In our previous post, we began speaking about the value of going offshore with one's financial and banking strategies, and with respect to asset protection. As we mentioned, there are a variety of reasons to consider going offshore, including protection from creditor claims, increased privacy, decreased taxation and increased access to world markets.
Asset protection is a valuable part of estate planning in which can enhance anybody's estate planning. But it is critical for those looking into asset protection to try to find strategies that will afford them real protection. Because of the uncertainty around certain asset protection strategies devised here in the states, it is worth it to look into the possibility of offshore asset protection.
In our previous post, we started looking at an article discussing the effectiveness of self-settled asset protection trusts. Generally speaking, asset protection trusts are trusts set up for the purpose of avoiding or mitigating the consequences of divorce, taxation and bankruptcy on the trust's beneficiary. A self-settled asset protection trust is one in which the beneficiary is the one who set up the trust.
A recent Forbes article took a look at the general effectiveness of asset protection trusts in light of a recent Alaska case in which a man who set up and funded an asset protection trust was unable to protect his assets from future creditors in bankruptcy.