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Wealth 101: the Self Directed IRA as a Tool
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April 13th, 2011UncategorizedThere is a way to shelter yourself from the stock market losses we’ve witnessed the last many years that have jeopardized people’s retirement savings. With the ups and downs of the market, many people have seen 50%, 60% and even more of their investments vanish, with no hope of recovery. That situation makes it critical that you take control of your investment portfolio, and begin earning returns that are not taxable until you remove the money for retirement. The smart choice is a self directed IRA . Within that IRA, either a traditional IRA or a Roth IRA , you have a plethora of allowable non-traditional investment options from gold to real estate. Self-directed IRAs have been part of the tax and investment code since 1972, yet many people are unaware of them. There are dozens of reputable custodians that focus on self-directed IRAs; among them Equity Trust Company and Entrust New Directions IRA. Fees for these custodians vary, so be sure to have a clear idea of the volume of transactions you project making before deciding on your custodian company. You can choose non-traditional investments without taking unnecessary risks, and still see excellent gains . You can even join in with other people, invest in a fund and spread out both the risk and returns. You can set up an LLC and have it make investments for your individual retirement account.
If history teaches us anything , it is that there is a cycle to industries that smart investors see and take advantage of. Currently real estate markets are undervalued in many areas of the country, making this a buyer’s market, and making real estate a smart buy for a self-directed IRA investor . Look for a real estate investment secured by a note or deed with a fixed rate of return within your IRA, or a real estate fund that reduces risk by allocating the investment over a number of properties with low LTV (loan-to-value) ratios.
Taking control of your IRA portfolio means increased opportunities to secure your retirement future.
Tags: Individual Retirement Account, retirement, Roth Ira, Self Directed IRARelated Reading:


William Dixon November 24th, 2011 at 01:53