So, the company employed professional to give presentation to staff and also provided spreadsheet to convince the staff that the scheme was better. Many employee opted for the scheme.
However, within a few years, the scheme did very badly and the financial return was extremely poor.
The change was done at the time when:
- The stock market was on a bull run, ie, increase;
- The scenarios taken were very positive - everything good and nothing bad.
- Never believe your company will change your benefit to something better;
- When you are dealing with something linked to stock market investment, just remember that whatever goes up will come down. Therefore, a balanced scenarios must be made, ie, you must consider the possible best and possible worse, ie, worse case which had happen.
- Don't be greedy.