Offshore High Yield Investments

The next question you will want to ask yourself is how much of your money you’re likely to want to access at short notice. If you’re expecting to buy a house, raise a family or pay for your children’s education in the next few years you’ll need to make appropriate arrangements for getting at a reasonably large sum quickly. Of course, you’ll always be able to borrow against your portfolio if the worst comes to the worst, but it’ll probably make more sense for you to ensure that anything up to a quarter of your investment is in short-term bank deposits of some sort. Reckon on more if you’re retired.

Finally, of course, you’ll need to decide what sorts of investments should make up the non-cash part of your portfolio. Unless you’re willing to take a gamble on very high-yielding offshore cash deposits (which may carry attendant risks), you’re likely to find that bank rates are too low to give you a decent standard of living over the longer term.

Offshore High Yield Investments - In Fact

In fact, you may need to face the fact that there’s really not much alternative to shares and bonds, when all’s said and done - but stock markets are still in a potentially lethal condition as long as New York remains so badly overvalued, so you might find that your adviser steers you temporarily toward bonds in the hope of a short-term gain while you’re waiting for the equity markets to sort themselves out.

OK, we’ll stop whingeing now about all the dangers that Wall Street currently represents to your new-found wealth and your future wellbeing, and we’ll assume (a) that you’ve already weathered the coming storm or (b) that you don’t think it’s coming at all. What sort of stocks do you buy? As you’d probably expect, your choices ought to be tailored to your personal circumstances.

Offshore High Yield Investments - Feeling Confident

If you’re entering your late fifties or even your sixties, then you really shouldn’t tackle high-risk stocks, and you’d be better advised to weight your portfolio heavily toward medium-risk companies or blue chips for a quieter life and better sleep at night. But don’t simply take it on trust that the blue chips of the last decade will necessarily be the right ones to pick for the next century.

Offshore High Yield Investments - Old Industries

Now let’s try and work out which stock markets you ought to be favouring with your new-found largesse. Just because so many people are expecting a drastic correction on Wall Street, it doesn’t necessarily mean other countries’ stock markets will catch the full shock waves. Think about how the 1987 American crash didn’t touch Japan, and how the 1990 Japan crash didn’t touch America, and you’re halfway to understanding that sometimes these things can be contained. It all depends on the circumstances.