A self-directed IRA is a type of Individual Retirement Account that gives the investor more choice and direct control over how funds are invested. Traditional IRAs limit investment options to a set of equity or bond products. A self-directed IRA, however, allows investors to easily include different kinds of assets in an IRA account , such as real estate, tax liens, small businesses, personal loans, foreclosures, gold, and all other alternative investments.
Is a Self-Directed IRA Right For Me?
If you are comfortable handing off your IRA to financial planners who will make investment choices for you, or if you are satisfied with default investment options, a self-directed IRA might not make sense for you. These accounts are most valuable for investors who want control of their IRAs. Investors who want to participate in their retirement strategy, diversify a portfolio, and take advantage of trends in various markets, should consider self-directed IRAs.
Benefits of a Self-Directed IRA
A self-directed IRA can open up the markets to an individual investor, and eliminate the middleman. Here are a few more of the advantages that these products offer engaged investors:
- Confidence in a diverse portfolio. In general, a self-directed IRA makes diversifying your retirement portfolio much easier to do on your own. Integrate elements like real estate, complex funds, or other assets into your IRA holdings.
- Maximum wealth for retirement. Our self-directed IRA comes with a low annual fee rather than a high commission fee, which can eat up your gains.
- Complete control over your investments. Checkbook Control is a popular option that allows you to invest in assets by simply writing a check. You don’t have to fill out paperwork and wait for a custodian’s approval.
Call 800-395-5200 today to find out how you can take advantage of a resource that will provide the trading and investment options you want for your retirement account.
How Does the Ultimate Self-Directed IRA Work?
Getting started with the Ultimate Self-Directed IRA is a simple, straight-forward process, and Broad Financial will take care of most of it for you.
- Broad Financial facilitates a new self-directed IRA at a registered self-directed IRA custodian.
- Funds from existing retirement accounts—like IRAs, 401(k)s, etc.—can be rolled over, or the new self-directed account can be started with an initial contribution.
- Broad sets up a Limited Liability Company (LLC) for the self-directed IRA. The LLC will serve as the investing platform for the plan. Each LLC is customized to adhere to the laws and regulations that govern self-directed IRA investment platforms.
- The self-directed custodian invests the self-directed IRA in the newly formed LLC. This is called “capitalization,” and is similar to buying stock—the self-directed IRA buys all the “shares” of the LLC, so the self-directed IRA owns the LLC.
- The custodian sends a capitalization check to the account holder. The account holder can now open a checking account at the bank of his or her choosing in the name of their LLC.
In five simple steps you are free to start investing!
Testimonials for Self-Directed IRAs
“I just wanted to tell you that all of my dealings with Broad Financial have been an absolute pleasure. Your staff helped me roll-over my 401k to a Self Directed IRA, providing me with checkbook control. I’m now able to control my retirement account without having to deal with a custodian, an incredible convenience. Your staff was very knowledgeable and helped me every step of the way. Upgrading to the Ultimate IRA was the greatest thing I could’ve done for my retirement. Thanks again.” — Jeffrey Unger, Clifton, New Jersey
“Of all the people I interviewed to set up my self-directed IRA, Broad Financial had the most knowledge and the least expensive fees. I have been quite satisfied with the result, as my property acquisition through my IRA funds completed with no issues. I highly recommend their services.” — Elisabeth Schwartz, Englewood, New Jersey
Read more testimonials from Broad Financial clients.