The familiar traditional and Roth IRAs containing paper assets have been declining in value because they are subject to the worth of the U.S. dollar. Today’s investors are discovering that gold-backed IRAs have been steadily increasing in value and therefore provide far better safety and appreciation for their holders. Here’s why:
When investors design their portfolios three factors are most important: Safety, Diversification and Potential Appreciation. For many people, this begins with a 401K, a traditional IRA or a Roth IRA. These may be comprised of cash and/or paper assets such as stocks and bonds. The goal, of course, is to have the value of these IRA holdings remain stable at the very least and hopefully increase before it becomes time for retirement.
The Current Economy Jeopardizes IRAs with Paper Assets
Since early 2008, when the economy began to decline due to bank failures, rampant mortgage foreclosures and other problems, the value of the U.S. dollar has taken a beating. As the dollar was devalued, so were the paper assets backed by them. In simpler terms, conventional and Roth IRAs also declined in value. Now, the term ‘diversification’ had new meaning to many investors who were asking, “What other assets can we purchase that are not subject to all these financial problems?” The answer was obvious: Gold has always been considered a safe financial haven during troubled times. It is also the best-possible hedge against inflation.
Gold Roth IRAs Offer Safety, Appreciation and a Hedge Against Inflation
While the value of the U.S. dollar and other key global currencies has declined, gold has continued an upward trend as shown in the 5-year Kitco Metals graph below:
The above graph shows clearly that gold has remained a ‘safe’ investment and has ‘appreciated steadily’ over the 60-month period charted. The U.S. dollar, however, has suffered a steady decline, especially since 2008. In addition, gold prices increased more than 450% since 2000. At the same time, the Dow Jones Industrial Average gained just 20%. The advantages of converting from paper assets to gold are clear indeed. Moreover, many investors have been rolling over to gold mainly because of the available profit potential.
Converting to a Gold Roth IRA is Easy
Currently, millions of dollars in IRA holdings are being rolled over into gold and silver each month. Making this conversion is completely tax free and penalty free. IRA specialists at well-known companies such as American Bullion can easily assist customers in transferring all or a portion of their existing IRAs or 401Ks into a physical gold roth IRA account. This entire process is simple, secure and hassle-free. You can either take possession of the precious metal assets immediately or have them stored in an IRS-approved secure depository such as Self Directed IRA Services, Inc. until you want them.
Add Physical Gold as Bullion Coins or Bars
After deciding to add physical gold to your portfolio, you can select from a wide variety of proof and bullion coins or bars that are approved for IRAs. These include American Gold Eagle bullion coins, Canadian Silver Maple Leaf Coins, American Gold Eagle Proof Coins and many types of bars including Pamp Suisse, Credit Suisse, and Johnson Matthey.
For more information on converting your tradition Roth IRA into a Gold Roth IRA, please contact American Bullion Inc. at 1-800-326-9598 or email us at info@americanbullion.com today!
