Escape Artist
  • Features
    • Interviews
    • News
    • Field Notes
    • Trending
  • Your Escape Plan
    • Finance
    • Real Estate
    • Second Citizenship
    • Digital Nomadism
  • Destinations
    • Europe
      • Spain
      • Portugal
      • Italy
      • France
      • UK
      • Rest of Europe
    • Central America
      • Panama
      • Costa Rica
      • Nicaragua
      • Honduras
      • Belize
      • El Salvador
      • Guatemala
    • Others
      • North America
      • South America
      • Australia
      • Africa
      • Asia
  • Travel Tips
    • Know Before You Go
    • Packing List
    • Food + Culture
    • Health + Wellness
  • Subscribe
Escape Artist
  • Features
    • Interviews
    • News
    • Field Notes
    • Trending
  • Your Escape Plan
    • Finance
    • Real Estate
    • Second Citizenship
    • Digital Nomadism
  • Destinations
    • Europe
      • Spain
      • Portugal
      • Italy
      • France
      • UK
      • Rest of Europe
    • Central America
      • Panama
      • Costa Rica
      • Nicaragua
      • Honduras
      • Belize
      • El Salvador
      • Guatemala
    • Others
      • North America
      • South America
      • Australia
      • Africa
      • Asia
  • Travel Tips
    • Know Before You Go
    • Packing List
    • Food + Culture
    • Health + Wellness
  • Subscribe
👤

LIFE WITHOUT BOUNDARIES

THE NUMBER ONE SOURCE FOR EXPATS, DIGITAL NOMADS, AND DREAMERS.

  • Finance

Myth vs. Fact: Media Misconceptions About Offshore Investing

  • February 9, 2014
  • BY mhollen
Total
0
Shares
0
0
0

Despite the fact that most people have no idea about the benefits of investing offshore, almost all of them have heard horror stories and are swept by a constant stream of negativity regarding this topic. There are many good reasons for that, and what I shall do now is discuss a few myths regarding offshore investments. One thing to understand is, most of what you have probably heard about investing offshore is just plain false.

So let’s tackle this issue with an open mind and see what is really going on.

MYTH: People who invest offshore are looking to evade taxes.

FACT: The vast majority of individuals who invest offshore include expatriates who already live in high-tax areas such as the European Union, North America, and Japan, and pay their taxes responsibly. When they invest offshore, they are seeking higher returns, without any intention of evading taxes. Some people who invest offshore already live in low-tax areas, or are non-resident for work-related reasons, and are just looking to earn high returns. A desire to improve one’s life through investing responsibly and successfully is the main reason people invest offshore, and not because they want to evade taxes.

MYTH: Only criminals, drug lords, and terrorists put their money offshore.

FACT: Again, the vast majority of people investing offshore are people like you and I. They only wish for higher returns, more privacy, and a reasonable alternative to the high taxation that exists in their country of residence, by investing in a legal and responsible manner. The real reason such devastating myths are spread is because the banks and tax authorities want to keep your money in their institutions, for their own financial gain. Banks want you to keep your money domestically, since it helps eliminate competition. The tax authorities want you to keep your money in the country, since they make money off the interest you earn every year.

MYTH: If I already have money invested in my country of residence, there’s no need to go offshore.

FACT: Practicing financial diversity is crucial. Having access to top offshore funds, superb asset protection, potentially high returns, tax efficiency, and flexibility are only a few of the reasons why it makes sense to invest off- shore.

MYTH: Offshore banks and financial companies cannot be trusted.

FACT: Most of the largest banks and financial institutions in the world are located offshore, and many have received the highest ratings from independent rating agencies such as Standard & Poor’s and Moody’s.

MYTH: Americans can never enjoy the benefits of investing offshore.

FACT: While it is true that Americans are taxed on worldwide income, and that major low-tax districts are being pressured into sharing information with the U.S. authorities, the fact remains that investing offshore is still a hugely beneficial option for Americans.

Depending on where you live, as an American, you too can have access to tax-efficient funds offshore. The high returns, flexibility, diversification of investment options, and high privacy make investing offshore very appealing even to Americans.

MYTH: Investing offshore is only for the extremely wealthy. I have heard that I would need hundreds of thousands of dollars just to begin investing in an offshore financial center.

FACT: While it is true that many offshore investments do require high initial investments, the opposite is also true. There are investments out there that let you start saving for as little as $150 per month. This is an amount that anyone can comfortably put away, so it makes no sense to put off saving!

There are many other myths out there, perpetuated by the media and even family and friends, but the main point to consider is this: People just like you are investing offshore and reaping the benefits of their decision. Why shouldn’t you also?

I hope you enjoyed:Myth vs. Fact: Media Misconceptions About Offshore Investing; Excerpted and adapted from the ebook “An Expat’s Guide to Investing Offshore” by Arin Vahanian.

Here are a few articles I’m pretty sure you will love:

The Ultimate Guide To Going Offshore

5 Reasons To Use Offshore Banking

How to Invest Offshore Retained Earnings in the United States

Total
0
Shares
Share 0
Tweet 0
Pin it 0
Related Topics
  • Asset Protection
  • investing offshore
  • Portfolio Diversification
  • taxes
Previous Article
  • Your Escape Plan

5 Ways Vacation Improves Kids Health

  • November 9, 2013
  • BY EA Editors
View Post
Next Article
  • Food + Culture

Typical Food In Paraguay

  • September 11, 2014
  • BY EA Editors
View Post
You May Also Like
best place to retire
View Post
  • Plan B
Retiring Abroad: Where Can You Actually Afford to Live?
  • BY EA Editorial Staff
  • June 18, 2025
Not all retirements are created equal—especially when taxes are involved.
View Post
  • Plan B
How to Retire Tax-Free Abroad
  • BY EA Editorial Staff
  • April 23, 2025
Investors diversify globally to protect their future.
View Post
  • Plan B
Why Every Investor Needs a Plan B Abroad
  • BY EA Editorial Staff
  • April 3, 2025
Tallinn, Estonia is Europe’s digital gateway for borderless business.
View Post
  • Plan B
The Best Countries for Financial Freedom
  • BY EA Editorial Staff
  • April 1, 2025
Saint Kitts and Nevis offers citizenship through investment. Photo courtesy of iStock/pics721
View Post
  • Finance
How to Build Wealth While Living Overseas
  • BY EA Editorial Staff
  • March 25, 2025
Family Foundation
View Post
  • Finance
15 Proven Global Strategies to Protect Your Wealth
  • BY Joel Nagel
  • March 25, 2025
A new life abroad offers fresh opportunities.
View Post
  • Digital Nomadism
Why Living Abroad Works
  • BY EA Editorial Staff
  • March 19, 2025
The world is more connected than ever, but taxation remains complicated. Credit: iStock.
View Post
  • Digital Nomadism
How to Avoid Double Taxation
  • BY EA Editorial Staff
  • March 12, 2025
Trending Posts
  • best place to retire 1
    • Plan B
    Retiring Abroad: Where Can You Actually Afford to Live?
    • June 18, 2025
  • The True Cost of Leaving America 2
    • Interviews
    The True Cost of Leaving America
    • June 25, 2025
  • Happiest City in Australia, Adelaide’s skyline peeks through the Park Lands 3
    • Field Notes
    How Adelaide Climbed the Happy City Index
    • June 15, 2025
  • 4
    • Africa
    The New Africa Travel List for 2025
    • June 20, 2025
  • Living in Zurich Switzerland 5
    • Field Notes
    Zurich’s Formula for Happiness
    • June 22, 2025
Subscribe
Know Before You Go
  • The True Cost of Leaving America 1
    • Interviews
    The True Cost of Leaving America
    • June 25, 2025
  • 2
    • Africa
    The New Africa Travel List for 2025
    • June 20, 2025
  • Rolling emerald fields and soft skies in County Kerry. 3
    • Ireland
    Top 10 Things to Know If You’re Moving to Ireland
    • June 13, 2025
  • A new generation claims space through movement. 4
    • Africa
    How Ethiopia’s Girls Are Rewriting the Rules on Wheels
    • May 30, 2025
  • Residency programs worldwide are undergoing rapid transformation. 5
    • Second Citizenship
    Beyond the Golden Visa – The Future of Residency
    • May 7, 2025
Learn More
  • About Us
  • Contact Us
  • Subscribe
Why Subscribe

The newly imagined Escape Artist brings you fresh content with a global focus, and sharp, up-to-the-minute coverage of the joys, challenges, and opportunities of life abroad.

For a limited time, we’re offering a special discount on all subscription deals, so be sure to lock-in these incredible savings and start receiving top-notch travel and expat content today!

Sign up for the EA Newsletter

Get important news delivered directly to your inbox and stay connected!

This field is for validation purposes and should be left unchanged.
Escape Artist
  • Terms & Conditions
  • Privacy Policy
  • Cookies Policy
  • Disclaimer

Input your search keywords and press Enter.

Newsletter Subscription
Our Spring Sale Has Started

You can see how this popup was set up in our step-by-step guide: https://wppopupmaker.com/guides/auto-opening-announcement-popups/