Stock Appreciation Rights are simply said a bonus based on any value increase of a share. They are a type of employee participation linked to the company’s stock price during a predetermined period of time. They generate profit (literally in the form of a bonus) for employees when the stock price rises. Unlike options, employees do not have to pay to start receiving profits. Nor does any SAR every represent true ownership. Instead, you receive the sum of the value increase in cash or sometimes in depositary receipts. This last way is of course a fantastic instrument to be able to save up for investing in the company and co-own the business as an employee.