Bean Capital Limited

What are the advantages of offshore investments?

Improved returns

As a rule of thumb, investing both locally and internationally offers better returns in the long-term than storing a lump sum in a savings account. This is absolutely the case currently due to the low-interest rates we are seeing globally. When you choose to invest, you have to consider that your capital is at risk and you may be impacted by dips in the market as well as peaks. As a result, investing is mainly better for long-term plans where there is time for your capital to recover from any dips in the market. It is our responsibility to ensure you always understand the risks involved and we are charged with mitigating these risks by virtue of our investment selection process and applying strategies that fit your specific investment goals.

Tax Efficiency of Offshore Investments

One of the main benefits of offshore investment is that your invested capital may not be subject to the same requirements for taxation as it would be if you invested it in your home jurisdiction. Bean Capital will also advise you on ways to pay substantially less tax so that you may enjoy even greater returns on your investment. How your investment will be taxed is dependent on many factors, including where the money is invested and how much profit you have generated.
Our professional advisers will be able to discuss the tax implications for your investments and personal circumstances when the time arises.

Diversification and risk management

Diversification of your portfolio is another major benefit to investing overseas. This is because offshore financial vehicles typically allow you access to a much wider range of investment opportunities. Working with your dedicated Bean Capital advisor, you can establish where to invest your capital and distribute it across different financial products as deemed suitable to your strategy. Not only does this allow you to invest in areas that you have a particular interest in, but it also minimizes the risk of your investments by allowing you to spread your money across several sectors, industries and/or countries. This means that should one particular sector or market experience volatility, you have other investments in other areas that haven’t experienced the same event.