Yes, you can invest in real gold or other precious metals for your IRA. The term gold IRA refers to a specialized individual retirement account (IRA) that allows investors to hold gold as a qualified retirement plan. Investors with gold IRAs can hold physical metals such as gold bars or coins as well as securities related to precious metals in their portfolio. A gold IRA is a type of self-directed IRA that allows you to invest in gold bars for retirement
In a regular IRA, you can’t own physical gold, although you can invest in a wide variety of assets that are invested in gold, such as gold stocks or gold ETFs. A Roth IRA also offers flexibility in the type of investments it can hold, but not all assets are easily accessible via IRAs. Certain gold investments may be held in IRAs, but not all brokers offer this option. In other words, when you buy gold in your Roth IRA, you can’t keep the physical bars or coins yourself
The IRS does not allow popular gold coins such as the South African Krugerrand or British state coins to be stored in a gold IRA. While gold may well have a place in a well-diversified portfolio, it’s important to weigh the risks of buying gold versus other assets. Most gold IRA companies recommend or require that you work with a specific custodian and custodian, although some give you a choice of two or more. Record gold sales combined with the appearance of many more companies processing and simplifying transactions have made investing in a gold IRA a one-stop shop.
Since you can also hold silver coins or gold bars, platinum and palladium in a gold IRA, a more correct term is, technically speaking, “precious metal IRA.” Many investors choose gold to diversify their portfolio, either by investing in a gold IRA or buying the metal outright. Many people who open gold IRAs use funds from another IRA to do so, but it’s not a good idea to convert your entire nest egg into a gold IRA. Before opening a gold IRA, remember that it’s not the only way to invest in gold with your retirement savings.
Not all gold is IRA-approved gold, so it’s important to work with a well-rated gold IRA company like Noble Gold Investments when opening a Gold IRA account. Once you’ve opened a self-managed gold IRA, you can transfer cash to the account to fund your purchase of physical gold. Because the gold in a gold IRA must be stored in an IRS-approved depot, you can’t store it in a safe, a home safe, or under your mattress. Unless you have multiple retirement accounts, it would be very risky to convert your entire balance into a gold IRA
Some IRA companies guarantee to buy back the gold from you at current wholesale prices, but you could still lose money if you close the account, which is not usually the case when opening and closing regular IRAs.