How To Invest In Gold IRA

 

A gold IRA investment is an individual retirement account, an account that functions the same way as a regular IRA account however, instead of holding paper assets, it holds physical  bullion coins or bars.

Should I include gold in my retirement plan?

Gold is the type of investment that can protect when times are hard, and at the same time will also offer significant gains to your nest egg.  Back in 2001, an ounce of gold cost $271,00.  Ten years later it reached $1896,00, an increase of almost 700%.   During that time, banks and currencies collapsed, the real estate market collapsed, but gold didn’t.  In particular gold fed from these calamities, it was the rediscovered idol, in the time when everything else collapsed, from mortgages, credit default swaps, and derivative products, too complicated to even understand.

As you can see, a standard IRA, an IRA invested totally in stocks bonds and other funds, is actually putting your hard earned money at risk.  You are relying on government, weak currencies, economies and large corporations.  Gold and silver can actually safeguard your investment.

Since the 2008 financial crisis, gold IRAs have become very popular.  Record gold sales, combined with the appearance of many more, that simplify the transaction, have made investing in an IRA a one shop stop.  The result is robust IRA growth.

Nowadays, it is absolutely necessary for the investor to invest a portion of his/her savings in gold, as the dollar is still weak, there is geopolitical uncertainty, the country’s (US) trade deficit is out of control, and the potential inflationary impact of the Federal Reserve’s, stimulus programs.

How does it work?

It works the same way as a regular IRA account, however instead of holding paper assets, it holds physical bullion coins or bars.

Finding a reliable IRA broker.

It is imperative for the investor to find a reliable IRA broker.  Choosing the right firm can mean success or failure as a gold owner.  Choose the right firm and it will help you protect your assets from economic uncertainties.  Choose the wrong firm, and your funds can be directed to an assortment of bullion related investments, investments that are not truly asset preservation vehicles.  For example, gold stocks, gold exchanges traded funds, and mint state and proof coins graded by independent services, put the buyer at a disadvantage either by selling for high mark-ups, or by putting the whole investment at a systemic high risk.

Check out the comments regarding the firm especially the complaints, see how these complaints were handled.  If the there is a long list of complaints, then this is a sign to worry.  Also check the number of years the company operates, you want ten years of solid record.  Finally most important is to choose a firm with a commitment to keeping you informed.  Keeping you informed now and in the future.  If a sales person gives you a short shrift, or hits you with a high sales pitch, then this is bad news.

In the past, the whole process was complicated and was mainly done by phone.  Today, with the advancement of technology and many more, you can choose a gold broker online and automatically, be assigned an IRS approved custodian.  A custodian’s duty is to oversee the whole operation, from application, to funding/rollover, purchase, and vaulting.

 

Author: Nektarios
Hi, there. My name is Nektarios. I have been an investor and market analyst for over thirty years. I created this website to provide you with the latest up-to-date investment news.

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