Carrot Equity

Carrot equity - The carrot equity is a colloquial term used by British citizens to descript equity securities, stocks, and shares, which enable an investor to buy additional equity shares in the company so they are able to achieve pre-determined financial goals. Unlike the call option, a current shareholder doesn't pay a premium to purchase additional shares, which can be purchased directly from the company issuing the shares are a preset price, without the purchasing of an option and warrant. Financial goals in this case is understood to mean net income, economic value added, earnings per share, and operating cash flows.