The actual return on an ESPP is actually way better than the discount too. You get that discount, even for the money you contributed most recently. A 15% discount is actually a 17% return (1/.85), and you get that return on money you contributes 6 months ago and also the money contributed at every point up to the last pay check included. So if that last one was 2 weeks before the purchase, you get ~17% in 2 weeks.
Overall, it works out to a 90% annual return even if the stock stays steady or goes down. If it goes up, all the better.
Unfortunately, its not like you can "keep money" in an ESPP and actually earn that 90% over a longer period of time, but it's a great deal for short term illiquidity.
Overall, it works out to a 90% annual return even if the stock stays steady or goes down. If it goes up, all the better.
Unfortunately, its not like you can "keep money" in an ESPP and actually earn that 90% over a longer period of time, but it's a great deal for short term illiquidity.