Author: Helen Barklam

IntroductionGift tax is a tax imposed on the transfer of money or property from one person to another without receiving anything of equal value in return. It is a type of estate tax, and is imposed by the federal government and some states. Gift tax can have a significant impact on gifting, as it can reduce the amount of money or property that can be given away without incurring a tax liability. It is important to understand the rules and regulations surrounding gift tax in order to ensure that gifts are given in a way that is compliant with the…

IntroductionGeometric mean return is a measure of the average rate of return of an investment over a period of time. It is calculated by taking the product of all the returns over the period and then taking the nth root of the product, where n is the number of returns. The geometric mean return is a more accurate measure of the average return of an investment than the arithmetic mean return, as it takes into account the compounding effect of returns over time. It is also known as the geometric average return or the geometric rate of return.What is Geometric…

IntroductionGeneration-Skipping Transfer Tax (GSTT) is a federal tax imposed on transfers of property from one generation to another that skip a generation. This tax is intended to prevent wealthy individuals from avoiding estate taxes by transferring assets to their grandchildren or other generations. GSTT applies to transfers of property, including money, stocks, bonds, real estate, and other assets. The tax rate is currently 40%, and it applies to transfers of more than $11.58 million in 2020. GSTT can have a significant impact on inheritance, as it can reduce the amount of money or assets that can be passed down to…

IntroductionA General Obligation Bond (GO) is a type of municipal bond that is backed by the full faith and credit of the issuer. This means that the issuer is obligated to use its taxing power to repay the bondholders. GO bonds are typically used to finance public projects such as schools, roads, and other infrastructure. The issuer of the bond is responsible for repaying the principal and interest on the bond over a predetermined period of time. The issuer typically pays interest on the bond semi-annually and repays the principal at maturity. GO bonds are typically issued with a fixed…

IntroductionG7 Bond is a type of bond issued by the governments of the seven major industrialized countries, also known as the Group of Seven (G7). These countries are the United States, Japan, Germany, France, the United Kingdom, Italy, and Canada. G7 Bonds are considered to be among the safest investments in the world due to the strong credit ratings of the issuing countries. They are also highly liquid, meaning they can be easily bought and sold in the secondary market. G7 Bonds typically offer low yields, but they are considered to be a safe haven for investors looking for a…

IntroductionThe futures market is a financial market where participants buy and sell contracts for delivery of a commodity, security, or currency at a predetermined price at a specified time in the future. Futures contracts are standardized agreements that are traded on an exchange. They are used to hedge against price fluctuations in the underlying asset, as well as to speculate on the future direction of the asset’s price. There are two main types of futures contracts: cash-settled and physically-settled. Cash-settled futures are settled in cash at the expiration of the contract, while physically-settled futures require the delivery of the underlying…

IntroductionRealized gain and loss is an important concept in taxation. It refers to the difference between the sale price of an asset and its original purchase price. When an asset is sold for more than its original purchase price, the difference is referred to as a realized gain. Conversely, when an asset is sold for less than its original purchase price, the difference is referred to as a realized loss. Realized gains and losses are important in taxation because they are used to calculate taxable income. The amount of realized gain or loss is used to determine the amount of…

IntroductionReal-time trading is a type of trading that allows investors to buy and sell securities in real-time. This type of trading is conducted through electronic trading platforms, which allow investors to access the markets and execute trades in a matter of seconds. Real-time trading is a popular form of trading for both day traders and long-term investors, as it allows them to take advantage of market movements quickly and efficiently. Real-time trading works by connecting investors to the markets through an electronic trading platform. Once connected, investors can view real-time market data, place orders, and execute trades in a matter…

IntroductionReal interest rate is an important concept in economics and investing. It is the rate of return on an investment after adjusting for inflation. It is used to measure the true cost of borrowing money and the true return on an investment. It is also used to compare the returns of different investments and to determine the best investment options. Real interest rate plays an important role in investing, as it helps investors make informed decisions about their investments. It is also used to measure the economic health of a country, as it reflects the level of economic activity and…