Placing precious metals investments in a self-directed IRA may provide you with the diversification you require to hedge against poor economic conditions. Buying platinum, gold and silver coins and placing them in this type of IRA offers flexibility and diversification.
Offering You Diversification
To diversify your retirement portfolio and utilize precious metals investments, you may want to open a self-directed IRA. This type of nontraditional IRA allows you to hold investments, such as gold coins or real estate assets. One of the biggest advantages of owning this type of IRA is the diversification it provides. If stocks take a hit and this is your only investment vehicle, it can negatively affect your portfolio. Owning precious metals investments helps lessen this risk.
Providing Flexibility
The flexibility of owning a self-directed IRA allows you to place physical platinum, gold or silver in your portfolio. Utilizing these nontraditional investment vehicles can help hedge against the risk of an economic crisis or inflation. If you own a traditional IRA or Roth IRA, you cannot make these types of purchases. If you’d like to have more flexibility with your investment capital, choosing a self-directed IRA may prove to be an invaluable choice.
Eligible Coins
When you decide to open a self-directed IRA and want to purchase gold, platinum or silver coins, they will need to meet specific eligibility requirements. The specifications are based on minimum fineness and other factors, which are dictated by the IRS. Choosing the American Gold Eagle one-ounce coin is an available option you can take.
