Article by:
Morne Husselmann, FXPH E-Forex Specialist
20 February 2020: The offshore investment process is often seen as unwieldy and complicated, but this assumption is far from true.
Offshore investing is, at its core, a practical way to achieve diversification in your investment portfolio. “Diversification, in turn, is a big word for a relatively simple concept: Spread your wealth and your hard-earned resources between different investment options. Or, don’t put all your eggs in one basket. At its core, this notion assumes that various asset classes – like cash, property or stocks – vary in nature and will behave and perform differently over a period. So, when one is on a high, another might be going through the doldrums. But, together, they’ll even each other out. This reduces your risk,” explains Morne Husselmann, FXPH E-Forex Specialist.
It is no longer sufficient to diversify among different asset classes, especially if they are all based in the same country and are subject to the same economic, political and social pressures. “Today’s investor is a mobile global citizen who is unrestricted by borders and boundaries, and wired consistently in to a world of potential opportunities,” says Husselmann.Customers with different needs have vested interests in various offshore investing opportunities. These days investing offshore is no longer the preserve of the super-rich, stresses Husselmann. “Global citizens come in all shapes and forms, from the young professional saving for his first overseas holiday, to a corporate executive establishing an offshore account to cover tuition fees should her children wish to attend university abroad, to an experienced trader looking for access to the global exchanges, to a wealthy family using existing allowances to accumulate significant value offshore and structure it appropriately. “
Structuring advice is particularly important when you are looking to invest offshore, explains Husslemann, and is another requirement of the global investor. As the world gets smaller and investment options burgeon, it’s vital to have a local bank with an offshore footprint, and right product on hand to highlight the options on the table and enable offshore investing with ease.
“Being a global citizen is no longer a question, but it is a different journey for each one of us. The uncertainty in local and international markets, and the volatility brought about by issues such as trade wars, political shifts and economic trends like globalisation and generational shifts, are prime reasons why Namibian investors are looking to spread their risk by investing offshore”.
“FNB Forex makes it easy and convenient to send money abroad. With Global Payments you can make international payments at anytime and anywhere via Online Banking. FNB offers Competitive rates and fees; secure payments to anywhere in the world, and your payment confirmation is emailed to you. Global Payments is the ideal solution for the first-time investor as well as those who are more familiar with the topic. Not only is FNB Global Payments ideal for offshore investment but can be used to purchase gifts from overseas, import goods, pay for your travel arrangements and hotel abroad, pay for your children’s overseas tuition, or to send money to your family back home, as well. Choose FNB Forex to easily and conveniently send money abroad. For more information contact 061 299 2222 or speak to your Relationship Manager”, concluded Husselmann.
For more information, please contact Elzita Beukes, Communications Manager at FirstRand Namibia Limited on telephone: (+264 61) 299 2125, 081 143 6599 or elzita.beukes@fnbnamibia.com.na
