The Advantages Of Adding Precious Metals to Your IRA or 401K

Whether you're a seasoned investor or you're just starting out, you have worked diligently to secure your financial future. However, there are various financial conditions that can affect the stability of your investments. Regardless of where you live, the U.S. or abroad, the economy can wreck havoc on your retirement income, pension plan and other financial investments. According to financial experts, an investor should have 20 percent of his/her portfolio in precious metals with the current economic climate.

If the weakening of the U.S. Dollar and the unpredictability of the stock market is having you wonder about the security of your financial future -- you're definitely not alone. More and more people have become concerned about their financial future. Don't let these frightening factors place your hard-earned money at risk.

Why Precious Metals?

Regardless of the time period in history, precious metals have always remained a hard asset - unlike stocks and many other investments.  Unlike other investment options, precious metals, such as gold, silver, palladium and platinum are considered an excellent guard against value erosion. Regardless of whether an economy is experiencing inflation or financial instability, precious metals have stood the test of time.

Gold, silver, palladium, platinum and bullion have helped sustain people’s savings against the harmful effects against unpredictable market events. This is why precious metals are considered a sound investment. These valuable precious metals can serve the same function for your 401k and IRA.

Types of Precious Metals to Place in a 401k or IRA

A precious metal must be recognized by a national mint in order to have precious metals placed in a 401k or IRA. Below include the types of metals that qualify:

Gold. Gold bars from an assortment of qualified refiners, Austrian Philharmonic coins,Canadian Maple Leaf coins and  American Eagle coins.

Silver. Silver bars from an array  of qualified refiners, Austrian Philharmonic coins ,Canadian Maple Leaf coins and American Eagle coins.

Palladium. Canadian Maple Leaf coins and Palladium bars from various qualified refiners.

Platinum. Isle of Man Noble Coins, American Eagle coins, Canadian Maple Leaf coins and Platinum bars from qualified refiners.

How it Works?

All you have to do is move your IRA to precious metals by transferring your existing IRA to a qualified precious metals IRA custodian. You can also rollover your 401k as well. The next step would be to talk with a precious metals specialist.

Advantages of Placing Precious Metals in an IRA

Buying gold, bullion, silver, palladium and platinum allows you to diversify your traditional IRA or Roth IRA.  Best of all, you can even transfer your existing IRA to a qualified precious metal IRA without accumulating fees or taxes. You can also take possession of bars, coins and sell them in the future or you can cash out on your metal holdings. The bottom line is, precious metals allows you to have a more flexible and balanced portfolio.

Do you want more information or have questions about investing in gold and silver? Feel free to contact me at blakepollack@gmail.com.

Benefits of Investing in Precious Metals

Why would I invest in gold instead of other investment options?  Gold is a tangible investment and it’s one of the few investments you can actually hold in the palm of your hand. For decades, streetwise investors have acknowledged that gold plays a major role in having a diversified portfolio. Plus, it has been recognized (for decades) as a safe haven asset in this unstable economy with true value.

Gold has also experienced a series of consecutive successes, for example, in September, gold sky-rocketed. According to analyst, it has had the longest “winning streak” since the 20s. Gold is expected to climb to $2,000 an ounce by the end of 2011. By the end of 2012, it will rise to $2,300 an ounce. You can’t go wrong when investing in precious metals.

Many investors are also placing their IRAs into precious metals.  More and more people are investing in gold, silver and bullion coins like never before.  Here are a few more good reasons to invest in precious metals like gold:


Gold & silver guards against inflation.

While other investments are losing money left and right, gold and silver are doing just the opposite. Precious metals are the ideal investment because when inflation is on the rise, the value of gold and silver increases.

Precious metals are marketable and liquid.

Gold is an excellent way to increase the marketability and liquidity of your portfolio.  This is mainly because of the high demand the precious metals market has been experiencing over the past few years.  

Precious metals are a tangible investment.

As mentioned previously, you can hold precious metals in the palm of your hand.  Unlike stocks and mutual funds, you can take possession of your investment and keep it safe and secure in a safe deposit box.

Choose from a variety of precious metals.

You can choose to invest in an assortment of precious metals like platinum, gold, silver, etc.  Another reason why many investors love precious metals is because it offers flexibility.  You can customize your investment strategy according to your investment needs.  You can even choose precious metal funds which allow you to invest in multiple metals.

Precious metals are world-wide currency.

For hundreds of years, precious metals have been used globally as currency.  If you own precious metals, you can exchange it for currency anywhere in the world. Keep in mind, that you can use it as currency only if you actually have it in your possession. This doesn’t apply to stocks or precious metal funds.

Diversify your portfolio with a precious metal investment.

Having a diversified investment portfolio is crucial in these tough economic times.  When you invest in precious metals, you’re diversifying your portfolio.  As a result, you’re maximizing your returns and reducing risks. You can actually add these investments to decrease the trading volatility and boost the trading stability.  

Do you want more information or have questions about investing in gold and silver?  Feel free to contact me at blakepollack@gmail.com.

Do you want more information or have questions about investing in gold and silver? Feel free to contact me using the form below and I'll get back to you ASAP!

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Gold is More Expensive Than Platinum?!?!?!

It seems like everyday we reach a new record high in Gold.  Today was an interesting new high as Gold prices reached and then continued to soar above the price of Platinum.  This jump in price came after Standard and Poors downgraded the US Credit Rating from "AAA" to "AA+"...Wow!  The Dow also fell over 634 points for the largest one-day decline since 2008.  We pretty much saw RED across the board today, except with precious metals.  I think it's time to really consider where your retirement money is.  I know mine is in precious metals and I highly recommend putting your IRAs and 401k into precious metals.  If not all of your retirement money, than at least a large chunk of it.  Obviously, the market agrees with me as prices and demand continue to increase!  My recommendation is to buy gold, silver and palladium...diversify within precious metals.

Do you want more information or have questions about investing in gold and silver?  Feel free to contact me at blakepollack@gmail.com.

Isn't it too late to Buy Gold or Buy Silver?

I get this question more than any other question and the absolute answer is 100% NO.  People have been asking me this question for 2 years now when gold was half the price and silver was even less.  Just because gold and silver prices are high, all indicators point to an increase in pricing for precious metals, just like the did 2 years ago.  Every analyst will tell you that this economy is not getting better anytime soon AND that means one thing: Invest in hard assets!!!

Analysts used to say that 5%-20%of your total portfolio should be in precious metals.  The analysts that I personally know have now changed that number to somewhere around 40%-50% and they have followed these statements with their own money.  I have analysts transferring their entire IRA and 401k rollovers into gold and silver.

Believe me...it's not too late!!!

Do you want more information or have questions about investing in gold and silver?  Feel free to contact me at blakepollack@gmail.com.

Leverage...like a glass of wine

Many people looking at leverage as a bad thing because many people have negative experiences using leverage.  The truth is leverage can be one of the best investment tools to make money in the precious metals market.  In fact, every millionaire I know has used leverage as an investment tool at one time or another.  The problem exists when you use too much leverage.  As I mentioned earlier, the 3 rules of investment are:

1. Be in the correct asset class
2. Diversify in that asset class
3. DON'T USE TOO MUCH LEVERAGE!!!

Follow these 3 rules of investing and you will make money 85% of the time.  Leverage allows you to borrow other people's money to make profits BUT you are protected on the downside if the investment goes south (meaning you don't have to pay back the money borrowed...or a non-recourse loan).  Many people abuse leverage and borrow 5, 10 or even 100 times their money.  The problem with using too much leverage is if the precious metals value decreases by even a small margin, you are asked to make a margin call (or invest more money).  The markets fluctuate on a daily basis and, leveraging your money like this, will almost always result in a margin call.  The most you should ever leverage your money in a gold or silver account, is 3 to 1.  Meaning if you invest $100,000, you'll have $300,000 worth of metals.  Anymore than this and you are breaking the rules of investment!  I would never go above 3 to 1 leverage and I would never put another investor in more than 3 to 1 leverage as I don't believe it is a good thing.  With this being said, I personally made over 250% on my precious metals last year because I used leverage correctly.  The most important thing is understanding how leverage works before you use it (just like anything else)!  Remember, leverage is like a glass of wine...1 glass per day is good for you...9 glasses per day is abuse...

Do you want more information or have questions about investing in gold and silver?  Feel free to contact me at blakepollack@gmail.com. 

No Social Security Checks?

President Obama released a statement today that there was no guarantee social security checks would be paid on Aug. 3.  This means that 27 million Americans may be without their social security money.  If that is not alarming, then I don't what is!  After that statement was released, Gold also soared to an all time high of $1,568 per ounce.  Is there a relationship between the two?  ABSOLUTELY!  Are economic times looking up?  It doesn't seem that way and THAT is why people are investing in precious metals.  Almost every analyst will agree that the dollar will not get any stronger for a while.  That means gold and silver prices will continue to rise through, at least, 2012.  We may not be sure about the strength of the US dollar but gold is gold and silver is silver...there is only a limited amount on Earth!

Do you want more information or have questions about investing in gold and silver?  Feel free to contact me at blakepollack@gmail.com.