You might not have realized this simple fact. If you reside in a country such as United States or United Kingdom, the majority of the most appealing investments are off-limits due to regulatory prerequisites.
We are not referring to dodgy “high-yield money market accounts” in this article. We are discussing about mutual funds operated through the financial investment banking divisions of reputable British or American banking institutions, or smaller-sized specialized niche funds that make it possible for smaller investors to get involved in successful investments like Warren Buffet’s Berkshire Hathaway.
Sophisticated regulatory acceptance processes and complying with laws like Sarbanes-Oxley make it unattractive for a lot of international companies to do business with US residents and British people. International banking companies coping with US citizens will have to either sign up for certified intermediary status with the US authorities which implies co-operating on information and personal details exchange, or their customers must endure punitive withholding taxes.
There’s already plenty of money currently floating around the offshore world, and it’s much easier for a lot of banking companies to simply attribute their finest investments for classy offshore clients, while getting ready other low-interest funds for their domestic and national markets.
The very good news is that even nowadays, it is quite easy to change the country of origin of your funds. How can you do it? Simply by using an offshore corporation or trust. This will make your funds let’s say Singaporean, then any international or local bank will accept your funds without regulatory issues.