Investing with IRA funds
Investing with IRA funds
So you finally left the job that held you back and started a new one. You’re excited and willing to work extra hard to make the new one a complete success. You selected your new medical benefits, dental plan, chose a new gym that’s close to work, and now need to take care of the old 401(k) plan that you still hold with your old place of employment. “What do most people do with their former 401(k)?“, you ask. Most people either transfer it to the new employer’s pension plan or open a Rollover IRA at a brokerage firm such as Fidelity.
Either choice will allow you to invest the money in the good old stock market.
But more importantly, the question that you should be asking is, “Is there a better option?“
Well, let me tell you a little secret: you DO have another and a much better choice! You can open a Self-Directed IRA (SDIRA) account with a firm that allows investing in a multitude of options in addition to stock market, such as gold, precious metals, debt such as tax liens, bitcoin, or real estate. You are probably thinking, “Why is this type of an investment kept a secret?” It’s really not a secret, however not many people know about it. And now, you are one of the privileged few who can take advantage of this opportunity.
I’m just giving you food for thought. So if the idea of investing in real estate peaked your interest, and you feel that having more investment choices is appealing, you now have to dig a little deeper and decide whether this is an avenue you’d like to pursue.
I am more than happy to recommend companies based on my personal experience, but you will definitely need to do more reading to fully understand the nuances in order to decide first what direction works best for you.
