Retired investors looking to diversify their retirement portfolio and take advantage of the hedging benefits offered by gold can do so through a gold IRA. A gold IRA is a type of self-directed individual retirement account (SDIRA) that allows investors to purchase physical gold and other precious metals such as silver, platinum, and palladium. Investing in a gold IRA requires the service of a custodian, a broker to buy gold, and an approved depositary to store gold. The rules that govern withdrawals (selling gold for cash) depend on whether the gold IRA is traditional or Roth.
Investors should plan to hold a gold IRA long enough to allow its value to grow and exceed inflation. Gold IRAs are a great option for those who want to diversify their retirement accounts and also take advantage of the hedging benefits offered by the yellow metal against other financial assets, such as paper money and stocks. When investing in a gold IRA, you can only buy gold ingots that are at least 99.5% pure. Allegiance Gold can help you meet regulatory requirements, avoid tax difficulties, and diversify with physical precious metals that can help stabilize your retirement portfolio.
See American Bullion Gold's complementary IRA guide, which gathers information and images to inform you about the ownership of gold and other precious metals. If you already have an IRA or a 401 (k), whether regular or Roth, you have the option of transferring some or all of your funds to a gold IRA.
Keep in mind that not all self-directed IRA custodians offer the same investment options, so make sure that physical gold is one of their offerings before opening an account. Unlike conventional retirement accounts, such as IRAs and 401 (k) accounts, which limit your options in standard paper assets, such as stocks, mutual funds and bonds, a gold IRA allows you the added benefit of investing in physical gold coins and ingots and other silver, platinum and palladium metals approved by the IRS.