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What is Wealthfront’s Selling Plan?

Note: Wealthfront is no longer accepting new Selling Plan clients. However, we will keep these articles online for clients with existing plans.

Selling Plan addresses a common problem for employees, ex-employees, and investors in public companies —  holding a concentrated position in a single stock.

Having a significant portion of net worth in a single stock means that you can experience extreme fluctuations in your net worth on a daily basis. It also exposes you to significant risk based on the activities and unforeseen events that occur at your company, rather than spreading that risk across a broad set of companies and markets through the time-honored investing process of diversification.

Selling Plan allows you to transfer your vested and exercised shares to Wealthfront, where they can be sold in an easy, commission-free, and tax-aware manner.

You can set aside cash for taxes and other uses and, if you want, reinvest the remaining proceeds in a Wealthfront diversified portfolio. This will leave you with a less volatile investment portfolio, suitable to grow long-term wealth.

Nothing in this blog should be construed as tax advice, a solicitation or offer, or recommendation, to buy or sell any security. Financial advisory services are only provided to investors who become Wealthfront Inc. clients pursuant to a written agreement, which investors are urged to read carefully, that is available at www.wealthfront.com. All securities involve risk and may result in some loss. For more information please visit www.wealthfront.com or see our Full Disclosure. While the data Wealthfront uses from third parties is believed to be reliable, Wealthfront does not guarantee the accuracy of the information.

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