It’s not a matter of if, but when the next significant market decline will occur. Utilizing a retirement vehicle such as a self-directed IRA can help you avoid serious loss. A self-directed IRA is an individual retirement account that gives you complete control over your investment choices. Unlike other IRAs, you’re not limited to stocks, bonds, or mutual funds. This means you can take advantage of investing in alternative assets – such as a franchise, real estate, limited partnerships, and gold with your self-directed retirement account.
Opening a self-directed retirement account gives you the freedom to invest in almost any type of asset – meaning you have more flexibility in the amount of risk you take on and more potential for a higher rate of return.
The ability to diversify your portfolio by investing in alternative assets such as a franchise, real estate and precious metals can act as a hedge against market fluctuations and volatility.
Put your knowledge and expertise of a particular industry or niche to good use. Make investment decisions based on what you know and understand to grow your retirement savings.
Investing over time in a self-directed IRA that allows for tax-deferred or tax-free growth can significantly affect future wealth positively.
“Private Placements” is a term that refers to investing in privately held entities, such as companies or small businesses. Banks have recently tightened their purse strings when it comes to lending to these entities, creating a higher demand for development capital from investors.
For those seeking funds, obtaining capital from a self-directed IRA owner can be simpler and faster than the loan process with institutional lenders. For self-directed IRA owners, this type of lending has the potential to bring higher returns than the stock market or CDs.
Providing private loans to businesses is an allowable way to diversify your retirement portfolio. Your self-directed IRA can invest in:
- C corporations
- Private stock
- Private placement memorandums
- Land trusts
- Secured and unsecured notes
- And more
To learn more about the different ways your IRA can invest in private placements, or to make a private placement investment, please Contact Us today.