A Grantor forms and distributes deals/contract agreements in order to sell options in exchange for undisclosed assets or interest.
Grantor Options
A Grantor is the one responsible for dealing either Put or Call options. The generating of profits come in directly through the surcharge in which the different options are then finalized and closed in a sale.
Option keepers are obligated for the payment installment of the premium through a series of trades and exchanges.
Options are regarded as contracts which give the purchaser as well as the selling party the authority to sell and buy a certain asset at a defined price and date which is more commonly known as a Strike Price.
The two key options when executing a contract are known as a Call option and a Put option. A Call option is an option which permits the purchase of assets at an agreed rate that will occur on or prior to a certain date. A Put option on the other hand is an option which permits the sell of assets at an agreed rate that will occur on or prior to a certain date.
It is important for one to note, the grantor has no power in respect to options being used prior to the contract expiration.
Grantor Deeds
When a grantor delivers over a title to a grantee this is known as a Deed.
There are several types of deeds revolving around a grantor.
The following is a list of some of the major deeds:
General Warranty Deeds
Grant Deeds
Quitclaim Deeds
Special Warranty Deeds
General Warranty Deeds– Grantor who carries over a general warranty deed. The grantor will see to it that the title is appropriate and profitable.
Grand Deeds– A grantor of a grant deed transfers his or her property with a formal assurance that the property has not been sold to another party simultaneously.
Quitclaim Deeds– A quitclaim deed is by far the riskiest deed, for the grantee does not receive much assurance under the law in terms of security. This deed is more commonly used amongst relatives and individuals who know one another well enough with a level of trust. The grantor in this case can’t make any promises that he or she will have the legal authority to distribute the property.
Special Warranty Deeds– Grantor of a special warranty deed is not to be held accountable for any title errors which took place prior to the ownership of a property.
Grantor & Trust
A grantor is also the individual who will form a Trust. The person who will be referred to as the grantor will be addressed as a trust maker, trustor, or settler.
Those who will be obtaining the assets in the trust, will be known as the beneficiaries.
The grantor is the one who will have the duty of distributing the assets in the trust.
