Pinto Arun 4

What Happened

• Arun Pinto, Chief Risk Officer of SoFi Technologies (SOFI), entered into a prepaid variable forward contract on February 2, 2026. Under the agreement he received an upfront cash payment of approximately $1.2 million and pledged 71,500 SoFi shares as the Base Amount to secure his obligations.
• This was recorded on Form 4 as an "other acquisition or disposition" (derivative) — not an open-market sale. Pinto retains voting rights in the pledged shares during the pledge period. Settlement is expected on or about February 2, 2029, when shares or cash will be delivered depending on the stock’s price.

Key Details

• Transaction date: February 2, 2026. Report filed the same day.
• Transaction type/code: Other acquisition/disposition (J) — prepaid variable forward (derivative).
• Shares pledged (Base Amount): 71,500.
• Upfront proceeds: approximately $1.2 million.
• Settlement mechanics: If Pinto does not elect cash settlement, the number of shares to be delivered on the ~Feb 2, 2029 maturity depends on the stock price:
  • If settlement price is > $19.0052 and < $36.1032, deliverable shares = Base Amount × (Floor $19.0052 ÷ Settlement Price).
  • If settlement price ≥ $36.1032, deliverable shares = Base Amount − [(Cap − Floor) ÷ Settlement Price].
  • If settlement price ≤ $19.0052, full Base Amount (71,500 shares) must be delivered.
• Voting rights: Pinto retains voting rights in the pledged shares while they are pledged.
• Shares owned after transaction: Filing does not state Pinto’s total SoFi holdings after the pledge.

Context

• A prepaid variable forward is a liquidity tool: the insider gets cash now in exchange for the future delivery of shares (or cash), with the final amount dependent on the stock’s price at maturity. This is not the same as an open-market sale and does not necessarily indicate a view on the company’s near-term prospects.