To avoid having to pay higher taxes, many companies adopted a policy of issuing “at the money” stock options in lieu of additional income, with the idea that the executive or employee would benefit through the option by working to increase the value of the company without exceeding the one million dollar deductibility cap for executive income.When company executives discovered that they had the ability to backdate stock option grants, thus making them both tax deductible and “in the money” on the date of actual issuance, the common practice of stock option backdating for financial gain began on a widespread level.Create customized and incredibly powerful filters for intraday trading. Modern, flexible and 100% real-time streaming results. " Our "pattern recognition" tool alerts you to proven & profitable technical events as they happen in real-time.This allows the stocks you want to come to you instead of you looking for them. Easily capitalize on stocks that are making new highs, new lows, breaking price averages, breaking volume averages, moving large block trades and much more! "The technical trading alerts on Equityfeed are an absolute godsend.In essence, the revision enabled companies to increase executive compensation without informing their shareholders if the compensation was in the form of stock options contracts that would only become valuable if the underlying stock price were to increase at a later time.In 1994, a new tax code (162 M) provision declared all executive income levels over one million dollars to be “unreasonable” in order to increase taxes on all applicable salaries by removing them from their previous tax-deductible status.I see them come through as they happen, I click the symbol to verify the montage and I get on for the ride.
This professional-grade platform puts the "little guy" in a position to dominate the stock market's opportunities and trade at the highest possible level.It's like the most powerful stock screener for dummies, all packaged and ready to use.Marketview is the secret weapon that let's me see stocks that are 'in play' at any given time of the day." Our Chart Montage is your "go to" window after an interesting stock has been identified and more in-depth monitoring is needed for a trade decision.Cases of backdating employee stock options have drawn public and media attention.According to a study by Erik Lie, a finance professor at the University of Iowa, more than 2,000 companies used options backdating in some form to reward their senior executives between 19.Chart Montage gives me the 360 degree view I need on any stock to make quick, accurate and confident decisions during pre trade and post trade." Our Limit Alerts feature is your ultimate order alert tool!An easy-to-use window allows you to be alerted in real-time whenever a certain stock you care about has news or crosses a specified threshold such as price, Volume, Bid, Ask, Change and more. Our Level 2 quotes display any stock's order book with all the Market Makers who are lined up on the Bid and Ask prices. "I only trade penny stocks and there is no better Level 2 quote screen for OTC and Pinks than Equity Feed. The activity log is like watching a play by play in plain english and has been a huge factor in me interpreting the Level 2 action." The most important stocks are the ones you hold in your portfolio or have on your radar.It was forced to restate earnings by recognizing a stock-based expense increase of 3 million between 19, after allegedly manipulating its stock options grants for the benefit of its senior executives.It allegedly failed to inform investors, or account for the options expense(s) properly.Corporations, however, have defended the practice of stock option backdating with their legal right to issue options that are already in the money as they see fit, as well as the frequent occurrence in which a lengthy approval process is required.In 1972, a new revision (APB 25) in accounting rules resulted in the ability of any company to avoid having to report executive incomes as an expense to their shareholders if the income resulted from an issuance of “at the money” stock options.