Your retirement investments are most likely going to be the most important investments you ever make. The reality is that we work all of our lives in an attempt to set ourselves up nicely for our golden years. With so much going on economically and geopolitically around the world, a traditional IRA may be a dangerous idea. Today, we’ll talk about the economic and geopolitical turmoil we’ve seen and how making the decision to start a gold IRA could be a great way to protect your retirement investments.
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Issues I’ve Noticed Around The World
While the stock market seems like a great place to be right now, the growth we’re seeing itself can be a sign of danger along with several other dangers. Here are some of the most pressing issues I’ve noticed.
Dangerously High Valuations – When a stock’s price rises faster than the corporate earnings of the underlying asset, it’s a cause for concern. It means that anyone who buys the stock at that price is grossly overpaying for their purchase. When investors start to realize overpricing, it tends to send a sell wave through the market. Well, today most stocks on the market are dangerously overvalued. This could prompt a selloff; leading to a market correction.
Economic Concern In The Eurozone – While the beginning of the year looked great for the Eurozone, the middle and end of the year have been horrific. Currently, the multi-country currency zone is teetering on the brink of a technical recession as a result of the sanctions placed on Russia and poor economic data within the countries under the Euro. Because the United States economy depends greatly on its trading partners, this proves to be an amazing concern not just for the Eurozone; but for the people of the United States and many more around the world.
Geopolitical Tensions – We all know that geopolitical unrest can lead to poor market conditions. We’ve seen it time and time again throughout history. While geopolitical tensions don’t seem to be getting as much air time on major news networks as they used to, that doesn’t mean they’ve disappeared. I’ve been watching the Russia/Ukraine issue closely as well as terrorist movements in the Middle East. From my research, I can tell you that the geopolitical turmoil revolving around these two issues is far from over.
How Gold Can Protect Your Retirement
Historically, as the stock market starts to fall, investors start looking for safer places to nest their money. One of those safe places is gold; leading to a higher demand for the precious metal. As more and more investors start to buy gold, the supply of the metal on the open market dwindles. As a result, the basic laws of supply and demand tell us that the price of gold goes up…it’s historically proven as well. The rise in the gold price could offset any losses you take in the stock market.
Final Thoughts
By taking advantage of gold investments, you can avoid losses in down market times. With the economic and geopolitical turmoil we’re seeing around the globe, and the dangerously high valuations we’re seeing in the stock market, now may just be the best time to make a gold investment!
I’ve never thought about investing in gold, but now that you’ve raised the idea in my mind, I do think I remember hearing my grandpa talk about this a bit when he was still alive. Thanks for the reminders. I’ll have to look into this further.
I think investing in precious metals like gold and silver,will certainly be a nice move towards securing a retirement portfolio against the devaluation of the dollar,but seeing there are so many gold and silver IRA custodians out there ,it makes the decision to choose a trustworthy firm to work with your precious metals IRA a bit hard,this is why I advice any potential investor in this business to carefull study their dealers,so as to make a successful investment
you are right Josh,I think the Trustlink is a great platform where investors can find unbiased reviews about their gold dealers,so many complaints is a big red flag to take into consideration
With the printing presses of the USA, Europe and Japan working overtime to see who can devalue their currency faster, it has never been a better time to be invested in physical gold!
I would say NO… you should not start a gold IRA. The fact that your gold is in someone else’s vault pretty much defeats the purpose of investing in gold (in my opinion) and their storage fees can be pretty steep. If you want gold… go buy it and store it yourself. You also get the added benefit of people able to keep the exact amount of gold you own from the MAN.
Informative article.
If you have an IRA, you most likely have a grasp of how important it is to save for retirement effectively and just how difficult and uncertain that can be. The current global economy has caused more investors to look for a more stable and safe place to store their money. Thus Gold IRA is considered to be the best option.
I was called by many companies to invest into what they claim proof coins, I have spent so many days and nights doing research, and I’m warning fellow investors to be wary of these gold scams, because they might risk thousands if they don’t make a wise decision