many people invest in stock and bond-based retirement accounts, you
have options with strategic advantages. Setting up a self-directed
IRA gives you the freedom to choose types of investments and make
transaction calls. These accounts may be traditional or Roth IRAs
depending on your goals and financial situation. One possibility is a
precious metals account.
Precious metal IRA accounts come with requirements. First, investors must purchase IRA-eligible products. Second, investors may not take physical possession of assets. When you become a precious metals investor, you will need to choose a custodian or trust company to conduct transactions on your behalf. The custodian’s fiduciary responsibilities include setting up accounts, generating account statements and handling contributions. You will also need to select a federally approved depository, such as the one in Delaware.
may buy assets from a dealer of your choice, selecting from available
prices and products. Your custodian will handle the transaction and
the product’s delivery to the depository.
is an established investment market and quite suitable for precious
metal IRA accounts. The metal must be at least .995 percent pure to
be eligible, but investors may choose coins, bullion or bars. If you
are interested in precious metals for your accounts, this guide will
help you. Examples of approved coins are:
American Gold Eagle
Austrian Gold Philharmonic
Canadian Gold Maple Leaf
offer a wide selection of these types of products.
primary reason for you to consider a precious metal IRA is the tax
advantage. The revenue service does not tax IRA holdings or capital
gains until you sell. Because your tax rate will depend on your
income as you cash in your retirement holdings, you can increase
returns by minimizing your tax rate. This is not possible with
investments held in brokerage accounts, making precious metal IRA
accounts wise alternatives.