As you work your way towards retirement, you may be asking yourself whether or not you have saved enough to ensure that you will have an adequate income throughout your golden years. Odds are, you probably think that you could have saved more, especially if you lost money during the recession of 2007-2008. Even you if have saved enough to feel comfortable about your retirement, you may be wondering whether or not it will last throughout your lifetime in the event there is another financial meltdown. The good news is that you have options that not only help you save for retirement but also protect your savings from loss: a precious metals IRA.
What is a precious metals IRA?
Precious metals IRAs are IRAs that work just like traditional and Roth IRAs in terms of both tax advantages and flexibility in choosing investment options. However, there is one main difference. Precious metals IRAs allow you to invest in precious metals such as gold, silver, platinum and palladium in additional to the traditional investment options you are used to seeing.
Why is this difference important?
The reason that all investors should be invested in precious metals is simple. Precious metals don’t lose value in the face of economic failure. That’s right. Savvy investors know that precious metals actually increase in value when financial markets are in a downturn. Why? It goes back to the most basic principle of economics: supply and demand.
Precious Metals like gold and silver are a physical asset. This means that, unlike stocks and bonds, there is a finite amount of these commodities available. When markets start to decline, many investors get out of riskier investments like stocks and put their money into precious metals, meaning that there is less of it to invest in, pushing the value upward. Being invested in precious metals means that while your paper backed investments might be losing value, your precious metals gain in value, preserving the value of your retirement account, much like an insurance policy protects you from loss in the event of an unexpected catastrophe.
What’s more is that while precious metals always perform best under poor economic conditions, they also perform well when economic conditions are good, giving you an extra earnings boost.
So, Why Should I Start a Precious Metals IRA?
As a smart investor, you understand how volatile financial markets can be. Doesn’t it make sense to do what you can to protect your hard earned money? Of course it does. And, starting a precious metals IRA is easy. All you have to do is contact a reputable precious metals IRA company and discuss your options. They will help you decide on an account that works for you. Then they can help you begin the process of moving your existing IRA savings to your new precious metals IRA, a process that is fast, easy and completely IRS penalty free. Stop asking yourself “Why Should I Start a Precious Metals IRA?” And make the most important move you can make regarding your retirement savings strategy today.