Global Financial Citizenship
Global financial citizenship is the notion that one's identity and wealth transcend geographical or political borders. It doesn’t mean that you denounce or waive your South African roots, but rather that your footprint extends beyond the country’s borders to globalise your finances.
In todays complicated world the quest to achieve financial freedom is a pipe dream for many, but it doesn’t have to be. As they say, every journey starts with a single footstep and in financial terms that first step can be as simple as opening an offshore bank account, which is quite a straightforward process.
An offshore account may serve as the initial home for funds that you convert from Rand into any major currency and just like you can in South Africa, you’ll be able to manage your finances online. You can also link an international debit card facility and designate a specific currency to ensure you have access to funds wherever you find yourself in the world.
Beyond the basic bank account there are countless offshore investment options which, when combined with your investments here in South Africa, create the opportunity to build a healthy, balanced portfolio in line with holistic wealth creation, growth and protection objectives.
When you consider that South Africa accounts for less than 1% of the global economy it’s easy to see why it’s so important to diversify your portfolio. The risk associated with investing in a single country reduces significantly when you extend your financial footprint to include exposure across some of the bigger and more established economies. This is further underlined by the volatility of economies and currencies of emerging markets, such as South Africa.
When we talk global citizenship, it doesn’t just have to be your finances, it can also be you!
In a world that is increasingly more accessible many of us can now do what wasn’t nearly as simple a few years ago, and venture beyond South African borders. Maybe it’s a full-blown emigration to a new home, an overseas employment contract, setting up an offshore entrepreneurial venture, country hopping for work reasons or perhaps a relaxed retirement spent between different countries, but whichever it is, having that global financial footprint makes it eminently more achievable.
It’s important to remember that becoming a global financial citizen is not just about you. Establishing a broad-based international portfolio provides security for your children, your grandchildren and on through the generations that succeed you. Put quite simply, it’s smart planning on your part, for their future.
Spreading your wings, considering various avenues to achieve your goals, while also planning and timing your actions for maximum impact is an exciting but often daunting journey. Why not get in touch with FX Rand to share your thoughts and dreams and let us help you craft a successful journey on your way to global financial citizenship.