The Dangers of a Lifetime in Paper
You’ve put in a lifetime of work and with some discipline you’ve managed to save money for your retirement. The hard part is done; now all you need to do is protect it. You should take every step possible to make sure that money is going to be there when you need it.
So, what do you do?
Are you diversified? Most financial experts will suggest diversity in your investment portfolio. If you’re like most investors you probably have a variety of traditional paper investments like stocks, bonds, and mutual funds. But is that enough? Does that make your portfolio well diversified? If you’ve looked into coins as an investment, whether it’s buying gold coins in your IRA or for Direct Delivery, you may’ve found yourself overwhelmed by all the various information out there. It can be confusing, even for the seasoned investor.
What do you imagine when you think about gold? Large gold bars buried deep in underground vaults? Generally, the problem with bars is that unless you’re a large, institutional-sized investor, bars are not going to be right for you.
Coins, on the other hand, are more easily transferrable and much more liquid. It’s much easier to find a buyer for coins than it is for bars. As a rule, most investors don’t know much about bars.
And here’s another reason to buy coins: for a worst case financial meltdown. Many buy coins for survival purposes. They want protection in the event that the worst happens, such as the Federal Reserve printing so many dollars that the dollar becomes worthless. There’s a good argument for this: in the history of all paper currencies not redeemable for gold or silver, many have become worthless at some point in time.
Gold coins make great investments. Over the last 25 years, gold has outperformed the stocks and bonds. In the last decade alone, investors have realized more than a 300% return on investment in gold. That was the past, what about the future? Well, according to the website Market Realist, as long as the Federal Reserve keeps printing money––and there seems to be no reason to believe that they won’t––gold is going to rise:
“The money supply can grow as a byproduct of economic growth. When money supply growth is used to prop up the financial and economic system instead of fuel strong economic growth, the price of gold relates to the growth of the money supply.”
Printing of money will inevitably lead to inflation and inflation helps the price of gold.
For most investors, those who are not institutional investors and those not looking to get into old and rare coins, gold and silver bullion coins issued by a predominant country can be the ideal choice. These would include: U.S. Gold Eagles––the best-selling gold investment bullion coins in the world, U.S. Gold Buffaloes, Canadian Gold Maple Leafs, Austrian Philharmonics, and Chinese Gold Pandas. All of these coins meet the necessary fineness standards to make them suitable for holding in a Self-directed IRA. Collector coins, on the other hand, do not meet these standards under Federal Law.
To note: Although they are popular as a collectable, the South African Krugerrand is not allowed as an investment coin. If you’re looking to buy gold coins in an IRA, the Krugerrand doesn’t meet necessary IRS fineness standards.
Learn How to Start Protecting your Nest Egg the Right Way, Now!
Before you invest any of your money, make sure to do your homework and get the best information available. You can begin by downloading a FREE Gold and Silver Investing Guide that will help answer many of your questions about gold investing and coins, which coins are the best investment, and investing gold in an IRA.
In our gold guide you’ll find answers to questions like:
Full of answers to these and other questions as well as many important money saving investment tips, this guide has helped teach many of our clients to invest like experts. If you’d like to save precious time and possibly thousands of dollars, you need to read this today!
