Asian Offshore Banking

A Lesson About Offshore Banking

As with most things, your knowledge about Offshore Banking is what you hear about, not what you actually learn in practice.

Most of the investors who create offshore bank accounts do so for privacy and reduced regulation and lower taxes or to protect their assets from lawsuits or from local political or financial instability in their home country.

An offshore bank is typically a bank located outside the home country of the depositor. Offshore bank accounts are usually located in a low tax jurisdiction providing privacy, legal and financial advantages to the depositor.

The simplest way for a non-Singapore resident to open an offshore bank account in Singapore is to use one of the banks in Singapore that has offices in your home country. If you are from the United States for example you might consider opening your offshore bank account through Citibank. The drawback to using any US or European based bank is the loss of the privacy that many considering offshore bank accounts are seeking.

US citizens considering opening an offshore account should be aware of and seek professional advice on the impact of the recently enacted HIRE Act. Set to become effective in 2012, the HIRE Act requires all foreign financial institutions (ffi’s) to report information about US accountholders and in many cases withhold 30% of accountholder’s US generated income including US source dividends, interest, salaries, rent, annuities or other fixed or determinable annual or periodic gains, profits, or income and 30% of the gross receipts from the sale of property that could produce US source interest or dividends, regardless of cost basis.

If privacy is not a primary concern, you can open an offshore account in Singapore through one of the US or European banks with offices in Singapore simply by contacting a local branch near you and having the local bank certify the necessary documents to the Singapore office.

The simplest way for a non-Singapore resident to open an offshore bank account in Singapore is to use one of the banks in Singapore that has offices in your home country. If you are from the United States for example you might consider opening your offshore bank account through Citibank. The drawback to using any US or European based bank is the loss of the privacy that many considering offshore bank accounts are seeking. Citibank or any other US or European bank will likely require the investor to provide a social security or other national identification number and sign a waiver of the Singapore privacy laws.

Singapore is one of the most desirable private banking jurisdictions in the world. Singapore’s stable and sophisticated business environment and the fact that business is conducted in English language makes offshore banking in Singapore easier than in many other locales.

To take advantage of Singapore’s strong privacy protections it is best to establish your offshore bank account with one of the asian or local banks. To do this you may have to visit Singapore or if your investment is significant you may be able to arrange for the bank to send staff to your home country to open your account or you may be able to create a legal representative for your account who will be able to manage an account and open on your behalf.

The biggest obstacle to opening an offshore bank account in Singapore has been the requirement that you physically be in Singapore or be a current customer of the bank to open an offshore account there. Today opening an offshore account in Singapore is becoming less complicated.

What Do You Know About Investing?

What Do You REALLY Know About Investing?

Most people think they know about investing, but most of what they think they know is misinformation spread around, and is not REALLY true.

Stocks
The most popular of all investing opportunities, are stocks. You can make a lot of money investing in stocks, which means you can also lose a lot of money. You want to keep in mind that most investments in stocks are long term investments.

By making each individual dollar work for you, this in return makes you wealthy over time. There are a plethora of investing opportunities out there.

Investing Tips

1.) Have the Right Expectations
When you are investing in stocks, you want to make sure you aren’t expecting to become Warren Buffet over night. You want to make sure you do the proper amount of research, and make sure you know the history of the market as well as the company you are investing in. Make sure you know how long you are keeping an investment, and then make a commitment.

2.) Don’t Listen to the Media
It will take your decision from being based on research and history, to just “hear-say”. This will hurt your investments immensely.

3.) Stay Focused
You want to make sure you are putting all your effort and focus into your investments. Make sure you treat it the way it is and make sure you do the proper research of all aspects of what you’re investing in.

Mutual Funds
You are pooling your money with a number of other investors when you invest in Mutual Funds. You then pay someone to professionally manage and choose each individual security for you. There are a variety of different mutual funds you can choose to invest in, which range to fit your investment strategy.
3 Types of Mutual Funds
1.) Open-Ended
2.) Unit Investment Trust
3.) Close-Ended

Mutual Fund Investing Tips

1.) Look at the Fees
Always look at the fees involved when investing in Mutual Funds. Makes sure you find the best deal, but make sure you are investing the right amount of money in the right places.

2.) Research the History
One thing you can do to prepare an investment is to check out the history of the Mutual Fund. If it’s doing good, and there is a community of people investing in it, it can tell you if its a smart idea to invest yourself. Always check the history of any investment before you decide to purchase.

3.) Look at the Contract
You want to make sure you don’t just know bits and pieces of what’s involved, but everything there is to know, and then some. Make sure you know all the fees involved with buying and selling funds, and if there are international fees required.

Alternative Investments
Apart from the basic investments, there are other special securities. These investments include gold/silver, real estate, etc. These investments are speculative and can be very high profit, however; you need to have the knowledge.

Bank Investments
Bank accounts are one of the simplest form of investment. This percentage barely beats the rise of inflation, so unless you are keeping hundreds of thousands of dollars in the bank, you won’t be creating any wealth from this form of investment. Another way to invest in your bank is a CD, or Certificate of Deposit.

1.) Gold & Silver
The first thing you want to do before you invest in gold or silver, is to look at the market and decide if now is the best time to invest in precious metals. You want to make sure you are familiar with the variety of ways to invest in silver. You can invest in silver mining companies, silver ETF’s, silver futures, silver bullion, and also silver coins.

You want to make sure you do the proper amount of research, and make sure you know the history of the market as well as the company you are investing in. Make sure you treat it the way it is and make sure you do the proper research of all aspects of what you’re investing in. Makes sure you find the best deal, but make sure you are investing the right amount of money in the right places. If it’s doing good, and there is a community of people investing in it, it can tell you if its a smart idea to invest yourself. The first thing you want to do before you invest in gold or silver, is to look at the market and decide if now is the best time to invest in precious metals.