Precious Metals FAQs
FAQs
Questions and answers concerning precious metals.
Why own physical precious metals?
Physical precious metals are utilized as a hedge against speculative investments involving debt and counterparty risk. Precious metals protect against inflation, fiat currency, government debt, and global geo-economic uncertainty. Unlike many traditional investment vehicles, there is no debt associated with physical precious metals. This means that no one can borrow or loan against your precious metals without consent.
What is a precious metal IRA?
A precious metal IRA is a non-taxable IRS-approved program that gives you the ability to own tangible IRS-approved gold, silver, platinum, and palladium in an accredited retirement account. Your tangible precious metals are held in custody by an IRS-approved custodian and an insured IRS-approved commercial depository. A precious metal IRA account is identical to any other accredited retirement account with the added benefit of owning a physical asset.
Is a precious metal IRA tax-deferred?
Yes. A precious metal IRA has the same tax-deferment benefits as any other IRA account. Consider your current retirement account. The same rules apply to a physical precious metals IRA, and you can satisfy RMD requirements by either requesting delivery of your precious metals or the cash equivalent for the amount required by the IRS.
Are there different IRA custodians and depositories to choose from?
Orion Metal Exchange offers investors many advantages over other precious metal companies. Unlike our competitors, we work with every IRS-approved precious metal custodian and depository in the nation. Our in-house IRA department can help you choose the best IRA program to suit your personal needs and goals.
Can I store my IRA precious metals at home?
No. Our position follows the Internal Revenue Code Sections 408(m)(3)(B) and (n). Due to IRS rules and regulations, a home-storage precious metal IRA is not cost effective and could leave an individual exposed to IRS penalties and fines.
What percentage of my portfolio should I invest in tangible precious metals?
Many non-biased investment advisors recommend allocating 10–25 percent of a portfolio to tangible precious metals. We believe a properly diversified portfolio must include precious metals. Ultimately, you must decide on a percentage that best suits your personal needs and goals.
