It’s almost the same. The biggest difference is the tax consequence of selling. If I have $100K of cash then I have no tax liability to enter any distribution of holdings. If I have $100K of shares of company X then liquidating it will incur a tax consequence of the full value (assuming I got them at a price of zero as a bonus).
Now that’s not justification for keeping it in company stock. If anything, you’re better off liquidating it and putting it in something else you’re not going to sell for a long while (say diversified ETFs). But it’s not apples to apples like having the cash to start.
Now that’s not justification for keeping it in company stock. If anything, you’re better off liquidating it and putting it in something else you’re not going to sell for a long while (say diversified ETFs). But it’s not apples to apples like having the cash to start.