As geopolitical uncertainty is pushing the price of gold higher, there has been an increased interest from US investors wanting to buy it for their IRA. The good news for investors is that it is actually very simple to buy gold companies in an IRA account.
How to buy gold in your IRA?
Clients of Interactive Brokers can invest in gold in their IRA accounts through gold stocks or ETFs. Most standard gold ETFs tracking the price of gold are eligible for IRA investment. Gold futures traded on COMEX are also eligible, but the margin requirements in an IRA account are generally double that of non-retirement accounts.
To purchase gold ETFs in an IBKR IRA, clients can use the IBKR trading platform to search for and select the preferred gold ETF, then place a buy order for the ETF using funds available in the IRA. The ETF will be held directly in the retirement account.
Is Gold a good IRA investment?
Interactive Brokers Senior Economist Jose Torres told us:
Gold’s potential as an investment right now is gaining popularity across different kinds of investors including individuals, institutions, and central banks. First off, they provide a way for foreign central banks to diversify their reliance on international currency reserves and/or exposures that could weaken significantly due to the actions of other monetary policy officials.
Additionally, interest among individuals and institutions has grown on the back of concerns that too many central banks have been sustaining accommodative policies due to a rising focus on economic prosperity and labor condition defense rather than the more traditional, old-school cornerstones of currency strength and inflation. When policy is too loose and rates are low, risk free, money-market like returns decline which increases the appeal of the non-yielding precious metal.
Finally, store of value bids are driven at times by the defensive, safe-haven characteristics of the metal. As it’s performed well in certain historical periods, having lesser volatility and greater liquidity relative to risk asset counterparts during times of geopolitical stress and economic uncertainty.
Richard is the founder of the Good Money Guide (formerly Good Broker Guide), one of the original investment comparison sites established in 2015. With a career spanning two decades as a broker, he brings extensive expertise and knowledge to the financial landscape.
Having worked as a broker at Investors Intelligence and a multi-asset derivatives broker at MF Global (Man Financial), Richard has acquired substantial experience in the industry. His career began as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson), following internships on the NYMEX oil trading floor in New York and London IPE in 2001 and 2000.
Richard’s contributions and expertise have been recognized by respected publications such as The Sunday Times, BusinessInsider, Yahoo Finance, BusinessNews.org.uk, Master Investor, Wealth Briefing, iNews, and The FT, among many others.
Under Richard’s leadership, the Good Money Guide has evolved into a valuable destination for comprehensive information and expert guidance, specialising in trading, investment, and currency exchange. His commitment to delivering high-quality insights has solidified the Good Money Guide’s standing as a well-respected resource for both customers and industry colleagues.
To contact Richard, please see his Invesdaq profile.
