Free Self-Directed IRA Guide, Get Started Today
Spend Your Retirement The Way You’re Meant Too…
The self-directed IRA is fundamentally no different to any other IRA, the key difference is in the title, you get to direct the equity into assets of your own choosing… in a nutshell. There are no rules saying a self directed IRA must be Roth or traditional or whether you earn to little or too much, it just depends on it being a traditional or Roth IRA which determine these kind of rules. Now with Gold or any other precious metals your IRA will predominantly be self-directed simply because most banks and other financial institutions which manage Individual Retirement Accounts will not invest in assets such as Gold or real estate. This does not however mean that you have to make every decision yourself we or any other precious metal custodian will 99% of the time be happy to give opinion or help guide you, however be cautious as there are regulations surrounding financial advice, so if your portfolio manager is not giving you derisive answers it is because large banks and other corporations set in motions that end up creating laws meaning your portfolio manager is not technically allowed to give you any advice, this is conspiracy at the highest level but never-mind.
Why don’t banks invest in Gold or real estate with IRA’s?
This is a question that has fuelled much anger among those of us that understand the system, after all banks and official financial institutions rely on gold bullion’s (we have all seen Fort Knox in the movies) as their key form of currency, so why on earth wont they invest in it? The first thing you must realise is that they only invest in stocks and bonds (so other companies) the second thing you must come to understand (and this may be where the ball drops for you) these same banks will own the companies that these stocks belong too!!! have you figured this out yet? Yes, they will use your money to invest in their own business, gold however is owned by no individual and, so by investing in say gold they would not be on the receiving end when the price of gold increases, as we all know every market works on supply and demand, the more that invest in a stock/bond/commodity/asset/etc… the higher the price will soar.
Having said all this it does work for the bank and because they have complete control the stocks will mostly remain stable, they are ruthless and will ensure their own stock remains high in value. HOWEVER… the banks do need an end game, this end game would be selling the stock once it has reached a lucrative level. This is when you your IRA assets can drastically lose value. This system works very much like a casino slot machine, it will pay out on occasion to keep punters interested, but at some point the casino has to make money so control the odds to work in their favour.
Why Should I Go with A Self-Directed IRA?
Well firstly If you have arrived to this site chances are your were looking to invest in metals, and so you will probably discover if you want to invest in bullion’s of any kind then you will have no choice but to self-direct. The two main assets that make self-directed attractive over a traditional IRA are precious metals and real estate. Real estate can arguably be one of the most risky investments, however it can and has proven time and time again to be one of the highest yielding. Precious metals on the other hand have the best of both worlds, firstly they are incredibly stable probably one of the most secure way to store equity, and secondly they have proven to be very lucrative, this is despite many arguing that it is so stable that the price doesn’t move meaning no yields. However this is dribble given to you by someone trying to sell you stocks, and we can can prove this simply by looking at the price of gold which in 2001 was valued at $266 per ounce and 10 years later it reach around $1826 per ounce, that is a yield of 680% !!!! At the time of writing this gold stands at about $1250 per ounce, still an incredible return. This should mute the doubters and non-believers. Platinum bullion’s have seen very similar trends.