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Company Stock

January 5th, 2009 at 04:07 pm

It is well known that it is not a good idea to invest in stock of the company you work for.

What if your company's stock is #1 in it's type of category globally? Would this make a difference when purchasing stocks?

2 Responses to “Company Stock”

  1. Nika Says:

    I think it does make a difference.
    And I don't think they say not to invest in your company stock at all, they just advise that the bulk of your investments is not in it -- so that if something were to happen to your company you won't loose your job and all your savings at the same time.

    I'm sure that as long as you are diversified nothing wrong with taking advantage of your special position to purchase some of that stock.

  2. Broken Arrow Says:

    It's actually not always a bad idea to buy your own company stock, so long as you never hold too much of it (5% is the generally stated limit). It's especially good if they cut you some special deal.

    Just depends on what they're offering and what you're comfortable with.

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