As you prepare for retirement, there are several key objectives you might have in mind. First, a priority for most retirees is securing enough in the way of assets so that you can enjoy your retirement to the fullest, and in the lifestyle you’re accustomed to, without going into debt.
Second, you may want to be free from financial worry and threats like inflation or stock market crashes. Third, you may want to set up a fund, a trust or some kind of safety net to care for your loved ones after you’ve stopped bringing in an income.
To achieve these goals as well as many others, international investing may be key.
Enjoy Geographic Diversity
As you prepare for retirement, a major goal should always be protecting and preserving your assets. To mitigate risk, diversification is integral. Along with spreading your net worth across several different types of investments, it is important to look beyond your borders and diversify geographically.
Not only will this better protect your assets, but it could help prevent portfolio erosion by potentially limiting your taxable income. In some jurisdictions, such as Belize, capital gains taxes won’t apply to foreign investors, saving you from parting with your hard-earned profits.
Hedge Through a Fund
No savvy investor would recommend that you place all of your eggs into a single basket, but managing a global collection of stocks, bonds and foreign currencies can be a full-time job. If you want the benefits of hedging your bets with a wide variety of investments as you prepare for retirement, then a fund could be a smart move.
A hedge fund or a managed mutual fund lets a professional take the reigns, and you can buy in as desired and enjoy a range of investments across multiple industries for a safer investment.
Try Long-Term Value With Precious Metals
If you are most interested in investments with a true history of value, there are few options more secure than gold. Precious metals like gold have been valued for centuries, and their relative scarcity means supply and demand will always be in your favor.
This could be a particularly smart option if you are risk averse and you want an investment that can benefit your dependents years from now.
Look Abroad to International Real Estate
Another fantastic option for those who are ready to tackle international investing leading up to retirement is offshore real estate. There are plenty of great reasons for taking the plunge into the international real estate market.
First, there are plenty of untapped markets, like Belize, where property is still very affordable and likely to increase rapidly in value over time. In addition, buying international real estate now can set you up for the retirement of your dreams.
Consider buying a residential property now, let the equity build, bring in an income by using it as a vacation rental and then move into the home when you’re ready to retire.
Protecting and growing your assets to prepare for retirement can feel overwhelming, but the right selection of offshore investments can help you be financially secure for the next stage of your life.