1/ This is a memo outlining 11 ways to hide your money offshore.

It was not supposed to “fall into the wrong hands.”

Well, it did. https://t.co/N6RUDqHVfR

2/ The “11 ways” memo is part of a huge trove of documents—350,000 to be exact—leaked from inside a trust company called La Hougue, based on an island off the coast of France.

Amid the data, this memo stood out for its candor.
3/ After one tax expert reviewed it, he told @SamEifling and @CalynShaw, “I have to say I’m not sure what else I can add other than ‘WTF’? (you can quote me on that). How stupid (or confident nothing will ever happen to you) do you have to be to put this in writing?”
4/ Mother Jones and @GlobalRepCentre are surfacing this particular memo simply because it’s the sort of thing you never see: a customer-facing document obtained in a big offshore data leak, quoting dollar amounts that few people ever hold in their hands at one time.
5/ Each of the 11 options listed in the memo offers some sort of contrived business deal by which you move money into an anonymous offshore account. And—here’s where the genius lies—they design those deals to give you some sort of tax break. The methods are, at best, legal-ish.
6/ So, let’s say you are a member of the global 1 percent looking to outsmart your own government. Here are a few options at your disposal, according to the memo…
7/ Strategy No. 1: Pay yourself.

For instance, you could hire an offshore company to do some fake consulting for your business (who knows what consultants do anyway, right?). Your payments go to your offshore account, and you get to write off the fees as an expense.
8/ Strategy No. 2: Invest in guaranteed failures.

Lose your money on bad “investments.” You can lucratively lose 6-figure sums by lending to and investing in companies that never show a profit (or even care to earn one). Then you get to write off the planned losses at tax time.
9/ Strategy No. 3: Hide your assets.

Does someone owe you money? Don’t invoice them—have them send that payment directly into your offshore account, so you never have to declare it.
10/ Strategy No. 4: Pay fake penalties.

Owe your money to a third party (who is, in effect, you). If you can produce a contract that says you owe money—that becomes a business expense.
11/ Strategy No. 5: Sell your company to yourself.

Sell off part of your business (to a secretive entity you happen to control). If you don’t appear to own the business, you don’t have to pay taxes on its profits.
12/12 See more ways to hide your wealth offshore—and read the memo for yourself—here: https://t.co/N6RUDqHVfR

And if you’re curious about what else showed up in that batch of 350,000 leaked documents, read more from @GlobalRepCentre: https://t.co/vtAregqTwR

More from Finance

Ok here is the explanation. Grab a cup of coffee and read on. If you have not read/noticed this, you will see intraday options movement in a new light.


Say we have two options, one 50 delta ATM options and another 30 delta OTM option. Normally for a 100 point move, the ATM option will move 50 points and the OTM option will move 30 points. But in a high volatile environment, the OTM option will also move nearly 50 points

To understand why this happens, first understand why an ATM option is 50 delta. An ATM option has the probability of 50% of expiring as ITM. The price just has to close a rupee above the strike for the CE to be ITM and vice versa for PEs

Now think of a highly volatile day like today. If someone is asked where the BNF will close for the day or expiry, no one can answer. BNF can close freakin anywhere, That makes every option of an equal probability of being ITM. So all options have a 50% probability of being ITM

Hence, when a huge volatile move starts, all OTM options behave like ATM options. This phenomenon was first observed in the Black Monday crash of 1987 at Wall Street, which also gave rise to the volatility skew/smirk

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1/ Here’s a list of conversational frameworks I’ve picked up that have been helpful.

Please add your own.

2/ The Magic Question: "What would need to be true for you


3/ On evaluating where someone’s head is at regarding a topic they are being wishy-washy about or delaying.

“Gun to the head—what would you decide now?”

“Fast forward 6 months after your sabbatical--how would you decide: what criteria is most important to you?”

4/ Other Q’s re: decisions:

“Putting aside a list of pros/cons, what’s the *one* reason you’re doing this?” “Why is that the most important reason?”

“What’s end-game here?”

“What does success look like in a world where you pick that path?”

5/ When listening, after empathizing, and wanting to help them make their own decisions without imposing your world view:

“What would the best version of yourself do”?