Possible to write/buy options on private company stocks?

V

virw

If I own shares in private companies (from employee stock options exercised), is there a market to sell/buy options for them?
 
1. Are they restricted shares ?
2. Ask whoever did the investment banking for you firm.
3. There are specialized dealers who "may" want to do your firm, but legal restrictions and liquidity will be an issue.
Cantor Fitz and Jefferies might have an interest and scale, but I would start with firms banker and it ain't gonna be easy.
 
Yes, it's done all the time, OTC. You need a lot of capital (i.e., board-level fiduciary) for any bank to bother with you. They will rape you on vol. You're better off trading listed options on a proxy.
 
There are essentially zero reporting restrictions unless you are a fiduciary; and even then it matters what you're doing.

You can collar against restricted shares as well; contractually cash-settled. Duh.
 
They are 'private' contracts between two people. options and futures are 'contracts' that just listed in the exchange and sold and securitized and SEC has jurisdiction. private contracts any disputes you go to small claims for breach of contract or fail to deliver.
 
it's private market. it's like any market, flea market. art market. real estate market ebay is market, you can advertise on ebay
 
Would anyone trust you? that you will deliver? or you actually own the shares etc. Lots of fraud where people ask for 'investments' from the public when they don't have any investment, it's called investment FRAUD.
Fraud is when you promise something and don't deliver. people advertise investments, take the money from the public and just take off. that is FRAUD. felony 5 years in prison.
 
trader2019 said:
They are 'private' contracts between two people. options and futures are 'contracts' that just listed in the exchange and sold and securitized and SEC has jurisdiction. private contracts any disputes you go to small claims for breach of contract or fail to deliver.
More...
Small claims? I think this is a different league than you think it is!
 
whether the dispute is $1000 or 1 million it's heared by a Judge only , there is no jurors for fraud or contract disputes. it's 'contract dispute' unlike murder, robbery, theft. robbery is you didn't agree to anything and was forced to hand over the money by force.
 
You must log in or register to reply here.
Back
Top