Why Precious Metals Should Be Part of Your Portfolio
Family Offices, Advisors, and Investors have been investing in precious metals since the prohibition of owning physical gold was lifted in 1974. In 1997, The Taxpayer Relief Act expanded investment eligibility for IRAs. Since that time, gold and silver have risen in value, and not only has the private sector started investing in coins and bars, but the U.S. Government and other governments have been buying up gold and silver for their reserves.
The same reason governments and home offices purchase gold, so should you. Having a stable investment that can hedge against inflation while appreciating is important for every portfolio. When an investor purchases physical precious metals they are taking the risk of the stock market out of their portfolio. Having a diversified portfolio means not only buying a variety of stocks, bonds, and mutual funds, but also diversifying in other assets including businesses, investment opportunities, physical precious metals, or rare collectibles.
When you purchase physical gold and silver you diversify and hedge inflation. As the US dollar or any other fiat currency declines your gold can hedge that decline in purchasing power as an asset that is stabilized and one which can appreciate in value. Banks and Governments have been stocking gold to promote stability against their fiat. The investment allows them the stability to lend money and have the backing necessary to make investments and loans.
Five Reason To Own Precious Metals:
- Gold and Silver Coins and Bars are bought and sold around the world. You can liquidate or use your gold and silver anywhere in the world.
- Hedge Inflation
- Recession Proof
- Tax Advantage - when investing in gold or silver IRA
- Not impacted by the Volatile Stock Market
Therefore, all investors should consider investing in Gold or Silver as an alternative investment option. The higher the net worth the more diversification you may have in alternative investments. Holding all your apples in one basket may hurt your portfolio when you are ready to retire. Look to stable, recession and inflation-proof opportunities, like physical Gold and Silver for your portfolio.
Before we get started with Advantage Gold Review:
Determining which precious metals dealer is reputable and reliable for your investment needs is tough. The Plug aims to provide you with as much useful information as possible to shorten your decision-making process. The Best Gold IRA Dealers want to educate and inform their clients. We've broken down a list of the Top Gold and Silver IRA Companies for your review.
Check out The Plug's list of the 5 Best Gold IRA Companies and find out Is Advantage Gold in our Top 5?
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Who is Advantage Gold?
When you are investing in precious metals you want to work with companies to help you secure your retirement savings and protect your resources. Advantage Gold does just that. They help investors capitalize on the advantages of using a self-directed IRA to invest in physical gold and silver.
A precious metals dealer, Advantage Gold's primary business is SDIRAs. They specialize in helping those nearing retirement age or recently retired diversify their portfolio by investing in alternative assets such as precious metals.
When you have worked a lifetime investing and saving you don't want to lose your retirement because of stock market volatility, government intervention, recessions, or escalating inflation.
You're looking for a trusted Gold IRA company and The Plug intends to give you all the information necessary to help you decide if Advantage Gold or another of our top recommended Gold IRA companies is the best option for you and your retirement portfolio.
Advantage Gold wants to put your education and understanding first when you choose to invest in precious metals. As precious metals experts, their representatives will assist you through the process and they will:
- Educate You on Your Options
- Set up your IRA Account
- Process the Rollover from your current custodians on your behalf
- Be your trusted advisor, even after the first transactions are made
- Buy Back Your Metals when you are ready to liquidate your accounts or sell just a portion of your metals
Advantage Gold Leadership
Both Co-Founders have experience working as Senior Account Executives at a national United States Mint-listed dealer. Both have finance and commodities backgrounds and both want to see the best results for each client.
"At Advantage Gold, we take pride in being the industry leader in precious metal IRA rollovers. Our experts specialize in converting your existing IRA or eligible 401(K) into gold or other precious metals."
Advantage Gold Products: IRA Approved
As a precious metals dealer, Advantage Gold provides the highest quality Self-Directed IRA Services as their primary business. They make sure you are fully aware of the market and the advantages of physical gold in your retirement account while helping you set up a new IRA.
In addition, Advantage Gold sells precious metals both Bullion and Proofs to clients who are purchasing outside their retirement accounts. No matter how you choose to invest in your metals Advantage Gold can assist in the process. Let's check out what's available: (not an all-inclusive list, but a good sampling of what is offered.
IRA Approved Bullion and Coins have certain requirements to qualify for SDIRA accounts. No matter if you are purchasing Gold or Silver, the metals need to meet these minimum requirements:
- Silver must be produced by Approved Mints
- Silver must be 99.9% pure
- Coins must be in Mint Condition
- Gold must be produced by Approved Mints
- Gold must be 99.5% pure
- Gold Coins must be legal tender - face value
IRA Approved Precious Metals Products Available:
Moose Gold Bullion Coins - produced by the Royal Canadian Mint
Great-Horned Owl Gold Bullion Coins - produced by the Royal Canadian Mint
Woodland Caribou Bullion Coins - produced by the Royal Canadian Mint
Wolverine Gold Bullion Coins - produced by the Royal Canadian Mint
Bighorn Sheep Gold Bullion Coins - produced by the Royal Canadian Mint
American Gold Eagle Bullion Coins - produced by United States Mint
American Gold Eagle Proof Coins - produced by United States Mint
American Silver Eagle Bullion Coins - produced by United States Mint
American Silver Eagle Proof Coins - produced by United States Mint
Canadian $10 Gold Polar Bear and Cub - produced by Royal Canadian Mint
American Buffalo Coins - produced by United States Mint
American Buffalo Proof Coins - produced by United States Mint
Austrian Gold Philharmonic Coins - produced by Austrian Mint
What's The Difference Between Bullion and Proof Coins
Investing in coins can be a rewarding venture, but it's crucial to understand the distinctions between various types of coins. In this section, we'll explore the fundamental differences between bullion and proof coins to equip you with the necessary knowledge before making any investment decisions. Whether you're new to coin investing or seeking to broaden your understanding, this guide will ensure you make informed choices when purchasing coins.
Bullion coins are an excellent starting point for investors, especially those seeking a straightforward way to invest in precious metals. These coins are typically made from valuable metals like gold, silver, platinum, or palladium, and their value primarily relies on the metal content. Government or private mints produce bullion coins, and they are widely recognized and trusted within the investment community.
The key points to note about bullion coins are:
a) Metal Value: The value of bullion coins is directly linked to the market price of the precious metal they contain. As a result, their prices fluctuate based on changes in the metal markets.
b) Standard Design: Bullion coins generally feature a standard design that does not change over time. This consistency ensures their universal recognition and ease of trade.
c) Availability: Bullion coins are minted in relatively large quantities to meet the demand of investors. Therefore, they are readily available for purchase from reputable dealers or directly from mints.
d) Face Value: Bullion coins have a face value - bullion rounds on the other hand have no face value
While bullion coins serve as a solid foundation for investment, proof coins are a different category altogether. These coins are specially crafted for collectors and offer a unique appeal due to their superior quality and limited mintage.
To better understand proof coins, consider the following aspects:
a) Meticulous Production: Proof coins undergo an intricate minting process that results in a remarkably detailed and polished appearance. The dies used to strike these coins are carefully prepared, and the planchets (coin blanks) are meticulously handled to achieve a flawless finish.
b) Exceptional Design and Finish: Unlike bullion coins with their standard designs, proof coins boast stunning designs and a mirror-like, cameo appearance. The frosted or mirrored fields contrast beautifully with the intricate, sharp details, making them visually captivating.
c) Collectibility and Rarity: Proof coins are produced in limited quantities, making them rarer than bullion coins. Their scarcity and unique qualities attract collectors, which can lead to potential increases in their value over time.
d) Premium Pricing: Due to their limited mintage and desirability among collectors, proof coins often carry a higher premium compared to bullion coins. This premium reflects their artistic appeal and collectible nature. In addition, the proof coins will generally have a higher retail price.
e) Face Value: As with bullion coins, the Proof coin will have a face value. Rounds, which are typically made by private mints, do not have a face value on their "coin".
By understanding the differences between bullion and proof coins, you can make informed decisions when discussing which coins to purchase for your SDIRA. Bullion coins offer a reliable and straightforward investment in precious metals, while proof coins provide a blend of artistic beauty and scarcity for collectors. Both types have their distinct advantages and serve different purposes within an investment portfolio.
Remember, when considering an investment in coins, it is essential to do thorough research, consult reputable dealers, and carefully assess your goals and risk tolerance. Armed with this knowledge, you can confidently navigate the fascinating realm of coin investing and make informed purchases that align with your investment objectives.
Understanding Self-Directed IRA or Gold IRA for Retirement Accounts
If you found this page you most likely have heard of a Gold IRA. We'd like to take a moment and review with you what a Gold IRA or Self-Directed IRA is and how you can take advantage of this type of investment retirement savings account.
First, you need to know that SDIRA is short for Self-Directed IRA. IRA is short for Individual Retirement Account. This is still a retirement account similar to that of a traditional or Roth IRA. You need to abide by the same retirement account rules when taking distributions. Before 59 1/2 years, you will most likely pay a 10% penalty. After 59 1/2 years you can take distributions from the account in the form of cash (by selling your metals first) or you can take possession of your metals.
Second, a Gold IRA or Precious Metals IRA - is a self-directed IRA. The terms Precious Metals, Gold, or Silver are just a selling reference point for dealers that work primarily with retirement accounts as a means to invest in metals. Gold is a primary choice as the cost is higher and when investing in Gold Coins an investor will be purchasing fewer coins than if they are buying Silver Coins. Check out our blog "Why Buy Silver not Gold in 2023".
Third, a self-directed IRA is not limited to only being used to buy precious metals. Now, who you choose for your custodian may determine if they have the knowledge for you to invest in other alternative investments. If you have an interest in using your SDIRA for purchases other than gold and silver, make sure they know necessary to help you with other investments including; real estate, pier-to-pier lending, cryptocurrencies, or private equity.
Forth, you manage your SDIRA. You need to choose a custodian and you need to choose which secured storage facilities the metals will be stored. You have the control to buy or sell the investments and your IRA will benefit from the loss or gains. You will not be individually taxed on any gains until you take your distributions.
Fifth, you can fund your self-directed IRA 3-ways.
- Use current retirement savings in another IRA and roll over a portion
- Use current or prior employer's 401(k) (check with custodian if you are still working at your employer)
- You can start a New SDIRA by following the guidelines when starting a new IRA. In 2023, the max contribution for those aged 50 or over is $7,500, or under 50 $6,500.
Advantage Gold IRA: Where to Start?
Getting started with your precious metals IRA at Advantage Gold takes a few steps to get going. First, they want to make sure you understand how gold and silver will be a benefit to you and your retirement plan. Having the right knowledge and investment plan will make your metals investing a positive experience. Next are the steps to get your account started:
Opening a Self-Directed Gold IRA with Advantage Gold:
- Open a Self-Directed IRA Account - complete the online application and choose either Strata Trust or Equity Institutional as your Custodian.
- Transfer Funds - Rollover from an existing IRA or 401(k) the funds for your new SDIRA
- Purchase Coins or Bars - Work with a seasoned professional account manager at Advantage Gold to determine which metals are right for you and your investment strategy.
- Take Possession - You cannot take physical possession of the gold you purchase within your IRA. Here you choose the secured storage facility. Advantage Gold recommends Delaware Depository.
That's it you have your account set up and your metals purchased. Now, like other investment accounts, you manage the account. Make decisions to purchase more coins and dollar-cost-average your returns, sell when the market is high and you have positive returns, or hold for the long term. Most Gold IRA companies suggest a hold of precious metals for 10 years.
Company Reviews, Ratings, and Complaints: Is Advantage Gold Legit?
One of the methods The Plug uses to determine a quality Gold IRA company is the reviews and information found in 3rd Party Sources. We review the BBB, TrustLink, Google Profile, Facebook Page, Yelp, Consumer Affairs, or BCA (Business Consumer Alliance). These sources are a mix of Paid Services and Free services where reviews and complaints cannot be auto-filled with positive or negative reviews.
With every review site, we must take a look at several of the issues from the most recent to as far back as we can go. We review complaints, positive reviews, and neutral responses to get our understanding of the company and how they operate and treat its clients. The great thing about review sites is they give people the opportunity to tell others how their experiences with a company went. The bad thing about review sites is competition will post negative reviews and businesses will pay for good "fake" reviews. So take this information with, as they say, a grain of salt.
- BBB - 4.84 Star Rating, A+ Accredited Business, 1 Complaint in 3 years
- Business Consumer Alliance - 6,235 business inquiries, 5 Star Rating based on 2 Reviews
- TrustLink - 484 reviews & complaints, 5 Star Rating **Note not all posts are related to precious metals or gold and silver transactions. Caution looking at these reviews.
- Trust Pilot - 1,516 Reviews, Excellent Standing, 5-Star Rating
- Facebook - 116 Reviews, **Note not all posts are related to precious metals or gold and silver transactions. Caution looking at these reviews, 4.8 Star Rating
- Consumer Affairs - 30 Reviews, 5-Star Rating
- Google Business Profile - 726 Reviews, 5 Star Rating
In a quick overview of the reviews read, the respondents have had a good overall experience with customer service and account setup. They have been satisfied with the educational materials and patients of the account reps.
SDIRA Fees for Advantage Gold
In a review of the website, there is no specific information found for Advantage Gold for their fees. Therefore we cannot provide you with an actual Fee or Fee Schedule for Advantage Gold. However, when you work with Advantage Gold for your Gold IRA you will need to open your account with a custodian. The two companies suggested are Strata Trust and Equity Institutional. In addition, you will need to store your metals in a secured storage facility. The facility recommended by Advantage Gold is Delaware Depository. Here is the Fee we could find with these companies:
- Strata Trust - Precious Metals IRA Fees; Account Set-Up $50, Annual Fee $95, Processing Fee $40, and more - check our their fee schedule here
- Equity Institutional - Set-Up $50, Annual Fee $100, Other processing fees
- Delaware Depository - Fees vary based on using segregated storage ($1.80/$1000 investment) or non-segregated storage ($1.00/$1000 investment)
Make sure you verify current fees before you choose your custodian and storage facility. Many times Gold IRA companies will waive fees for the first year based on minimum transactions.
Pros and Cons of Advantage Gold IRAs
Alternative Gold and Silver IRA Dealers
Before you choose Advantage Gold you should know there are others in the precious metals market that can help you set up your gold IRA. You can click the dropdown button at the top of this page and you can read about several of the companies we have done reviews on. Below are some of our top Gold IRA options:
- Best Overall for Affluent or 1st Time Precious Metals Buyers - Goldco
- Best for the Affluent - Augusta Precious Metals
- Best for Lowest Initial Investment - Birch Gold Group
The Plug recommends before you start to check our reviews. Our goal is to provide you with the best information possible. We review these companies every few months to verify they are still providing the best customer service, education, and investment advice.
Before you choose a company to invest with consider your long-term plans and goals. Work with a company that is established, provides excellent customer service, has educational materials, or even master classes to learn more. Choose a company for your future, not a company for your immediate needs.
Final Thoughts on Advantage Gold
When it comes to Gold IRA companies there is no indication that Advantage Gold is not a viable choice. What we found most interesting about Advantage Gold is its offerings.
Advantage Gold is offering IRA Approved Coins that we have seen little advertising or interest in. We are not saying these offerings are not valid and good, just that there are fewer businesses offering these products.
When it comes to IRA Gold and Silver, we suggest you stick with the coins that are most recognizable and in demand. That will cause some issues; first, the issue may be whether Advantage Gold have these products in stock or can then get them for you. The most sought-after bullion and proofs will have the highest premiums. Demand increases the price of products and therefore you maybe pay a heavy premium above spot.
The best metals are those that are easiest to sell. Unique coins could cause a problem if there are no buyers. If Advantage Gold is the only supplier of a certain coin, you could be paying a hefty premium. Do your due diligence and be informed and aware before you buy.
While we believe Advantage Gold is a viable Gold IRA company, check out a few of our other options.