What are the benefits of Investing Offshore?
One of the greatest benefits of overseas private investments and
offshore funds is that these types of fund are less regulated than the
onshore varieties. This allows greater freedom to facilitate
diversification of investment plus also the inherent wealth managament
In short, the benefits of offshore investments are:
- Offshore Asset Protection
- Paying less tax
- Wealth management
- Greater freedom of choice
- Greater ROI
Offshore Investments: Asset Protection and wealth management
The privacy and confidentiality that Offshore Financial Centres offer is very important factors to many investors. The discretion with which the tax havens deal with offshore investments is often one of the deciding factors in the offshore investment location.
Who should invest offshore is a commonly asked question. Anyone with a sound net worth might benefit from an offshore
investment as a way to protect their assets. Offshore
investments ensure the shielding of the individual from the liability
of any debts, obligations, or liabilities experienced at home, in the
UK, for example. Offshore Investments act as a way of legally
protecting your assets to enable effective wealth
Investing offshore means paying less tax
Deliberately avoiding paying tax in the UK is, unsurprisingly, not legal. The British government does not take kindly to those trying to deliberately avoid paying tax. However, trying to save paying so much tax legally, by investing offshore for example, is completely acceptable and there are ways to do this. Different financial centres and tax havens have different taxation percentages, rules and regulations.
Other benefits are dependent upon the manner in which the interest
earned in overseas private investments is handled. Even those
individuals domiciled in the UK can defer paying tax indefinitely
through the combination of overseas investments, an offshore
company and insurance contracts, for example. Alternatively, with
an overseas fund, the offshore investor would be able to stipulate that
any interest should be automatically re-invested into the investment in
order to facilitate tax-free growth of the money. The only time
that the investor would be liable to pay any taxes in the home
jurisdiction (the UK) would be at the termination of the investment,
when the investment is cashed in and the money is brought home.
In this case, this would be the only time the money would be subject to
UK tax but the investor emigrated to a different jurisdiction and
withdrew the money there, then the local taxation rate would be payable
and not the higher UK rate.
The Offshore Company UK draws on its 30 year experience and an in-depth knowledge of current taxation levels around the world to advise you about balancing investment risk-benefit with percentages of tax in the various offshore financial centres.
Investing Offshore: Greater Freedom of choice
Many UK investors look to offshore asset protection for purposes of diversifying their offshore investment portfolios, spreading their risk in as wide an arc as possible, and to defer the tax placed upon capital gains in investments. In many cases, too, individuals also look for the stability afforded in these offshore havens.
Having said that, however, it is important to remember that the value
of offshore investments can go down as well as up. We all understand that
you cannot eliminate risk when investing either in the home markets or
internationally, you can, however, understand it. If you
understand the risk, you can reduce the risk. We can help you to
understand the different risk factors: market risk, interest rate
fluctuations, risk from inflation, risks concerned with currency
fluctuations and credit risks. We have a detailed knowledge of
the different offshore markets and firmly believe that by understanding
the risks we can allow you to comprehend and manage your risk profile
to ensure that you feel comfortable with the risk-benefit strategy we
propose for you.
Offshore financial centres allow a huge freedom of choice and, consequently diversification when it comes to international investments. By spreading offshore investments between different offshore investment types and different offshore investment companies it is possible to manage the investment portfolio effectively and select potenitally high-yielding strategies with more stable ones. We employ clear, methodical approaches to all of our investments and ensure that investments are put in for the longer term, where appropriate, and put in gradually in order to benefit from the most timely and financially beneficial entry into the market. As always, our client’s comfort level and investment policy is at the forefront of our strategy and we work hand-in-hand to ensure continued growth and investor security.
To learn more about offshore investing options and other private
financial tools, speak to a UK Offshore Company Investment specialist,
or request a consultation by email today.
Past performance is not a guide to future performance. The value of
investments may fall as well as rise.