Self-directed IRA investing is becoming more and more popular now for the 60 million Americans who have funds in retirement account.
Major banks are falling by the wayside; the credit markets are tightening worldwide; the sub-prime mortgage mess has crippled the housing market; and even Wall Street, the ultimate symbol of financial largesse, is broke. What does all of this spell out for the average worker with years of retirement funds tied up in a regular retirement account?
Self-Directed IRA Investing: Can It Save Your Retirement Account?
What it means is that retirement accounts, which are traditionally invested in the stock market, are plunging fast. Many accounts have lost as much as half of their value in this economic crisis - with no end in sight.
Man investors are seeking safer havens for their retirement savings, and self-directed IRA investing is one way to get it. More and more workers are shifting their retirement funds to hard, tangible assets in lieu of investing in the volatility that is the stock market these days.
Self-directed IRA investing gives investors the right to purchase real estate and other alternative assets with their retirement funds. Traditional retirement accounts don’t allow this type of investing. They tend to stick to so-called “safe” investments, eg, the stock market, mutual funds, and bonds. But, these are the very financial instruments that are losing value right now.
Real estate, however, is a tangible investment that doesn’t “disappear.” With self-directed IRA investing, you get an investment you can see, touch and feel. It’s not paper money, so to speak. Real estate is a sound investment in a recession or an economic boom. It’s an investment that stands the test of time. And, now is the time to capitalize on it. For, when good economic times return, your investment will have appreciated all the more. What better way to protect - and grow - your retirement funds?
