If you’ve decided to invest in gold for retirement, you’ll want to do your research. Here are three ways to get started.
If you’ve been watching the gold space, you’ll know that the yellow metal has climbed 20 percent since January 2019, stimulated by increasing global debt, geopolitical turmoil and fears of economic collapse.
Given that increase, many investors may want to turn their attention to as a . While there are to using learn more about here, many successful investors consider the precious metal‘s current price point the perfect opportunity to buy gold.
Read on to find out three ways you can invest in gold for retirement. From physical gold to stocks to gold-backed assets there are diverse options for those who choose to prepare for retirement with gold.
1. Gold for retirement: Buy physical gold
One of the first and perhaps most obvious gold for your retirement is buying physical gold. Generally investors will buy gold in the form of bullion coins or gold bars through a dealer. While that might sound simple, as with any investment, it’s important to do your research and make sure you’re using a reputable dealer.
If you choose to buy physical gold for retirement, you’ll also have to consider where you’re going to keep your gold bars, coins or bullion. Many investors opt to pay a storage fee to keep their gold at a bank depository, but you can also set up your own safe at your home. You’ll need to think about what option is best for you when considering your .
To get more information about physical gold as an investment, check out our guide here.
2. Gold for retirement: Invest in gold stocks
You might think investing in gold stocks is only for investors who are deeply entrenched in the stock market, but the fact is that anyone can invest in gold stocks.
There is a that accompanies this decision, if you make sure you take the time to monitor your investments. That means spending time choosing the right gold stocks to put your money into, and sitting down on a regular basis to determine whether they are stocks that continually benefit your and strategy.
If you’re unsure of how to do that, check out these tips on resource investing from industry experts like Rick Rule, David Morgan and Lawrence Roulston. Alternatively, you might want to invest in gold stocks via a gold ETF like the SPDR Gold Trust ETF (ARCA:GLD) or the iShares Gold Trust ETF (ARCA:IAU).
3. Gold for retirement: Invest in a gold IRA
Finally, if you want to invest in gold for your retirement savings, you may want to consider investing in a gold-backed individual retirement account (IRA). Self-directed IRAs can contain non-traditional investments such as real estate and precious metals, though you’ll have to follow special rules.
For instance, the IRS only allows 24 karat gold bullion bars and coins to be included in gold-backed IRAs (with the exception of 22 karat American Eagle coins). Furthermore, gold used in gold-backed IRAs must be administered by an IRA custodian and stored at a location approved by the IRS — in other words, you’re not allowed to store this gold at your house.
These and other rules can make setting up a gold-backed IRA intimidating — indeed, they’re considered “alternative investments” and require some persistence and expertise to manage properly. But if you’re truly interested in gold for your future retirement, they’re certainly a financial option to consider.
Want more details? Check out these articles for more INNdepth coverage:
- A Guide to Physical Gold as an Investment
- 5 Basic Facts About Gold
- Do You Need Gold for Retirement?
- Should You Invest in Gold Stocks or Gold Bullion?
- How to Use Gold Investments as a Hedge
- Follow the Money: A Guide to Gold Technical Analysis
Want an overview of investing in gold stocks? Check out An Overview of Gold Stocks and Price.
This is an updated version of an article first published by the Investing News Network in 2016.
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Securities Disclosure: I, Nicole Rashotte, hold no direct investment interest in any company mentioned in this article.