Offshore investment is the keeping of money in a jurisdiction other than one’s home nation. Offshore jurisdictions are a commonly accepted means of reducing the taxes levied in most countries to both large and small-scale investors alike. Locations favored by investors for low rates of tax are known as offshore financial centers (OFCs) or, sometimes, as tax havens. These include well-known centers such as Switzerland, Bermuda, and the Cayman Islands. The level of regulatory standards and transparency differs widely among OFCs. Poorly regulated offshore domiciles have served historically as havens for tax evasion, money laundering, or to conceal or protect illegally acquired money from law enforcement in the investor’s country. However, the modern, well-regulated offshore centers allow legitimate investors to take advantage of higher rates of return or lower rates of tax on that return offered by operating via such domiciles. Supporters of OFCs argue that offshore centers improve the flow of capital and facilitate international business transactions. These centers are widely used and are accessible to anyone who can meet the minimum investment amount or pay the obligatory fees required to open such an entity. According to finance experts, more than half of the world’s assets and investments are held in offshore jurisdictions and many well-recognized companies have investment opportunities in offshore locales. Business operations of offshore investment are less costly and regulated than those offered in the investor’s country – or “onshore.” Payment of less tax is the main driving force behind most offshore activities. Often, taxes levied by an investor’s home country are critical to the profitability of any given investment. Using offshore-domiciled special purpose mechanisms, an investor may reduce the amount of tax payable, allowing the investor to achieve greater profitability overall. Moreover, offshore investment is less regulated than onshore investment, and the behavior of the offshore investment provider, be he a banker, fund manager, trustee, or stock-broker, is freer than it could be in a more regulated environment.