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Monday, April 15, 2024

Nvidia stock grants and Jamie Dimon's warnings about the economy - Quartz

Hello, Memo readers!

What happens when you become the first chipmaker to hit a $2 trillion market cap? For Nvidia employees, it means a one-time “Jensen special grant” of an additional 25% of the amount of stock units they received when joining the company. Not too shabby!

The grant, named after Nvidia CEO Jensen Huang, will give employees of the chipmaker a bigger piece of its AI-fueled stock growth. Employees were reportedly told of the additional restricted stock units (RSUs) during annual performance reviews at the beginning of April, fresh off the Woodstock of AI, a.k.a. Nvidia’s annual conference in California.

The “Jensen special grant” will reportedly vest in equal installments over four years. Many recent hires were given stock options worth $200,000, and they will receive an additional $50,000 of RSUs. Employees also get quarterly annual equity refreshers based on individual performance.

But it wasn’t always high-flying times for the chip monarch. For one, Huang used to work as a dishwasher, and the company almost went bankrupt in its first two years. Read more about Nvidia’s humble beginnings, which took place at a Denny’s.


Dimon’s crystal ball is smoky

As a shadow hangs over hopes for the Federal Reserve to cut interest rates this year, JPMorgan Chase CEO Jamie Dimon is warning people to expect the unexpected.

“We don’t really know what’s going to happen,” Dimon said in a call with analysts after the bank reported first-quarter earnings that beat Wall Street expectations.

Geopolitical conflicts like the wars in Ukraine and Israel, rising oil and gas prices, and uncertainty surrounding U.S. fiscal spending and elections are all factors that have kept Dimon cautious about the economic outlook — and stopped him from making sweeping predictions. Although the economy is doing “OK” right now, he said Friday, that doesn’t necessarily mean it will still be OK down the road. Read what else he told investors.


More from Quartz

🧐 All the world leaders Elon Musk loves and hates

📈 BlackRock CEO Larry Fink is skeptical of the Fed’s 2% inflation target

👟 Nike’s CEO is fed up with remote work

🤖 Best Buy is bringing AI to customer service

💼 OpenAI’s Sam Altman is trying to poach some of Microsoft’s customers


You got the Memo

Send questions, comments, and special grants talk@qz.com. This edition of The Memo was written by Britney Nguyen, Rocio Fabbro, and Morgan Haefner.

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