IMPORTANT WARNING: The contents of this article and the attached report have been compiled in good faith by Investorsoffshore.com to provide assistance to investors, but do not constitute investment advice or recommendations. Investors should not rely upon the information given in order to choose types or routes of investment but should make their own independent enquiries before making choices. Investorsoffshore.com has taken reasonable care in researching and presenting the information herein but makes no representations as to its accuracy and accepts no liability for actions taken or not taken as a result.

As has been discussed in previous InvestorsOffshore special features, alternative investment is something of a nebulous concept, and can probably best be explained by what it isn't. Alternative investment isn't limited to equities, bonds, and funds in one's country of residence, and it isn't (usually) as stringently regulated as domestic investment, which means that although the investment may potentially be more profitable, it can also be more risky, and there is less of a safety net if things go wrong. There. So now you're clear on that. You aren't? Well, you are not alone…

There are many, many different types of investment which could be considered alternative, in that they don't fit into the categories loosely defined above. Offshore investment is one of the major forms of alternative investment, but what is meant by 'offshore' can vary according to the investor's country of domicile or residence. Many people, when they hear the word, will automatically think of the Caribbean, or of Switzerland, but in fact, many onshore countries offer advantageous investment opportunities to residents of other countries, so it is worthwhile keeping an open mind - a UK national might well point to the Channel Islands as his offshore jurisdiction of choice, whereas a Channel Islands resident might look to the Cayman Islands, and a Cayman islander to the Netherlands Antilles. And so on…

We will now look at some of the major areas that could be considered to offer alternative investment opportunities in both 'onshore' and offshore jurisdictions. In this article, we will be dealing with spread betting, hedge fund investment, forestry, real estate investment, and investing in wine, antiques, and other collectibles. This is by no means an exhaustive list, due to the foggy nature of the definition, but merely a start on the path to defining and explaining the various options open to those investors not necessarily hidebound by a stringent regulatory regime.

FINANCIAL ALTERNATIVE INVESTMENTS	NON-FINANCIAL ALTERNATIVE INVESTMENTS
Spread Betting	Forestry
Contracts for Difference (CFDs)	Real Estate
Hedge Funds	Wine
	Best of the Rest