Why Offshore Asset Protection is Good for Everyone

Sep 27, 16 Why Offshore Asset Protection is Good for Everyone

Due to the ever-changing and unstable nature of the economy – not to mention threats of lawsuits and identity theft – it is more important now than ever before to have an asset protection plan in place. In order to properly protect what is yours, you must plan for the future, before disaster strikes. If you have never before considered the benefits of offshore asset protection, or perhaps are unsure of how such offshore trusts work, it is important that you take your financial future into your own hands now, before it is too late.

why-offshore-asset-protection-is-good-for-everyone

What Assets Deserve Protection?

Before you consider the pros and cons of offshore asset protection, you must first understand what assets you have at your disposal. At its most basic, an asset is any type of economic resource, whether tangible or intangible, that can be owned or controlled to produce value. If the valuation of these economic resources is positive, it is an asset to you. Tangible assets have physical attributes and include such things as currency, real estate, vehicles, equipment, and jewelry. Intangible assets, in comparison, lack any kind of physical substance and include such things as copyrights, trademarks, and patents. Whether tangible or intangible, if your assets have a positive economic value, they deserve your protection.

What Does Asset Protection Involve?

Protecting your assets essentially means that you would like to put a plan into motion that will ultimately protect your wealth – in whatever form your assets exist, and whether they are tangible or intangible. Asset protection (http://www.investopedia.com/terms/a/asset-protection.asp) is not only a strategy used by businesses with a vast number of assets to guard; even individuals with only a few valuable assets in their possession can benefit greatly from protecting what is theirs. These asset protection techniques are designed to shield one’s assets, within the parameters of debtor-creditor law. This means that your assets will be guarded legally without you running the risk of being found guilty of concealment, tax evasion, bankruptcy fraud, or other such illegal practices.

How Offshore Asset Protection Works

One of the best methods of protecting your valuable assets is through setting up an offshore trust, also known as a foreign trust. By setting up an offshore trust, you are adding a barrier of protection between your most treasured assets and those who are attempting to lay claim to your wealth. When placing your assets into an offshore trust, the trustee involved in this transaction is a financial institution that does not exist within your country of origin. Choosing to protect your assets offshore also gives you the option to work within a jurisdiction that has lower taxes, as well as laws concerning the protection of wealth, which will be of great benefit to you.

Why Offshore Asset Protection is Good

Asset protection helps you preserve your wealth, not only for yourself, but also for your children and other descendants. Taking that protection offshore adds yet another layer of security, as some foreign institutions will offer better asset protection than the entities currently operating within the United States. By placing your assets offshore, they are beyond the reach of U.S. jurisdiction, meaning that U.S. creditors will have an extremely difficult time attempting to get to your assets. By taking a stand to protect what is rightfully yours before disaster strikes, you not only keep what you already have in your possession, but you also can avoid having a potential creditor collect against your future earnings and assets. You do not have to be wealthy to possess the desire to keep your wealth in your control. Asset protection planning offers you peace of mind in knowing that, in the event of future tragedy, your most valuable assets remain safe.

Try as you might, you cannot control the financial environment around you. The economy may unexpectedly crash, someone may attempt to steal your identity, or you may be dragged into a messy lawsuit. For all of these reasons and more, it is imperative that you do not wait for disaster to strike. You can take control of your own financial future now by trusting in offshore asset protection and ensuring that your wealth is not jeopardized by the surrounding economical climate. The best thing that you can do to secure your future and protect that which is already yours is to move your most valuable assets offshore.