Equity (60 day trading average to 20 day)
Roblox just updated their equity policy for new hires. Before, equity was based on 60 day trading averages, now it’s calculating equity grants on a 20 day trading average. Is this good or bad? Can anyone lend some insight on this? Thank you so much!
This is good. Because now you can work 2 jobs for 3 weeks and quit Roblox if stock sucks while not quitting your original job.
As any moving average share price calculation is good when it’s trending up and bad wheats trending down, and it’s as good\bad as the length of the window, so 20 is better/worse than 60 on down/up trends respectively
In a regular market, when stock is slowly & steadily moving upwards, longer period averages are good. In the worst of times, shorter period averages give you benefit. If stock dips after you join, either way is worse.
They did this a month ago, not just now. And they did it because they were asking people to join at like 90 and then 65 when the stock was at 45 so you would take a loss before you even joined.
Good, If the stock is heading down. Bad (or not as good), if heading up. I got screwed with 60 day trading average on Pinterest.