If you are saving for your retirement or any other future endeavor, Gold, silver and or other precious metal should be in your portfolio. If you were to do this, it would substantially stabilize your financial situation, especially during economic hard times.
If you are concerned about your financial portfolio and you need protection from the drastic swings of the stock market, and if you are thinking about the possibility of investing in precious metals, this information could be very helpful to you. People have always looked for a way to safely invest their hard-earned money to grow wealth.
The Power of Gold
Why gold? Because it’s price has gone up for 12 straight years. Think about that: No other asset in the history of the U.S. that we are aware of, has ever gone up like that. Although this trajectory took a break in 2013 and has remained mostly flat in 2014, it could be poised for another move soon.
Gold’s value as a tool to preserve purchasing power has a long proven record of accomplishment. This record even predates the beginnings of the modern financial system. It has not lost its value in over five thousand years. Gold is nature’s true hard asset. It has intrinsic value. Gold has long been prized as a hedge against inflation, the fall of currencies, and the plummeting of the stock market. Since the year 2000 alone, gold’s value has risen by 365%.
Why you should invest in gold
Many benefits come with gold:
One of the advantages is that the value of gold is expected to increase. In fact, over the last few decades the value of gold has been increasing. This means that once you invest in gold, there are very high chances that you will sell it at a higher price that you bought it.
Another advantage is that gold is stable compared to paper IRAs. Paper IRAs are greatly affected by economic situations; therefore, if there is inflation, your investment is meant to suffer a lot, as it will most definitely lose its value.
This is the not the case with gold that has for years been stable. While it can be affected by inflation, it is affected by a very small margin. Due to this, you are guaranteed that your retirement is secure and will have the same (if not higher) value.
Did you know that gold doesn’t tarnish like silver or rust like iron? This is another reason you should invest in this metal. Gold is very stable thus does not react with other elements; therefore, even if you store it for decades you are assured that it will not lose its attractive appeal.
Safe and Easy Tax Relief
Congress passed the taxpayer relief act in 1997, allowing the inclusion of the four precious metals into an IRA. A precious metals IRA is no more than a self-direct IRA except the investment can consist of gold, silver platinum and palladium. Not all gold is allowed as a precious metals IRA investment so knowing what gold is permitted is vital. Gold bullion and 24 Karat bars can be included into a precious metals IRA. However, these bars have to have an authentication hallmark from one of two different authorities: the New York Mercantile Exchange (NYMEX) or the Commodity Exchange Incorporation (COMEX).
A Variety of Options
The IRS also allows certain 24 and 22 Karat gold coins to be included into an IRA. The American eagle, Canadian Maple Leaf and the Australian Philharmonic are the gold coins most commonly included into a precious metals IRA. The gold must also be stored at an IRS approved depository and a storage fee will be charged. In addition, the gold IRA account, like all self-direct IRAs, must have a custodian, such as a bank or brokerage firm. The custodian will also charge a fee so it is best to shop around and compare prices and services.
These are some of the reasons why you should secure your investment with gold IRA rollover. As mentioned before, you should only work with a reputable and experienced company.