Little-Known Retirement Investment Alternatives Available Through Self-Directed IRAs

Most people are not aware of the alternative investments allowed in Self-Directed IRAs.

When most people talk about retirement investing, they’re talking about just a handful of investment types. Stocks, bonds, and funds.

Those strategies can be great, no doubt. They offer plenty of stability for the long-term, and even working within that framework, it’s possible for even casual investors to built a well-diversified portfolio that keeps them feeling safe and secure.

But what if you want to go that extra mile? In fact, what if you’ve been reading about Self-Directed IRAs and know that you don’t only want to diversify through alternative investment types like real estate and precious metals, but that you want to understand the full gamut of investment types available through Self-Directed IRAs? In that case, you’ve just hit the jackpot, because we’re going to address some of the different investment markets that you can touch on through a Self-Directed IRA.

  • Hedge funds. Hedge funds tend to be the strategy of high-income and high-wealth investors who are looking for an alternative to the usual investment strategies. Hedge funds can be high-risk depending on who’s running them…but for some people, that’s right up their alley. Is a hedge fund right for you? Unfortunately, there’s more to learn about hedge funds than we have the space for here, so we recommend thoroughly understanding hedge funds before you decide to get involved with one.
  • Foreign stock. Someone who’s looking to hedge against domestic inflation will likely want to think about holding some degree of foreign stock. After all, the New York Stock Exchange isn’t the only stock exchange around. Holding some amount of foreign stock can help you attain a more international approach to your investments that helps you feel protected against any domestic economic downturns. What’s more, if your expertise is in foreign stocks, then a Self-Directed IRA may be the way to go.
  • Royalty rights. The old phrase “there’s more than one way to skin a cat” applies here, because there’s more than one way to secure wealth building in retirement accounts. Investing in royalty rights is one potential avenue to build wealth when working within the confines of a Self-Directed IRA, helping you to further diversify your retirement nest egg far from the realm of stocks, bonds, and the usual avenues.
  • Farm real estate. How’s this for getting off the traditional grid of investments? Investing in farm real estate is a great way to secure something of real, demonstrable value for your retirement nest egg. Of course, investing in farm real estate can be a challenge in and of itself, which is why it’s important to make sure that you know what you’re doing–but the same principle applies for investments of all types. For those who enjoy working in farm real estate, a Self-Directed IRA can be the ideal way to build up for retirement.
  • Admit it: as much as you’ve thought about investing in a commodity like gold or silver, how much action have you actually taken to make these commodities a part of your investment strategy? A Self-Directed IRA affords you plenty of freedom to diversify your retirement portfolio with commodities, helping to hedge against inflation and to ensure that true diversification is achieved.

In short, Self-Directed IRAs represent a tremendous opportunity for you to manage your own investments, become more involved in your retirement plan, and take the reins of your financial future. What’s in store for you with a Self-Directed IRA? Well, if you’ve been reading, you know that there are plenty of options. Contact us at 866-7500-IRA(472) to find out whether or not a Self-Directed IRA might be right for you.

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