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Wise investors usually infuse money into bearer investments. They convert their titled properties, such as real estate holdings, and registered bonds, stocks and other securities into gold, platinum, silver, precious stones, jewelry, numismatic coins, vintage watches, old stamps, paintings and sculptures by masters, baseball and basketball cards and other worthwhile collectibles. These so-called “bearer investments” are easily transportable and convertible into cash if the market conditions are ripe. The asset protection value of these investments lies in privacy and confidentiality. Ownership is difficult to ascertain and trace, as long as these items are bought through a third party or a legal entity, such as a corporation, limited partnership or offshore trust. The disadvantages of bearer goods are a cause for concern. Being small movables, they are easily misplaced or lost and buyers are often hard to find. Their values are gained or lost drastically. You must study the market fluctuations and trends very well; otherwise you may lose a considerable sum of money.

Insuring these items is risky because the ownership of these goods can be traced. However, if a corporation, limited partnership or trust is the insured party, then you may remedy the ownership tracing problem. Goldstein recommends that your best bet is to have gold bullion or coins stored in an offshore deposit box registered in an offshore corporation. Other good investments include warehouse certifIcates for precious metals stored in Swiss or Austrian banks. You could always demand delivery of your precious metals as the certificate holder when the right time comes. You would need professional advice on how to select the proper investments to avoid losing a bundle of cash.

Some businessmen have placed so-called “playfellow mortgagees” against their enterprises as asset insulation against claims and liens. Other strategies employed by asset protection practitioners is to let the corporation owned or controlled by the businessman also mortgage his personal assets. For example, the corporation you control may shield your personal properties if you owe money to your business. Your business entity will the mortgagee to some or all your personal assets including your home, motor vehicles, and valuable properties. A few debtors encumber their assets to close friends and associates, subject to the prevailing fraudulent conveyance rules. If they owe these friends some money, the debtors turn these preferred creditors into mortgagees and they hold a mortgage on the collateral to secure the credit obligations. This could be a risk-laden strategy if other creditors may show the existence of fraud and ask a court to set aside the transaction. This practice is dangerous and is not recommended by asset protection experts. Criminal liability may arise if it is shown that the debtor has a specific intent to commit a fraud or to abscond with his property to the prejudice of his creditors.

Many investors shift from peso to foreign currency deposits not so much as a hedge against drastic fluctuations of the peso’s value but because the law exempts foreign currency deposits from attachment, garnishment or any other order or process of any court, legislative body, government agency or any administrative body, Foreign currency deposits are exempt .assets. Peso deposits and investments in government bonds are not. Unlike foreign currency deposits, they can be attached or garnished to satisfy a final judgment and there are more ways to break the secrecy of these bank deposits than foreign currency deposits. As such, peso deposits and investments in government bonds are more vulnerable to predators . This is a patent form of reverse discrimination in banking law. It is unfortunate that the law itself implicitly encourages depositors to abandon the peso in favor of foreign currencies in view of the stronger asset protection enjoyed by foreign currency deposits. Are you still wondering why the value of the peso is plummeting faster than a speeding asteroid? The legal provision exempting foreign currency deposits from attachment, garnishment, or any other order or process of any court, legislative body, government agency or any administrative body whatsoever has baffled even the