HD&A

Making sense of the alphabet soup of trusts.

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Ning, Ding, Grat. Ilit, Crat, Crut, Qtip. And for those with short memories, Slats.

Is this code? The output of a broken keyboard? No, they’re acronyms that are commonly bandied about when discussing trusts. Always a rarefied space, the world of trusts is now awash in Washington-style shorthand. Unlike with that alphabet soup of government agency jargon, spelling out the names of these acronyms does not necessarily make it clear what the trust does. A Grat, for example, is a grantor-retrained annuity trust, but it has nothing to do with annuities or insurance of any kind.

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