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Ask HN: Selling post IPO culturally frowned upon?

3 pointsby alexandra_cggabout 4 years ago
Is selling your shares post-IPO culturally frowned upon? The company I work for has a strong culture of sticking to the mission, so I think it might be frowned upon to sell post lockup. However I am also worried about the current tech sell off and what that might mean for the next few years. Has anyone else encountered this before?

2 comments

mediamanabout 4 years ago
The CEO selling most of their shares after the lock-up period expires would be seen as a majorly negative signal.<p>If you are not the CEO or a top executive, investors won&#x27;t care, or even know. It&#x27;s best to diversify. Even if you lose out on potential future appreciation - and get market returns instead - it&#x27;s a dramatic reduction in risk, and presuming you get a lot more value out of the first few million than in more millions later, it&#x27;s usually a good tradeoff.<p>If you are the CEO or a major shareholder, consider establishing a planned schedule of stock sales. Investors will not be so concerned about a gradual selloff that appears to function more as a method of providing constant cash flow.
sharemywinabout 4 years ago
diversifying is not bad idea period. you should talk to a financial advisor about a good way to diversify. and if you get some kind push back you can just blame it on them.<p>if your an insider and you need to worry about signaling or legality. again probably need a financial planner.