What Do Citizenship by Investment Programs Offer?
Citizenship by investment programs offer various options for many investors with different desires and interests. Some applicants might prefer programs with better mobility advantages, the other might go for the ones that do not require continued residence. Some investors might want to reduce their taxes through a second passport, and some might be looking for a new business option in a new country. Citizenship by Investment (CBI) Index includes all these factors and categorizes and evaluates the citizenship by investment programs under seven pillars. CBI Index is designed to measure the desirability of citizenship by investment programs.
Methodology Used by the CBI Index
The Citizenship by Investment Index is a system designed to evaluate and grade the quality and attractiveness of CBI programs. The CBI Index uses seven different indicators to assess the value of a program. The purpose of this system is to help applicants with their decision making process. The seven pillars the Index uses are freedom of movement, standard of living, minimum investment outlay, mandatory travel or residence, citizenship timeline, ease of processing and due diligence.
PILLAR 1: FREEDOM OF MOVEMENT The Freedom of Movement Pillar measures a passport’s relative strength by the number of destinations to which it allows travel without restriction, and by the amount of prime business hubs to which it provides access. Investors generally have the desire to invest in a powerful passport which will increase their global mobility. Freedom of movement within and between countries is of paramount importance to any individual seeking second citizenship. This holds true whether the individual wishes to travel for work purposes, to visit family, or for leisure.
PILLAR 2: STANDARD OF LIVING The Standard of Living Pillar is a measure of the quality of life offered by the 13 citizenship by investment jurisdictions under assessment. This pillar is vital to those who yearn to relocate and to secure a prosperous and fulfilling lifestyle. Similarly, it is key to those wanting to take advantage of local business opportunities, or needing to transfer and safeguard their assets.
PILLAR 3: MINIMUM INVESTMENT OUTLAY The Minimum Investment Outlay Pillar measures one of the most practical and foremost considerations of citizenship by investment: how much capital is required for the investor to become an eligible applicant for the program of his or her choosing.
PILLAR 4: MANDATORY TRAVEL OR RESIDENCE The Mandatory Travel or Residence Pillar examines the travel or residence conditions imposed on applicants both before and after the granting of full citizenship. Often busy with running a business or with international travel of their own, citizens of the world have little time on their hands to fulfil minimum stay requirements.
PILLAR 5: CITIZENSHIP TIMELINE The Citizenship Timeline Pillar looks at the average time it takes for citizenship to be secured by the applicant. The processing time important to have a general idea on how to plan the citizenship by investment process.
PILLAR 6: EASE OF PROCESSING The Ease of Processing Pillar measures the end-to-end complexity of the citizenship by investment application process. In some jurisdictions, the application process can be a labour intensive and painstaking task that is time-consuming for the applicant; in others, it is streamlined and the applicant receives clear directives on how to proceed.
PILLAR 7: DUE DILIGENCE The Due Diligence Pillar focuses on each nation’s commitment to ensuring that their program remains transparent and effective at evaluating potential candidates for citizenship. Citizenship by investment programs follow a legal procedure and due diligence process has a vital importance to ensure the reliablity of the program. It is hence a measure of each program’s integrity.