As governments in many countries have weakened privacy laws, Panama has business services for people searching to find privacy and security for their information, both personal and corporate. While asset protection corporations are currently the topic in business and private sectors, the trust structures of many countries have either been weakened or dramatically damaged. In light of these invasions of privacy, offshore banking has become a better option and the Panamanian banks and asset protection corporations have become the best options.

While many countries were attempting to pry into their citizens' privacy, Panama was busy doing exactly the opposite. Panama enacted laws in 1995 to implement the Panama Foundation and this vehicle has become the world standard for people are seeking asset protection, both personally and corporately, while participating Panamanian banking.

Panama has become the second largest banking center in the world (behind Switzerland) and possesses perhaps the best secrecy laws. In Panama, it is possible both for a person to privately protect his assets within a corporation without anyone knowing the owner and for a corporation to hold and protect the assets of individuals without anyone being able to ascertain their identities. This high level of asset protection makes Panamanian banks and Panama business services very attractive to people in countries where this level of privacy no longer exists.

Most people who know agree that the Panamanian Foundation is an excellent asset protection corporation. When coupled with offshore banks in Panama, which is the best banking system in the world, the Panamanian Foundation is perfect for people or corporations interested in offshore banking. A Panamanian Foundation is actually like a pseudo-corporation; while a foundation can't be used to conduct business, it can own the shares of an asset protection corporation that is engaged in business activities. It is also permissible for the foundation to engage in any activity, which will increase the value of assets, meaning that a foundation can buy and sell real estate, make investments and other business activities.

With this ability, it is possible to do all of the things that are needed to perform offshore banking. In addition, attorneys in Panama that are expert at establishing Foundations will many times offer services opening bank accounts for their clients; while proving the ability to travel to Panama is required, it is actually not necessary to even travel to Panama.

Inside a Panamanian foundation, the assets are protected. Since they are sole and separate property of the foundation, they cannot be taken to satisfy any judgment, liens or obligations of the founder or the foundation's beneficiaries. Assets are protected against judgments for divorce, lawsuit and other liabilities. In addition, the secrecy laws of Panama do not allow for revealing of any personal information without a court order, a practice which rarely happens.

Since there are no shares of ownership in a Panamanian foundation, the founder does not own the foundation and as such gains important tax reporting and protection benefits with this. In reality, there are quite a number of practical uses and strategies for the Panamanian Foundation and asset protection corporations. As an asset protection vehicle, there is probably no better entity in any jurisdiction at the present time for this purpose. With the ability to conduct Panamanian banking privately, the foundation and the privacy laws of Panama also allow for excellent identity protection.