How to Invest Abroad Through Alternative Investment Options and Obtain Second Passport
Having a second passport opens a wide range of possibilities. And it’s a well-established trend, with more than 34% of high net worth individuals investing in dual citizenship, according to the Wealth Report research in 2018. Nowadays, the number has grown even more.
Investment can be a tricky subject, especially when it comes to obtaining dual citizenship. You can invest in the real estate market, donate to government development funds, share capital, bank deposits in foreign currency, or government bonds.
In this brief guide, we’ll focus on the alternative investment options and how you can obtain a second passport in a foreign country. Let’s start!
The CBI – Citizenship by Investment Programs are where you make the investment and get citizenship or a passport in exchange. There are many investment options, and the amount can range from $100,000 to $2 million, depending on the country and the type of investment you’ll be pursuing.
It takes around 6 months for the application to be processed and approved. However, some countries may extend it to a year. In either scenario, you need to consult an authorized entity and seek professional advice before you start your application. Such an entity is NTL Trust, a team of professionals that have helped and guided thousands of investors worldwide – so please feel free to check them out at https://www.ntltrust.com/.
CBI programs are very popular due to many facilitating factors like reducing the price to participate in the Caribbean citizenship by investment programs, the visa-free travel options in the CBI countries, etc.
How Much Do You Need to Invest?
As we mentioned earlier, the investment amount depends on the country where you’ll be applying to get the second passport. We’ll share some examples of the costs for the Caribbean countries, since they are the hottest CBI trends at the moment, to get an idea of the investment options and the amount.
St. Kitts and Nevis
St. Kitts and Nevis is the first Caribbean country that has established an investment option where foreigners can choose either to invest in real estate or donate national funds to get their passports.
If you decide to invest in real estate, the minimum should be $200,000 and be held for at least 7 years, and an independent investment should be at least $400,000 with a holding period of 5 years. The amount for donation is a $150,000 non-refundable contribution to the SGF – Sustainable Growth Fund.
Antigua and Barbuda
Antigua and Barbuda CBI program is very popular for big families that utilize the UWI fund option – the University of West Indies. There are 3 ways to invest and obtain second citizenship:
- $200,000 in property investment as a joint investment or $400,000 as an independent investment – held for 5 years;
- $150,000 to the University of West Indies if you apply as a family of 6;
- $100,000 to the NDF – National Development Fund;
The investment options for Dominica are:
- $150,000 to the EDF – Economic Diversification Fund as a family or $100,000 as a single applicant;
- $200,000 investment in real estate – hold the property for at least 3 years;
Investing in Government Bonds
Investing in government bonds is a stable investment where investors can have higher transparency and many advantages. These bonds are in association with the government bodies where the investment is highly regulated by the government. This type of investment provides better security and a lower risk of fraud.
Another benefit when investing in government bonds is the easy way out when you want to sell your assets in a second country. The bonds can be liquidated directly with no need to find a broker or a buyer. Plus, government bonds may yield a stable income based on the country’s economic growth.
Additional Info – St. Lucia and Turkey are the countries where you can invest in government bonds.
What are the Benefits
There are multiple benefits to dual citizenship, from visa-free travel to more than 100 countries to tax optimization benefits. The reason behind many investors’ incentives is the opportunity to create a safer environment for their families, protect their capital, expand the business globally and minimize taxes.
In a recent couple of years, many countries have started the process of investing in citizenship with crypto. Even though Vanuatu is the only country where you can invest with Bitcoin at the moment, many more are in the process of enabling it as an option.
So far, we’ve discussed investment options and how you can obtain a second passport through alternative investing. To learn more about the CBI programs, the countries where you can obtain a second citizenship, the benefits, the application process, and the latest citizenship news, visit our blog.