Roth IRA Investment Strategies

The Roth IRA is generally considered to be the single, greatest retirement account in financial history. Its capacity to minimize taxation and shelter assets is highly praised across the board. Of all the investment decisions you will likely make in your lifetime, the decision to open a Roth IRA is one of the easiest and simplest. The decisions concerning what you do with it once it is in existence can be more complicated.A Roth IRA custodied at any of the major financial institutions providing such services will likely be diminished to a few types of investments. Additionally, fees (like set-up fees, annual fees, transaction fees, and management fees) can eat into your Roth IRA's profits and further restrict your investment opportunities. The last argument against traditionally custodied IRAs for active investors concerns the lengthy amounts of time it can take to get investments approved by the custodian, possibly sinking good deals.The alternative for an active investor is to open up a self-directed Roth IRA with a smaller non-traditional IRA services company, like NAFEP. NAFEP is committed to giving their clients absolute checkbook control over their IRAs and to keeping fees to an absolute minimum. When shopping for the right company to assist you in opening a self-directed Roth IRA, each company's fee structure should be closely examined.Investment Benefits of a Self-Directed Roth IRAWith a self-directed Roth IRA, the investor has control over when to invest, in what to invest, and when to divest. This freedom is far beyond that offered by a traditionally custodied IRA of any type. Along with this freedom, however, comes responsibility. The investor has to take the time to understand the risks and rewards of any investment. A self-directed Roth IRA gives you the freedom to realize phenomenal growth but you still need good advice and good investment sense.Written By Scott Janko, The National Association of Financial and Estate Planning (NAFEP)For more details on the Self Directed IRA go to Janko is president of The National Association of Financial and Estate Planning. NAFEP is an leader in the self directed retirement planning industry, providing education, training and specialized products to help utilize this unique strategy. 1800-454-2649 info@iracentral.comSource:

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