A self-directed IRA is an account that allows you to make decisions about the kinds of investments that will be included in your retirement plan. This gives you more control over the kind of growth you get with your account and the amount of risk you put into your investments. The IRS requires that you have a custodian or qualified trustee hold all of your IRA assets for you and make all the transactions and records necessary to keep up the accounts.
Many custodians will typically offer you a selection of traditional assets like mutual funds, stocks and bonds to start out your account. However, if you want to make different kinds of investments, there are other options available. With our Self Directed IRAs and our custodians, you can choose freely from a long list of items including but not limited to private equity, franchises, partnerships, real estate, precious metals or tax liens in your IRA. People will frequently flip houses or invest in other types of hedge funds, foreign stocks or royalties to grow the value of their investments. We also often recommend unique opportunities that can cater to your specific financial expertise.
There are some types of assets that are not allowed to be included in an IRA. Life insurance is a common restriction people are surprised about. You are also prohibited in including collectibles or tangible personal property except for investments in some kinds of bullion and coins that were minted by the U.S. Treasury. You must also choose a qualified person to make these transactions on your behalf. Your spouse, siblings, parents or grandparents, descendants or a company that you hold a stake in are forbidden.
However, with us, we have the proper financial institutions and custodians to let you invest your IRA however you want as easily as possible.