The interest that the grantor retains.

• A. Remainder interest
• B. Indicia of ownership
• C. Income-producing assets
• D. Retained interest

Answer: (D)

The key idea is that after a grantor transfers property, the rights they continue to hold are described as a retained interest. This term is used when the grantor keeps some control or benefit from the asset (for example, the right to revoke a trust or to receive income from it). That ongoing right is precisely what “retained interest” means, making it the best label for what the grantor still possesses.

A remainder interest describes a future ownership that becomes possessory after another interest ends, so it’s not what the grantor retains. Indicia of ownership is about signs or evidence of ownership, not a specific interest. Income-producing assets refer to the nature of the assets, not to the portion the grantor keeps.