By John Tyris, content writer
One of the best ways to expand your holdings in an individual retirement account (IRA) is to invest in precious metals. The precious metals you can hold in your gold IRA include gold, silver, platinum, and palladium. These metals are assets that can protect against currency devaluation and inflation. However, before using these precious metals as a store of value in your gold IRA, they must attain exact requirements for their purity level.
4 Precious Metals you can hold in a gold IRA
As mentioned above, the precious metals you can keep in your Gold IRA include gold, silver, platinum, and palladium. Let's discuss each below:
Gold is by far the most sought-after investment option among precious metals. It is an excellent option for investors who intend to keep their investments for a considerable time. You can obtain gold in many forms, such as coins, bars, and rounds. To store gold in a Gold IRA, you must verify that the gold is in excellent condition. In addition, the purity of the gold bars should be 99.5%. Some gold coins you can store in your IRA include the Canadian Maple Leaf and Australian Gold Nugget.
Silver is another precious metal you should consider holding in your Gold IRA. Investors often look to silver as a hedge against inflation in unstable economic times. Although it is a valuable metal in its own right, silver is not quite as scarce as gold. As a result, silver makes a cheaper alternative for investors who desire to hold precious metals in their retirement plans. There is less demand for silver than gold, making it more volatile and less liquid.
In addition to its status as a valuable precious metal, platinum is also widely used in various commercial industries. Platinum is rarer than gold but not as rare as silver. Since it is much rarer than gold, it tends to sell for a high price when the market is relatively stable. Therefore, platinum is an excellent choice if you are interested in purchasing a precious metal that isn't as renowned as gold.
Palladium is a precious metal used in producing jewelry and other luxury goods, just like platinum. Palladium is a solid choice for investors seeking an asset with the potential to grow in value. Palladium kept inside the IRA must have a purity level of 99.95. The most popular include the Canadian Palladium Maple Leaf and Russian Ballerina Palladium coins. Palladium is a better option for investors looking to keep a less common metal. This attribute makes it a more desirable metal to hold.
A Gold IRA can hold various precious metals. Gold, silver, platinum, and palladium are some metals that fall under this category. Each type of metal is distinguished by its properties. You can hold any of these metals in your gold IRA depending on your investment choice.