Gold Backed IRA Investments

Since the dawn of the IRA (Individual Retirement Account) in 1974, investors have been socking away funds for their future while at the same time, taking advantage of the many available tax benefits that these types of retirement savings accounts can offer.

Yet, even though most IRAs allow their investors to pick and choose which financial vehicles are included in their accounts, for the most part, individuals have been stuck with potentially volatile instruments such as stocks and mutual funds. Such choices have led many investors to incur losses – leaving some without much time to recoup lost asset values.

The Dawn of the Truly Self-Directed IRA

While many financial brokerages tout their IRA accounts as offering a wide variety of investment choices, unless the account is a true self-directed IRA, many of the more “non-traditional” investment offerings such as physical gold cannot be included.

According to the , a self-directed IRA account requires that either a custodian or a qualified trustee hold the IRA assets on behalf of the account owner. However, this type of account will also allow investors to place a myriad of both tangible and non-tangible assets in the account – allowing for much greater diversity overall.

Why Gold Makes an Ideal IRA Investment Option

Given today’s volatile stock market, investors are searching for alternatives that will keep their retirement portfolio stable, while at the same time providing a nice hedge against inflation. Including gold in their IRA accounts will allow investors to do just that.

Although the value of gold has fluctuated somewhat over time, this metal has still outperformed the stock market, the real estate market, and currency during the past four decades.

As an example, over the past ten years, a $33,000 investment in physical gold within an IRA account could now be worth nearly $130,000. This growth potential of gold can help to improve overall portfolio performance by increasing returns – without a corresponding increase in risk.

Gold also possesses an impeccable resistance to depreciation, due primarily to the metal’s scarcity, as well as its overall demand for use in products such as electronic equipment and jewelry.

Allowable Products for a Gold Backed IRA

Currently, the U.S. government allows certain types of precious metals to be included in IRA retirement accounts. These products include:

  • American Eagle coins
  • Australian Kangaroo/Nugget coins
  • Austrian Philharmonic
  • Canadian Maple Leaf coins
  • Credit Suisse gold – PAMP Suisse gold bars .999
  • U.S. Buffalo Gold uncirculated coins
  • Various bars and rounds

In addition to gold, the IRS also allows certain silver, platinum, and palladium vehicles to also be included inside of a self-directed IRA account.

Taking the Next Step                                         

For those investors who are ready to take the next step towards setting up a gold IRA, accounts can be opened easily and conveniently online through top metals companies like Regal Assets. Here, investors can not only begin the account opening process, but they can also obtain important information such as historical price charts for gold and other metals.

Investors who already have funds placed in an IRA or a former employer-sponsored 401(k) account can opt to either transfer or rollover some or all of those funds to a gold IRA. As long as the funds are placed into the gold IRA account within a set period of time, either a transfer or rollover should not trigger any type of tax or penalty to the investor.

Additional information regarding gold investments is also provided directly on Regal Assets’ website – including a free gold investing kit – that can help investors to make decisions regarding the right type of gold products for their specific short- and long-term investing needs and goals.

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