To face those decades of life with guarantees of being able to get the most out of being retired, it is hugely beneficial to carry out optimal IRA planning to build a retirement nest egg so that we are financially secure and free from worry about the money we have for those years.
The Individual Retirement Account (IRA)
There are feasible defensive strategies the savers, investors and fund managers can use to protect their investment and retirement portfolios.
Precious metals including gold and silver, along with exposure to Bitcoin ETNs are now considered to be safe havens in a well balanced diversified investment and retirement portfolio.
Carrying out the correct IRA plans can make the difference between a good retirement and an excellent retirement.
Gold, Silver or Bitcoins, which one will we choose to invest?
If you want to carry out a more prudent strategy in the longer term with our money, and that this investment is subject to the minimum possible risk, generating a more or less continued profitability over time.
An investor can invest some of their profits from share dividends into gold to defend their portfolio from inflation and a volatile equities market during recessions.
During recessions, money is devalued because central banks keep printing more and more of it to stimulate the economy.
IRA optimization through defensive rebalancing is done to diversify, mitigating against risk and profitability.
Fighting inflation is not an option, but a necessity to be able to reach retirement free from worries over currency depreciation.
Gold is one of the most feasible options for fighting depreciation because it’s the goto safe haven and used by many central banks around the world as a reserve.
Another precious metal – silver, can be used to carry out an effective IRA strategy.
Compared to gold, silver is cheaper to buy but is more volatile in the short term, however, since silver is so useful, it will always have an intrinsic value.
Since silver is more volatile, there are plenty of opportunities for fund managers to make a profit for investors.
Finally, Bitcoin may be an option with the most risk, especially in the short term as it is extremely volatile.
However, because of the way the Bitcoin network and it’s algorithms work, there are plenty of opportunities for exponential growth.
Investors and fund managers only need to expose a small amount of their capital as both an investment based on long term speculative growth and/or as part of a defensive strategy, a safe haven fund, insurance against a catastrophic economic climate such as the 2008 financial crash or a black swan event such as the coronavirus.
It’s very easy to make the mistake of looking at the all-time highs that Bitcoin reached in the past, to then focus on it’s huge falls, no doubt leaving some investors way in the red on their investment.
A much more insightful historical analysis of Bitcoin can be made if we look at Bitcoin’s yearly lows.
As each year goes by, the annual lowest Bitcoin price is higher than last year’s.
While of course the past is no guarantee of the future, this proves that it’s likely that a Bitcoin investment can be profited from in the future.