Why high net-worth individuals turn to offshore private banking

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One of the most in-demand offshore financial services today, especially for high net-worth individuals, is offshore private banking. While this service shares almost the same basic offerings with traditional banks, there are defining characteristics and personalized options that make it attractive, especially to the uber-wealthy.

In definition, offshore private banking offers not just banking services but also investment services and financial advice to private clients. Client accounts are not just for individuals, but they can also represent even a group. Because these clients own extremely large assets, the need for a banking manager’s expertise as well as the confidentiality that goes with it is of utmost importance.

Basically, a business manager guides and assists clients in making financial decisions for their assets under a personalized financial strategy. Furthermore, these experts manage their client’s wealth in an offshore environment, in full confidentiality.

Most importantly, what makes this type of banking stand out is their focus on financial strategies specially tailored to their client’s specific short term and long term financial goals.

There are several offshore financial centers that offer these services like financial centers around the Caribbean region such as the Bahamas, Cayman Islands, Bermuda (where award-winning company LOM Financial is headquartered), and even cities in Asia like Hong Kong. European countries such as Switzerland are also popular choices for offshore private banking services, especially for international clients.

Opening an offshore private banking account is easy as long as the value of your assets qualifies the requirements set by private banking services. Depending on your wealth, you’ll enjoy services such as personalized financial plans, your own account manager, and even the options to negotiate rates, commissions, and more.

What billionaires do in their free time will surprise you

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Almost everyone knows the success stories of some of the world’s wealthiest individuals but have you ever wondered how their life is like beyond what you see or read about online?

Not surprisingly, just like ordinary folks, high net-worth individuals (HNWIs) also need some time to escape from the everyday routine and pursue their passion outside work – but unlike normal people, they do it on a grander scale.

According to a recent Wealth-X study focusing on ultra-high net worth (UHNW) individuals, these are the top three passions and interests of the planet’s richest people:

  1. Art

Most billionaires possess an exquisite work of art and collecting the world’s rarest visual and artistic creations has been one of the top passions of many ultra-rich people. Some of them invest in thousand to million-dollar worth of art works not just as a way to diversify their portfolio but to simply have the full right to claim ownership to a beautiful masterpiece.

  1. Sports

Just like ordinary individuals, the ultra-rich love sports and they would invest not only their money but also their time just to support their favorite teams. In fact, their passion for the games also make them want to play it themselves. Some examples of popular sports among the wealthy are yachting, football (soccer), golf, tennis, and skiing.

  1. Philanthropy

Topping the list of the most popular hobbies of the uber-wealthy is philanthropy. According to the same study, more than a third of the world’s richest support and organize charitable activities. Many high net-worth individuals have been known to provide generous funding for humanitarian causes, child education, medical research, and even scholarship grants through several foundations. Examples of famous philanthropists are Bill and Melinda Gates, Warren Buffett, Carlos Slim Helú, and Li Ka-shing.