Section 1

What is Offshore Investing

The offshore world has gradually surfaced, in part, as a result of all forms of dwindling human liberties. Although offshore investing has remained little known and little understood, this obscurity is rapidly changing and this report is evidence of that fact. But today it is safe to assume that at least most business people have heard of the expression "offshore." While Americans have only recently discovered the advantages of going offshore, many foreigners have long understood its benefits. Many people that have experienced oppressive governments have turned to the offshore world for safety. U.S. investors and others are increasingly discovering the financial rewards of investing in foreign companies and in foreign countries. An investor's portfolio can be greatly diversified by going offshore, providing increased returns and the desired level of safety. The more venturesome can earn substantial profits on riskier investments. Your choices offshore are considerably increased.

Offshore investing is simply investing from an offshore base as opposed to doing it from your own country. For instance, an American who purchases stock in a German company is investing internationally, but the same investor who purchases the same stock utilizing a Bahamian corporation with a Swiss bank and a London securities account that he or she controls is now an offshore investor. By incorporating a tax haven company you are creating a legal presence offshore for the purpose of investing and managing financial matters.

And what is an offshore base? It can be virtually any country other than your own. However, this step alone would not afford the investor maximum benefits. But rather, the ideal offshore base is a tax haven.

In order for the international or global investor to increase profits, protect assets from lawsuits, reduce taxes, circumvent unnecessary regulations, maximize safety, effectively manage investments, gain complete privacy, and capitalize on new opportunities the progressive investor must invest from offshore. It is not enough to invest globally or internationally without going offshore. As we shall see, offshore investing is the single most dramatic and lucrative step an investor can make to truly internationalize one's financial affairs. Finances and investments removed from the close reach of one's own government and others, instantly affords the investor more control.

At first the new investor to offshore investing may be uncomfortable with the idea of placing assets and investments in a foreign corporation and/or foreign bank account. However, with increased knowledge and experience, the investor will quickly realize that there is considerable safety and control, although being maintained and exercised at arms length.

Once the offshore base is established, you can avail yourself of opportunities that were previously nonexistent. Offshore there is a host of investment and banking services that do not or cannot be sold to Americans. By investing through your offshore corporation or offshore bank account you are legally bypassing some U.S. regulations that would otherwise have restricted you. There are a number of reasons why you as a U.S. citizen are not allowed to make certain foreign investments. Here are a few examples:

1. Foreign banks and companies do not wish to spend the time or money, or deal with U.S. bureaucracy in order to satisfy the SEC and other government agencies that would be required to enter the U.S. market.

2. Some foreign investments cannot satisfy the U.S. governmental requirements to solicit business in the United States. This is not to say they would not be a good investment.

3. The returns on many foreign investments, including bank accounts, are often substantially greater. If this was commonly known, fewer Americans would be content with drawing 3 percent interest on a U.S. savings account or the paltry returns from many other U.S. investments, and therefore would move their money out of the U.S. By investing from offshore you can invest in any company or bank anywhere in the world, including the United States, and decide for yourself which investments are to your advantage.

Offshore investing is the golden key to worldwide investing. It allows the savvy investor to truly diversify his or her investments on an international scale. Offshore investing is the ultimate approach for today's global investor.

American investors are becoming increasingly aware of the global economy and the idea of investing outside the United States. Many people are probably tongue in cheek about the advantages of such a nontraditional move, while still others have readily embraced the concept.

The world is changing rapidly and whether an individual is investing abroad for feelings of patriotism or not, the stark reality is that unless one's investment strategies reflect the trends, they will lose ground as their financial standing erodes from under them.

Every living thing has an obligation to itself to survive. Patriotism is fine as long as it is not blind trust and the price of membership is not outweighed by the redeeming value received by the individual citizen.

In the United States today, we are witnessing discontent with our political leaders and with government abuse. It is no wonder, while total taxes were rising presently to rates in excess of 40 percent and with extreme government waste. We are awestruck at the staggering national debt, and there is no end in sight. This debt will drastically increase annually because of accumulating interest alone. These are just a few reasons why millions of U.S. citizens who have moved abroad refuse to pay taxes to the IRS, "albeit legal."

Regardless of what our political leaders tell us, taxes are not going down. It is impossible to collect less, spend more, have increasing government expansion and waste, and think the national debt will mysteriously disappear. Based on our government's history of fiscal management, the pattern will not change. The U.S. is not the only government to have a mortgage on the economic opportunities of future generations, other countries to a lesser extent have done the same.

Change is constant. The individual has limited influence over the powers that exist and shape the course of history. But the individual does have the ability and resources at hand to substantially alter and improve his or her own life. It is a matter of making a determined effort regardless of how restrictive one's lifestyle and finances seem. Most people are capable of exerting more control over their destinies than they allow themselves. The insight, opportunities and resources presented on these pages should encourage readers to think and plan beyond their daily routine and stimulate them into making a devout commitment to molding their own future for increased prosperity.