This makes them a good choice for those who are worried about another recession or a market crash. For all of these reasons, investing 5-10% of a retirement portfolio in gold and silver is a reasonable choice for many investors. Gold is generally not a good investment, particularly not for a retirement portfolio. While it is somewhat useful as a countercyclical asset and can be used as a store of value, it is volatile and regularly shows sharp price declines.
Investors saving for retirement should generally stay away. If you decide to invest in a precious metals IRA, you should do so conservatively. Depending on your financial situation, most experts recommend investing no more than 5 to 10% of your retirement savings in precious metals. The easiest way to add gold to a portfolio is with an ETF called SPDR Gold Shares, commonly known by the symbol GLD.
For example, the Internal Revenue Service (IRS) only allows 24-carat gold bars and coins to be included in gold-backed IRAs (with the exception of 22-carat American Eagle coins). You may think that investing in gold stocks is only for investors who are deeply entrenched in the stock market, but the fact is that anyone can invest in gold stocks if they’re willing to put in some work. From physical gold to stocks to gold-backed assets, there are a variety of options for those who choose to use gold to prepare for retirement. One of the first and perhaps most obvious gold investment options for your retirement portfolio is physical gold.