Self-Directed IRA Benefits

Self-Directed IRA Benefits


 

Self-directed IRA accounts offer IRA holders the ability to choose the types of investments that meet their needs. Account holders enjoy the flexibility that a self-directed account provides—clients have invested in assets as varied as trees, oil, and livestock.

Investors can rely on their own investment expertise to make tax-free or tax-deferred investments in assets they know and understand. For instance, a self-directed IRA with investments in real estate can charge rent to tenants or visitors, allow land to appreciate in value, rent commercial space to a business, fix-and-flip property, and much more. The property can also be distributed for personal use after reaching retirement age.

While most IRA providers limit investments to publicly traded securities, funds, or bank CDs/savings accounts, a self-directed IRA account empowers investors to put funds in alternative assets and realize the true depth of their investment opportunities.

Self-directed IRAs grant investors control and diversification of retirement funds, while giving them the ability to adapt to economic conditions. With ongoing stock market volatility, more investors are turning to self-directed IRAs to invest their retirement funds in what they know and trust.

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