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Why a Self-Directed IRA May Be the Best Investing You Could Ever Do

You are probably quite familiar with the investment products known as Traditional IRAs or Roth IRAs. However, you may not be quite as familiar with a product known as a self-directed IRA. While there are some significant differences from their more well-known counterparts, there are still some great benefits to using self-directed IRA custodian companies.

Returns Are Higher

These types of IRAs are wonderful for those with a good working knowledge of how investing works. For those people, self-directed investment opportunities offer the chance to get much higher returns than with the normal way of investing in IRAs.

More Diversity

Diversification is another benefit that self-directed IRAs provide. This is because they allow you to invest in companies that are not necessarily publicly traded. This gives the savvy investor even more opportunity to increase their wealth with options that are not frequently used by others.

Ease Of Setup

There are really no barriers to opening an IRA account of any variety. The only thing you need to qualify is an income that is taxable. Age restrictions do not exist to open an account nor to fund one.

Protecting Your Assets

Since real estate is far and away the most popular asset that is invested with self-directed IRA custodian companies, it is also a great way to protect your assets. There are several ways to improve or exit your plan with the self-directed option. Even if the real estate market takes a downturn, you can still derive income from rentals.