I recently read an article at WSJ.com with the above mentioned title on a LinkedIn discussion. A gentleman by the name of Brad Versteegh, who is the COO and GM at Daylight Capital responded with the following:
"The devil you know vs the devil you don't....
So many would rather see their investments die a slow and painful death than try something new that they don't understand. I do not profess to be an expert in all financial matters, but I find myself amazed at the general ignorance of the masses. Especially as it refers to "self directing" anything. They are so used to simply getting a monthly or quarterly statement and complaining about the loss or minimal gains. Even when you explain to them how Self Direction works and that you can help them navigate those waters, they would still rather sit there insecure, scared and uncomfortable than to do anything differently.
I am bewildered almost daily....."
I could not have said it any better Brad! Even when having discussions "beer talk" discussions, it seems that people just don't get the concept of taking control of their retirement planning...even my own brother-in-law, who is a business consultant with a very large firm and is very intelligent and knowledgeable, in general, was not aware of the ability individuals have to "self-direct" their retirement accounts.
Now...I will allow for some companies which simply do not allow an employee to roll-over their 401k accounts to a SDIRA until after they have left the company...and some SEP plans which were written originally by the officers (but probably at the recommendation of the financial adviser who was holding and managing the funds)so as to prevent any self-direction...hmmm...wonder why?
Having said all of that, my recommendation is to check to see if you can...indeed...roll it over into a self-directed IRA and take control of your retirement! If you simply leave it alone...how long do you think it will take to recoup the losses you have experienced over the last year and a half?
Here is a link to a webinar which was presented last week by Orchid Bay in Belize which is an outstanding real estate investment opportunity, and by Entrust Northeast, which is one of about 60 offices throughout the country which specializes in the administration of SDIRAs (self-directed IRAs)
Thank you...and thank you to Brad for letting me quote him! He didn't even ask for a plug...Daylight Capital...can you believe that?
Hey...I've said it before and I'm sure I'll say it again...if you're gonna hit 'em...
Hit 'em straight!
SkipJack
1 comment:
You're right, people really don't "get" self-directed IRAs. They do take a bit of work (setting up your LLC etc.)but if you invest in one, they can really pay off. My husband's 401(k)sank like a stone during the crash last fall, while my SDIRA investment was making me a tidy 14%. Keep promoting these, they're a best-kept secret!
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