Is an Asset Protection Trust a Good Idea?

If you have assets, you need to protect them. They can be at risk of everything, from government wealth confiscation to taxes. Why not take a cue from multi-billion dollar corporations and the affluent and set up a foreign trust? A properly designed asset protection trust can provide an extra layer of protection for your wealth, safeguarding it from anyone who may be trying to seize it.
There are several parties in a traditional asset protection trust: the settlor the creator of the trust, the trustee (whoever you entrust your wealth to), and the beneficiaries (the people you will leave your wealth to, such as your children). It is possible to make yourself the beneficiary, depending on the jurisdiction. The setup remains the same in an asset protection trust in an offshore location, except that the trustee will always be the financial institution of the chosen foreign country or bank within it. There are two main benefits to an offshore asset protection trust:

1. Tax benefits – You can enjoy reduced or even zero taxes depending on the jurisdiction of the country you will set your asset protection trust. You may also be entitled to other tax benefits depending on the financial institution you will set as your trustee, the beneficiaries, and who will establish the trust.
2. Protection – Western countries are becoming more and more litigious. Governments are invading their citizens’ financial privacies, especially when it comes to personal wealth. Local banks are also being targeted by criminals who use sophisticated technology to steal from the wealthy. Set up that extra layer of protection by applying for an offshore asset protection trust.

The process of setting up an offshore trust can be quite overwhelming especially if you have minimal knowledge on this subject, so it is best to contact a reliable and trusted offshore advisor.

Benefits of Having a Seychelles Bank Account

Setting up a bank account in another country is common practice among the affluent. If you have money that you want to keep and protected, consider opening an offshore bank account. Seychelles is a newcomer to the world of the offshore banking industry, which is why it is a good place to open an account and enjoy the following benefits:

• Anonymity –You are guaranteed complete privacy and confidentiality when you open a bank account in Seychelles.
• Hassle-free – You don’t necessarily have to go to Seychelles yourself just to start an account. It is possible to pay for bank introduction services. To find out if you qualify for a bank introduction instead of an in-person bank account opening, contact a Seychelles financial advisor. Qualifications will depend on the bank account you will open (whether it is personal or for a company), your business profile, personal background, and of course, financial standing.
• Lower minimum of initial deposit – At Seychelles, there are banks that require only US$50,000. Other offshore countries such as Hong Kong have a minimum initial deposit range of $1 million to $5 million US dollars.
• Online banking – Thanks to the sophisticated communications infrastructure in Seychelles, it is easy to get in touch with banks. In fact, there are banks that have advanced and modern online banking systems. This allows you to make transactions with your Seychelles bank account from anywhere in the world.

It is advisable to open a Seychelles bank account if you have a wealth that you want to protect or if you are planning to open an offshore company in the near future. The best thing to do is to enlist the help of a professional financial advisor—someone who can explain the requirements of Seychelles Banks and the local financial and banking laws that might affect you.