Correct me if I'm wrong II, but I can't see a scenario (tax...

Correct me if I'm wrong II, but I can't see a scenario (tax planning or otherwise) where it makes any financial sense to convert the options until they are in the money, unless you see a significant benefit in contributing money early into the RAC coffers of course.

If you have the money and wish to lock in the CGT discount window on some shares now, or any time prior to the options being in the money, you'll be able to buy more shares on-market than you will by converting your options. This means that you'll be better off even if you let your options expire eventually.

Hopefully though most people are astute enough not to let their options expire and to instead realise their value either by selling them prior to expiry or converting once they are in the money (even if it means selling some shares in order to obtain the funds to do so).