IRAs— What Are Your Investment Options?
The following article is created and or curated by the Orion Metal Exchange for the benefit of our followers. We seek to provide relevant precious metals, economic and geopolitical content that can impact your retirement and savings. If you are interested in learning about precious metals investing, call 1-800-559-0088, for a FREE investor kit.
Individual Retirement Accounts (IRAs) are imperative for ensuring a comfortable future.
Through an IRA, you have the option to invest your savings in a number of different commodities and assets that can lead to long-term profitmaking and growth.
Not to mention, the investment money in IRAs is tax-deferred and can grow with smart investment choices.
Investing your IRA savings in stocks or other options ideally serves to protect you from reduced purchasing power during inflation.
However, picking the investment type and commodities depends on your future goals, existing portfolio, tolerance for risk and income being generated.
If you’re considering investing your IRA savings, here are a few options to consider.
If you’re looking to pace yourself against an expected economic slump, stocks work well for a stretched investment plan.
Due to the price swings in stocks, you can’t expect to make a profit immediately or even in just a few years.
If you have still a decade or more to go, investment in individual stocks is perfect for diversifying the portfolio without taking too much risk.
Bonds are a lot safer than stocks, but they’re not the best choice, especially for professional investors. If you’re choosing bonds for your IRA, make sure that it’s only a part of the investment—to grow the portfolio.
Picking the right bond is also important and is closely related to the tax structure of the IRA. Keep in mind that low-risk bonds will have low yield and riskier bonds will come with potentially high returns.
ETFs and Mutual Funds
You can hold a variety of ETFs in your IRA, depending on the kind of exposure to risk you can afford.
If you choose to invest in exchange-traded funds, you’ll get a better levy on the taxes—incurring only capital gains taxes—compared to mutual funds.
Even though both options are highly tax-efficient, it depends on the choice of ETFs and whether or not they’re being taxed as collectibles.
You can also hold gold, silver and other precious metals in an IRA account for both emergency investment and long-term investment as a way to protect your purchasing power.
With physical gold coins and bullions, you can use it either as a self-directed IRA or an alternative-asset IRA.
If you’re looking to learn more about IRA investment options, our experts can help you regarding purchasing, transactions and even taxation.
Give us a call at 1-800-559-0088 or get in touch here!