By admin on
3/21/2008
A Goal and a Strategy
The first thing is to have a clear goal in mind and define your strategy accordingly.
The goal shall not be, realistically, “to get rich” as this will not happen to most of you, this is not a lottery game.
Instead, a realistic, yet ambitious goal is to beat the inflation by, say, 5% margin on average.
The more aggressive you are the more shares and exotic assets your portfolio shall contain and be ready for lots of volatility. That is why I said “on average”, ‘cause there will be years where you will be well below that and even lose money. Remember: there will always be periods of expansion (boom) followed by recession, on any market. This is part of another chapter in macroeconomy, just take it for granted.
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By admin on
3/21/2008
 Many countries encourage residents to become owners of their homes and lands by regulating, among others, tax-deductible interest payments from loans. The cost of the loan becomes therefore: C = P x I x (1 - T), where: C = Cost of the loan P = amount of loan (Principal) I = Interest rate T = Income Tax rate For example, if the yearly interest for a loan of 100,000 EUR is 5% while the income tax rate is 35%, the resulting cost would be: 100,000 * 0.05 * (1-0.35) = 3,750 EUR each year, instead of 5,000 EUR. Read More »
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By admin on
12/1/2007
 What is it?Investing offshore, as the name implies means taking your money outside the borders of your own country and investing it in overseas markets. BenefitsThe main reason for wanting to do this is to spread the risk of your investment over more than one economy.Besides, if you're living and working overseas, investing offshore may save you tax. All returns on offshore investments are currently paid without the deduction of tax.You may also be able to reduce your tax liability in your home country by transferring savings and investments to an offshore bank. In addition to the tax savings, offshore banking offers confidentiality, security and greater global access and convenience. Who can benefit from offshore investing?Anyone living and working overseas for at least one full tax year may be able...
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