{"id":26007,"date":"2019-09-03T18:13:04","date_gmt":"2019-09-03T22:13:04","guid":{"rendered":"https:\/\/www.escapeartist.com\/?p=26007"},"modified":"2020-07-22T02:57:16","modified_gmt":"2020-07-22T06:57:16","slug":"making-teak-a-part-of-your-sdira-guidelines-to-financial-prosperity","status":"publish","type":"post","link":"https:\/\/www.escapeartist.com\/blog\/making-teak-a-part-of-your-sdira-guidelines-to-financial-prosperity\/","title":{"rendered":"Making Teak a Part of your SDIRA: Guidelines to Financial Prosperity"},"content":{"rendered":"

Personally, I\u2019ve always questioned the value added by conventional IRAs to my client\u2019s overall financial stability. In terms of your financial liberty and the investment options available to you, I think that no one should ever sign up for a non-SDIRA. These are limiting in terms of the profits that they offer and don\u2019t even guarantee that you\u2019d be happy with the returns that you make by the time that you\u2019ve retired.<\/span><\/p>\n

When you think about it, there\u2019s nothing wrong with having an SDIRA and there\u2019s a lot of skepticism associated with these. Most of this is because of the hegemony that financial institutions have implemented over investment knowledge, which I think is often used to control people\u2019s financial decisions. IRA managers who handle portfolios don\u2019t look at potentially lucrative financial opportunities, to restrict the investment options to conventional stocks and securities. These are usually low-risk, low-return investment options which aren\u2019t even profitable in the long-run.\u00a0<\/span><\/p>\n

Considering the importance of diversification in your portfolio, traditional IRAs don\u2019t allow you the option of investing in commodities and therefore limit your profit potentials. An SDIRA doesn\u2019t present any such obstacles. With an SDIRA, you can invest in what I consider to be the safest investment of them all; Teak. <\/a>This is the topic of the blog and if you play your cards right; an SDIRA might just land you a new passport <\/span>and <\/span><\/i>ensure long term profitability.\u00a0<\/span><\/p>\n

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Differences Between SDIRAs And Conventional IRAs<\/b><\/h1>\n

There aren\u2019t a lot of differences between conventional IRAs and Self Directed IRAs<\/a>, besides the <\/span>willingness of your custodians<\/span><\/a> to let you make investment decisions. With conventional IRAs, your custodians are fully responsible for the investments that you can undertake with your retirement funds. As such, they will have full discretion in directing your money in whichever investment options they think are best for your financial interests. Although these are safe investments, whether these are in your best financial interests is a question that I look at very skeptically.\u00a0<\/span><\/p>\n

It\u2019s impossible that you could ever be safe from market fluctuations with a strict IRA custodian, nor do I think there are any advantages to just sticking with stocks and bonds for investments. It\u2019s never guaranteed that you\u2019ll make a profit, nor is it ever certain whether you\u2019ll be happy with your returns. So at the end of the day, you\u2019ll be reducing your portfolio profitability potentials <\/span>and <\/span><\/i>still won\u2019t be certain that you\u2019ll be financially stable after retiring. There are so many other much <\/span>profitable investment options<\/span><\/a> out there.<\/span><\/p>\n

Compared to these conventional IRAs, Self Directed IRAs present much better profit potentials. Considering how you can potentially drive your investments in any direction, with a little mindfulness you can make an enviable profit on your portfolios by the time that you decide to leave the workforce forever.\u00a0 You can direct these investments yourself because, with an SDIRA, your custodians act as financial advisors rather than dictatorial investment managers who never let you have your say.<\/span><\/p>\n

In that regard, you could override the wishes of your SDIRA custodians who will comply with your investment decisions under all circumstances. In fact, if your financial advisors are skilled enough, they will take on the challenge to help you build a financial legacy through your SDIRA. As such, this opens many more other investment options that a conventional IRA would never allow you to consider, even though it\u2019s completely legal to do so.\u00a0<\/span><\/p>\n

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Investment Options Through SDIRAs<\/b><\/h2>\n

With full discretion over your investments, in addition to stocks and securities markets, you can <\/span>also choose to invest<\/span><\/a> in the following financial instruments:\u00a0<\/span><\/p>\n