financial Corporate Services, Inc., E*TRADE Securities LLC provides brokerage services to stock plan participants.
E*TRADE Financial, E*TRADE, and the E*TRADE logo are trademarks or registered trademarks of E*TRADE Financial Corporation. ETFC-G
© 2019 E*TRADE Financial Corporation. All rights reserved.
Referenced Data
Please tell us how much you agree or disagree with the following statements.
|
|||||
|
Total |
AGE |
|||
Under 35 |
35–44 |
45–54 |
55+ |
||
I have a good idea how much my stock plan benefits are worth |
74% |
70% |
74% |
76% |
76% |
I closely follow my company’s stock price |
67% |
66% |
67% |
67% |
65% |
I could explain how my stock plan works to a colleague or friend |
62% |
63% |
63% |
63% |
61% |
My stock plan provides me with a sense of ownership in the company |
59% |
53% |
58% |
63% |
61% |
Stock plan benefits are an important consideration for me in changing jobs |
54% |
57% |
58% |
57% |
46% |
My contributions to my company’s performance are acknowledged through the equity grants I receive |
46% |
44% |
48% |
49% |
44% |
I include the value of my stock plan when calculating my total compensation |
45% |
41% |
25% |
48% |
44% |
Why did you decide to hold your shares instead of selling them?
|
|||||
|
Total |
AGE |
|||
Under 35 |
35–44 |
45–54 |
55+ |
||
I believe in the company’s future performance |
30% |
35% |
31% |
28% |
25% |
Hold stock as a long-term investment |
27% |
16% |
22% |
30% |
38% |
I don’t currently have plans for (or need) the cash |
22% |
24% |
24% |
20% |
21% |
Sell of exercise when need money for large expense |
9% |
11% |
10% |
9% |
5% |
The company’s stock pays dividends |
5% |
5% |
5% |
5% |
6% |
Other |
8% |
8% |
8% |
8% |
6% |
Which of the following do you do before deciding to sell shares or exercise options from your stock plan account?
|
|||||
|
Total |
AGE |
|||
Under 35 |
35–44 |
45–54 |
55+ |
||
Set a pre-determined sell price and/or exercise price |
29% |
26% |
29% |
30% |
28% |
Research information about my company and/or its financials |
19% |
28% |
21% |
14% |
14% |
Utilize tools to model the potential value and/or tax implications of selling or exercising |
19% |
22% |
20% |
19% |
16% |
Talk to family members, friends or colleagues about the stock |
19% |
31% |
20% |
14% |
12% |
Talk to a financial or tax advisor about the stock |
14% |
15% |
14% |
14% |
16% |
Other |
2% |
2% |
2% |
2% |
2% |
None of the above |
28% |
23% |
27% |
30% |
31% |
How well do you understand each of the following about your company’s stock plan benefits?
|
|||||
|
Total |
AGE |
|||
Under 35 |
35–44 |
45–54 |
55+ |
||
How to access my stock plan benefits account |
71% |
70% |
71% |
72% |
70% |
How my vesting schedule works |
59% |
55% |
58% |
61% |
59% |
How my stock plan benefits work |
53% |
51% |
52% |
55% |
55% |
How to find information/education about my stock plan benefits |
46% |
42% |
44% |
48% |
49% |
How to get in touch with someone to address questions about my stock plan |
45% |
40% |
43% |
47% |
50% |
How to determine when to take action on my stock plan benefits |
41% |
36% |
40% |
43% |
43% |
How taxes may impact my specific type of stock plan benefits |
31% |
25% |
29% |
33% |
38% |
How to potentially maximize the financial benefits from my stock plan benefits |
30% |
26% |
29% |
32% |
35% |
Which of the following would you like to see more of on the stock plan benefit section of your company’s intranet site? |
|||||
|
Total |
AGE |
|||
Under 35 |
35–44 |
45–54 |
55+ |
||
Details about the specific equity benefit(s) you receive or are eligible to participate in |
55% |
58% |
55% |
53% |
53% |
Educational guides and FAQs |
51% |
57% |
53% |
51% |
45% |
Educational videos |
38% |
44% |
41% |
37% |
30% |
My company does not provide stock plan benefit information on the company intranet |
8% |
6% |
7% |
8% |
11% |
Other |
2% |
1% |
2% |
2% |
4% |
“Young participants” defined as under age 35 // “Baby Boomer participants” defined as over age 55
View source version on businesswire.com: https://www.businesswire.com/news/home/20190709005859/en/
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