Offshore accounts are those accounts which are present outside the country of residence of the investor. Some of the characteristics of an offshore account are:
• Such accounts are free from heavy taxation norms of the investor’s country. The offshore accounts ager generally opened in areas where there are lesser taxes applicable.
• Offshore banks have stricter rules for revealing private information. It is an effective tool for those who do not wish to reveal their correct amount to others.
There is a lot of security accorded to offshore accounts.  Assets protection  is one of the key benefits of the offshore accounts. Offshore accounts are safe from any political or economic turmoil faced by the investor in his country. The laws applicable on an offshore account are those of the foreign land.

The offshore bank accounts offer better interest rates than others. This is because they have lesser operating costs than the domestic banks which add up to the benefits.

An offshore bank account can be opened very easily. It can be done using mail, phone or even by internet. 
With the advancement of world commerce and internet, offshore banking has become more beneficial for those seeking profits, especially in these times of recession. The initial payment for opening the accounts is so low that it is now not just restricted to wealthy people but for the not-so-rich investors as well.

Welcome to the forum. And thanks for the information. Would you mind expanding a bit on how and why an offshore account is free of tax from the investors country.
How does one go about opening an offshore account. Presumably the anti money laundering laws still apply?