Phantom Shares: a practical review - Abstract Nº:4 / 2019

Nº 4 / 2019 - octubre-diciembre

Phantom Shares: a practical review

Elena Company Reyna


After the generalization in the market of stock option plans, some negative aspects of them have been identified in these plans. The market has evolved into the figure of the phantom shares, original from American law practice. Its definition as a method of variable compensation of employees without transfer of share capital by the shareholders of the company has been crucial in its fast proliferation.

Keywords: Phantom shares, variable retribution, startups, venture capital