What are the Best IRA Investment Options?
Anymore these days, it's difficult to know what the best IRA Investment options or strategies are because there are so many options and risks with each. Obviously, the best IRA Investment strategies are they ones that produce the greatest returns. The challenge is that typically the investments that product the highest returns usually carry the highest risk. So you must determine the best IRA investments that work for you based on your age, income and how many years before you retire.
What are some IRA Investment Options?
Most people that have a retirement account have a financial planner manage the account for them. This person is responsible to seek out the very best investment options for the individual and give advise as to how aggressive the individual should be based on age income and how long before retirement age. There are so many different IRA investment options, that it's always a good idea to seek help for a qualified financial advisor.
Most financial planners are most familiar with mutual funds, which qualify as one of the IRA investment options. Mutual funds are great if you are looking for a conservative approach to growing your retirement account. This is where your money is combined with several other investors and used to buy stocks from multiple companies.
Stocks are the most common IRA investment option because they have the potential to yield higher returns, but they are much riskier. Most financial planners will advise you to diversity your portfolio so you are not so vulnerable with major changes in the market. Gold, Silver and Platinum are precious metals and tend to increase in value as stock prices decrease. Both of these investments are great options which allow for volatility in the market with continual upside growth in your retirement account.
CD's are another conservative approach when looking for IRA investment options. These are super low risk investments but can yield 3% - 5% returns annually.
While all these are great IRA investment strategies, there is one other option that most financial planners won't tell you about... either because it's too risky or because it involves a little extra work. But this little extra work can yield returns of 15% to 25% annually and there is little risk when you know what you are doing.
This IRA investment option is called real estate investing or foreclosures. Some might think it's risky to invest in real estate or foreclosures right now because of the bubble burst, but now is by far the best time in history. When you can pick up foreclosed rental home for under $30K and rent it out for $500 a month, it doesn't take a genius to realize that's close to a 20% return per year.
There is definitely no shortage of properties right now that have been foreclosed and returned to the bank, so the most challenging part is the research. You want to find the best properties that are in the best neighborhoods, with little crime, where the rental market is strong. We have found a direct feed to these types of properties so you can see for yourself.