Annual vesting

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Annual vesting is a certain percentage of the options in a grant vest each year. For example, one-third of the options in the grant might vest each year.


Definitions

According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),

Annual vesting. A certain percentage of the options in a grant vest each year. For example, one-third of the options in the grant might vest each year.

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