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A comment on Ask HN: Why do companies care about their own valuation?. Parent comment

Re:Ask HN: Why do companies care about their own valuation? by pmiller2 on Wednesday May 13, 2020 @07:13AM (#23165681)
> That's one of negative things about stocks in general in my opinion, because people quite often have short-term (lasting a quarter or two) outlook.

That could be easily fixed by requiring all executive and board members' stock to be held for, say, 3 years after vesting before selling.

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Re:Ask HN: Why do companies care about their own valuation? by lberk on Wednesday May 13, 2020 @07:25AM (#23165741)
Has it really vested at that point then?

Or is it just a longer vesting period?

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Re:Ask HN: Why do companies care about their own valuation? by bruce511 on Thursday May 14, 2020 @01:30AM (#23175687)
I guess that depends on your understanding of "vesting" - and my understanding may be faulty.

As I understand it, if I leave the business before the vesting I get nothing. When the stock vests it becomes mine.

A lock down of the stock then means I can't trade it, but it remains mine (regardless of whether I stay or leave.) Once the lock is lifted I could sell it.

So in that sense there's a difference, yes.

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