RESTRICTED STOCK AND PERFORMANCE SHARES. Over the last several years, companies have adopted ever mo

Why do you get fewer restricted shares than stock alternatives? Each limited stock/RSU grant has amount based upon the stock price, while the value of stock alternatives is technically just a right to buy stock at your repaired exercise cost. The true value of options depends upon the stock's gratitude above the workout price at some future point. In a grant of restricted shares/units, nevertheless, the value of each share is readily ascertainable and is much higher than the value of a simple option. As stock choices are more difficult to value and should now be expensed by your business when they are granted, business have typically cut back on them. Restricted stock also presents less threat to the staff member since, the majority of the time, stock does not go to no.