To summarize, there are two reasons why the Rich move money offshore:
* Litigation risk, and
* Political risk.
Litigation risk is the old reason. You could get hit by a crazy lawsuit here in the U.S. The wealthy are an easy mark, and anything onshore is vulnerable. But the U.S. courts don’t have jurisdiction overseas and if you plan things right you have at least some chance of protecting money held offshore, It keeps you away from our court system and the caprices of our courts.
The new reason, though, is political risk: Diversification from our government, policies, and banking systems. A growing numbers of the wealthy are worried about the financial system, confiscation — the whole shebang. They’re concerned about our government, and where our society is headed. There’s a lot of socialistic tendencies, capital controls, the redistribution of wealth.
However, I understand the desire to diversify assets offshore. If I had enough to do so, I would. And, I wouldn't worry about the US confiscating it, because if it came to that point, I'd be long gone.
"Political risk" is more than just avoiding confiscation. It's also about having some place to go and the means to survive outside the US if things go completely into the toilet in this country (like what is happening in Greece).