Invest in What You Know Best with IRA Alternative Investments
IRA alternative investments include real estate, private equity, precious metals, start-ups, cryptocurrency, and much more. These assets can potentially build wealth at a faster pace than traditional stocks, bonds, and mutual funds. As a self-directed IRA owner, you decide what options to add to your plan, making decisions to invest in what you know and understand.
Take Control.
Choose your own investments.
Secure your own future.
Self-directed IRAs allow you to do all of this and more. This short video explains how IRA alternative investments work to help build the wealth you’re looking for in retirement.
Check it out now.
Types of Alternative Investments
Real Estate
Popular assets include commercial and residential properties, renovation projects, improved or unimproved land, and tax liens and deeds.
Private Lending
Your IRA can loan funds to friends, other investors, and family members who aren’t considered disqualified persons to earn income on the interest and terms.
Checkbook IRAs
These structures allow you to write checks from your IRA funds to make timely acquisitions and to pay bills related to those assets.
Private Placements
Self-directed IRAs can invest in private equity, private stock, startups, hedge funds, and with other investors in an LLC seeking capital to invest.
Cryptocurrency
Buy, hold, and sell any form of cryptocurrency, like Bitcoin, and maintain the tax-advantaged status of your account.
Other Investments
Nearly endless options—Futures and forex trading, precious metals, oil and gas rights, timberland, farm land, commodities, and much more.
Why Invest in Alternative Assets?
Alternatives present a broad asset class that typical retirement plan custodians (banks, brokerage accounts, employer plans, etc.) do not allow. This is why savvy individuals use self-directed IRAs—to gain access to options besides stocks, bonds, mutual funds, and CDs. The only investments that are not allowed in self-directed plans are life insurance and collectibles, which means nearly endless options for you to choose from to build retirement wealth.
Invest in alternative assets if you want to:
- Avoid daily stress over stock market volatility
- Use assets that offer unique diversity and greater earning potential in your portfolio
- Rely on your own knowledge and expertise to secure your retirement future
- Invest in socially responsible and sustainable investments that match your core values
- Gain access to tangible assets like multifamily and commercial property, rentals, mobile homes, precious metals, as well as futures and forex, private lending, crowdfunding, and other investments
- Continue to trade options, such as stocks, if you desire—traditional assets are permissible in self-directed IRAs, too
Alternative investments also have the potential to earn greater income in a shorter timeframe than traditional assets. You can use short and long-term assets to maximize the growth in your account within your comfort zone. When you base your investment choices on your own knowledge, you can further increase your chances of reaching your financial goals to save for retirement.
Accounts that Allow Alternative Investments
Traditional and Roth IRAs are popular, with Roth being the favorite for those who qualify to use them. SEP IRAs, SIMPLE IRAs, and individual 401(k)s are great choices for self-employed individuals. Advanta IRA also offers recordkeeping accounts. And, you can self-direct education savings accounts (ESAs) as well as health savings accounts (HSAs).
