DMS-Banking Investment Associates
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DMS-Banking Investment Associates
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A legal way to invest Your money, Tax-free, and with secure privacy. HIGH ANNUAL PERCENTAGE YIELDS GUARANTEED Go to: [ The New Tax Heaven ] [ Tax Free Investment ] [ Safe Banking ] [ High Profitability ] The
"New" tax Heaven ! When thinking about placing investment
funds offshore, seeking a business opportunity or in establishing an offshore
high yield tax free bank account, we doubt the Dominican Republic came to mind. Is this a good thing? Tax
Free Investments ? It's
important to understand that currency is a commodity and therefore when its in
demand the cost increases to those who are in need of hard currency. Not only is
there competition between banks but also between countries. This means and
certainly in the Dominican Republic that this country needs US dollars to
function and expand. Expansion requires Dollars in this region of the world and
as the Dominican Republic is seeing some of the fastest growth in the Latin
American region it has a thirst for Dollars. This
demand is reflected in the high interest rates available tax free to entice
foreign investment so that the government and local business can expand and put
in to practice to build new roads and infrastructure. Is
Banking Safe in the Dominican Republic?
Ask most people and certainly those who
have never been here before to sum up in a few words what the Dominican Republic
is like and they will probably tell you it is a small desert island with a few
palm trees and a few beach bars. They may also think that hardly anyone can
afford to live in decent homes as this is a poverty stricken country.
Actually, nothing could be further from
the truth as the Dominican Republic is the second largest country in the
Caribbean and for most people the standard of living is very good. Yes most
people do live in decent modern homes and many in fact drive around in big 4 x
4's and own their own thriving business. To get more information and facts about
' why investing in the Dominican Republic', visit http://dr-opin.com/
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The Central Bank of the country here is
solely responsible for banking and investors security and the reserve security
deposit that is needed to fulfill banking requirement is often as high as 5% or
more of each bank’s deposits. Compare this to European and American run
schemes that are offering only limited and capped protection.
It is important to note that the DR counts
on important guarantees against political risk, convertibility risks and
expropriation risks, backed by recognized institutions such as the Overseas
Private Investment Corporation (OPIC) http://www.opic.gov/, a U.S. Government institution that provides guarantees
on such risks. Perhaps more important is that the Dominican Republic has joined
the Multilateral Investment Guarantee Agency (MIGA) http://www.miga.org/, an agency of the World Bank group that issues
guarantees and insures against a variety of risks, including:
Currency Transfer: MIGA protects against losses arising from the investor's
inability to convert local currency returns into foreign exchange outside the
host country. This coverage insures against excessive delays in acquiring
foreign exchange caused by the host government's action or failure to act.
Expropriation: MIGA protects against partial or total loss of the
insured investment as a result of acts by the host government which may reduce
or eliminate ownership of, control over, or rights to, the insured investment.
In addition to outright nationalization and confiscation, 'creeping'
expropriation - a series of acts that, over time, have an expropriator effect -
is also covered. Breach of Contract: MIGA protects investors against losses arising from
the host government's breach or repudiation of a contract with the investor. In
the event of an alleged breach or repudiation, the investor must be able to
invoke an arbitration clause in the underlying contract and obtain an award for
damages. If, after a specified period, the investor has not received payment,
MIGA will compensate the party in question.
War and Civil Disturbance: MIGA protects against losses from damage to, or the
destruction or disappearance of, tangible assets caused by politically motivated
acts of war or civil disturbance in the host country, including revolution,
insurrection, coups d'etat, sabotage and terrorism.
MIGA is willing to cooperate with both
public and private political risk insurers by entering into coinsurance and
reinsurance arrangements for joint coverage of eligible investment projects.
This means that MIGA is theoretically capable of cooperating with such insurers
as OPIC in assuming joint coverage of an eligible investment project. Almost all European banks are members of
the Financial Services Compensation Scheme established under the Financial
Services and Markets Act 2000. Most deposits, including those made by
individuals and small firms are protected by the scheme. Where you make a
deposit in the EU, payments under the scheme are limited to 100% of the first £2,000
of your total deposits with them and 90% of the next £33,000, resulting in a
maximum payment of only £31,700. The scheme also covers deposits made with
banks elsewhere in the European Economic Area, and deposits in all currencies
are treated alike. Guess what, your money is not as safe as you thought it was!
Think it will never happen to you or did you forget about the collapse of
London's Bearings Bank? The reason why this guaranteed payment
value is so low is because many banks pay in only a tiny percentage that goes towards depositor protection. If
one of the UK high street banks goes bust then you can expect to loose a lot of
money. The Central Bank of the Dominican
Republic does audit all banking institutions regularly, and requires a reserve
deposit depending upon the type of deposits and loans the bank may have which is
far in excess of what the European governments has on deposit or requires of its
banking institutions. In contrast most
European banks are now so completive they operate on a knife edge and constantly
complain they are loosing money. So to sum up banking in Dominican Republic is
much safer! Banking in the Dominican Republic offers highly attractive offerings that
are unlikely to be found elsewhere. US Dollar savings accounts, bank
certificates of deposit (30-day or longer) or commercial paper investments
(90-day or longer) are both locally tax-free and also offer the opportunity for
higher rates of interest. For an example bank rates for $100,000 on a 30 day
certificate of deposit of the rates available for a 90-day time deposit (minimum
US$ 20,000), one can expect 10% or more for a bank CD and up to 15% for a
commercial paper investment (90 Days). All the interest content for such
deposits can be paid monthly direct in to your instant access savings or current
account or rolled back into your CD to grow your funds. However, the Dominican Peso, could offer yields up to 25% for a bank CD
or up to 30% for commercial paper. Again, such interest is also locally
tax-free, and the minimum term is 90 days.
Past legislation has restricted the entry of new foreign banks and has thereby increased the profitability of local banks. As banks continue to increase their expansion efforts, the Listin report highlights that consumers are now served nationwide by more than 1,500 automatic teller machines. Many local banks also improved their Internet banking services in 2002. Contact Us at:
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