To recap, here are the key concepts from this chapter.

1. ESOPs and RSUs can create concentrated exposure. Equity compensation from employers can accumulate into a large portion of personal wealth, making diversification important to reduce single-company risk.

2. Direct USD transfers avoid unnecessary costs. Instead of bringing RSU or ESOP proceeds to India and sending them abroad again, investors can transfer USD directly from the employer’s broker to Vested, avoiding FX conversions, LRS usage, and TCS.

3. RBI rules allow reinvestment of ESOP proceeds abroad. Updated guidelines allow RSU and ESOP sale proceeds to be reinvested in foreign securities within 180 days without first repatriating the funds to India.

4. Shares can also be transferred without selling. Investors can move ESOP or RSU shares directly between brokers through in-kind asset transfers, avoiding FX conversion and immediate capital gains taxation.