September 7, 2018
| On 11 months ago

Financial Diversification for South Africans

At Plan b we are looking into the future by understanding the past.

At Plan b we are looking into the future by understanding the past. And the message we are getting from our research is clear, diversification.

The idea is simple, It is clear that the situation here in South Africa is worsening and we will all face some hard choices. How well you handle the future depends on how well you planned today and we would like to help you with that plan.

PlanB is the place where you can learn about countries like Panama and how to be able to migrate your money into a safe haven while you work on your emigration plan. How to achieve permanent residency, citizenship and a second passport so that no matter what you would be protected.

Having all your money tied into one market poses a significant risk; you become sensitive to any changes in that market. Even if you have offshore investments, if you don’t have an offshore bank account, no matter what your money will always be brought back into Rands and that Rand is tied directly into this government.

Diversification is having your money secured in a minimum of two markets, trading two currencies concurrently. That way you can leverage against these markets, playing the ups and downs against each other and it poses a significantly lower risk profile than just being invested into 1 currency.

This is because it is highly unlikely that both markets would crash simultaneously, however should that happen, you still better your chances of a quicker recovery as invariably one of the markets will bounce faster than the other.

The key is also not to just throw your hard-earned capital into any currency and market but rather to be strategic, choosing the market and currency that offers growth and of course, protection of your money.

But also, a market that brings about significant additional benefits over and above just securing your nest egg.

As a South African you can move a million rand a year offshore and if this is done into a Panamanian bank account you will pay no tax at all. This is because all foreign income into Panama is tax free.

This is just one of the financial benefits of Panama

Tags Finance