Investing in Alternative Assets with a PENSCO Self-Directed Retirement Account

Alternative assets can be a way to get greater diversification in your investment portfolio and hedge against the cycles of stock and bond markets.

Why would you invest in alternative assets in a retirement account? For the same reason you invest in stocks or bonds in an IRA or other tax-deferred retirement account—for the tax benefits they offer. You can invest in many types of alternative investments.

Investment Choices

In fact, your choices are almost unlimited for what you can invest in within a self-directed PENSCO retirement account.

Risks and limitations

Some investors choose alternative asset investing because they're seeking greater returns. Keep in mind, however, that greater potential returns can mean greater potential risk with less liquidity, so consider carefully when choosing your investments.

Alternative asset investing isn't for everyone. They can have more risk, so you should understand the risks before making an investment.

The investments you hold in a self-directed retirement account are subject to a variety of IRS rules you should be familiar with before you make an investment or a transaction, including what the IRS deems as prohibited transactions.

We recommend that you consult with a qualified tax professional or investment advisor regarding your particular situation.

Learn more about alternative asset investing.

Make an investment

Do you have an account with us and are ready to make an investment?

Most alternative investments need to undergo a PENSCO administrative review for acceptance before you can purchase and complete an investment. The length of the review process varies quite a bit, as it will depend on the asset type, how the investment is structured, etc.

For more about the review process and how to submit the proper paperwork for an investment:

If you have a question regarding the acceptance of a specific investment you have in mind, please contact us. While we can't advise you concerning the merit or particular structure of a specific investment, we'll do our best to answer any questions about whether or not PENSCO will be able to custody it for you.

Next step

If you're interested in making an investment but not yet a client, open an account.