What Are Grantor Trust Rules? Grantor trust rules are guidelines within the Internal Revenue Code (IRC) that outline certain tax implications of a grantor trust. Under these rules, the individual who creates a grantor trust is recognized as the owner of the assets and property held within the trust for income and estate tax purposes. Key
What Is a Granular Portfolio? A granular portfolio is an investment portfolio that is well diversified across a wide variety of assets, typically with a significant number of holdings. Because this type of portfolio contains a large number of positions in different asset classes and/or sectors, it is considered to have a lower overall risk profile. Conversely, portfolios that
What Is a Grantor Retained Annuity Trust (GRAT)? A grantor retained annuity trust (GRAT) is a financial instrument used in estate planning to minimize taxes on large financial gifts to family members. Under these plans, an irrevocable trust is created for a certain period of time. Assets are placed under the trust and then an
What Is a Gravestone Doji? The term gravestone doji refers to a bearish indicator commonly used in trading by technical analysts. A gravestone doji is a bearish reversal candlestick pattern that is formed when the open, low, and closing prices are all near each other with a long upper shadow. The long upper shadow suggests
WHAT IS a Graveyard Market A graveyard market is one in which bearish sentiment persists, causing existing investors to sell and new investors to stay on the sidelines. Existing investors do not want to acknowledge their large unrealized losses, and, as a result, they may not even look at their brokerage statements. At the same time
What Is a Gray Box? Gray box refers to the testing of software where there is some limited knowledge of its internal workings. Gray box testing is an ethical hacking technique where the hacker has to use limited information to identify the strengths and weaknesses of a target’s security network. Key Takeaways Gray box testing
What Is a Gray List? A gray list is a list of stocks that are ineligible for trade by an investment bank’s risk arbitrage division. Securities on the gray list aren’t necessarily exceptionally risky or otherwise inherently flawed, but are nonetheless restricted. In such cases, the gray list can include those firms working with the
What Is the Gold/Silver Ratio? The gold/silver ratio measures the number of ounces of silver required to purchase one ounce of gold. By measuring the change in the gold/silver ratio over time, investors hope to estimate the relative valuations of the two precious metals, thus informing their decisions of which metal to buy or sell at
What Is the Gold Standard? The gold standard is a fixed monetary regime under which the government’s currency is fixed and may be freely converted into gold. It can also refer to a freely competitive monetary system in which gold or bank receipts for gold act as the principal medium of exchange; or to a
What Is Good Credit? Good credit is a classification for an individual’s credit history, indicating the borrower has a relatively high credit score and is a safe credit risk. Credit scores are provided through credit reporting agencies. Lenders check credit scores for the purpose of providing credit underwriting decisions and background check details. Key Takeaways
