Should You Put Your Future In The Stock Market’s Hands Today?

If you have money in the stock market via direct stock ownership, mutual funds, SMA’s (separately managed accounts) or some other “variable investment” then this is the question you need to ask now.

If you are in the stock market, then you’ve already answered part of this question: You are putting your future in the hands of the stock market and the question becomes – should you?

To help you answer this question for yourself, I took a snapshot of headlines from Google Finance today.


Here’s the conclusion I draw from these headlines. Tell me if you agree.

The stock market is unpredictable and uncertain

Here’s why that’s important to you: If your retirement money is heavily invested in uncertain and unpredictable things like the stock market….

…what’s that make your future?

Unpredictable and uncertain right? Your future can’t be certain if you are relying on something uncertain.

So here’s a question for you…

Is there an alternative to the stock market?

Yes. It’s called a self-directed retirement plan and let me share a case study of how this can work for you.

This can be a true –

“Stock Market Neutral Strategy”

That means the headlines you just read like,

“Here’s how ugly it needs to get…” or “…if S&P 500 plunges 7%”

will not have any negative effect on your monthly retirement income. Whether the stock market goes up or down, it will have little to no effect on your retirement account or the money you make in it. You can stop worrying about headlines like these.

How is that possible?

Here’s a case study that illustrates how this is working for one Self-Directed IRA client and how it can work for you too.

John was fully invested in the stock market through his IRA at a well known Brokerage firm. He saw his account go up, then go down, then go up, then go down again. He came to the conclusion that these swings in stock market values would not create a predictable, consistent, secure income in retirement.

What did John do?

He transferred his retirement money from his plain vanilla IRA at the brokerage house to a truly Self-Directed IRA. He then purchased two rental properties in his self-directed IRA. John’s IRA is a passive investor. There is a property manager that takes care of the properties for his IRA and works with the tenants.

He paid less than $50,000 for each property. The monthly rent collected by his self-directed IRA is between $700 and $800 per property. He doesn’t talk to tenants or fix toilets – the property manager does that. The tenants who rent from John’s IRA don’t care if the stock market goes down this month. They pay the rent anyway. This is what’s referred to as a stock market neutral strategy.

The unpredictability and uncertainty of the stock market might be a problem you face right now but it’s not a problem John faces. If the stock exchange halts trading on the stock market because it plunges, it doesn’t matter to John; his self-directed IRA still collects $1,400 this month… and that’s money John can spend right now on himself.

Wouldn’t you rather be in John’s situation?

When John moved from the stock market to self-directed he moved from uncertain to very certain. From an ever-changing and unpredictable account value to a predictable stable account value. From not knowing what he could spend every month to knowing to the penny how much he can spend every month.

John decided it was his money, his future and it was time to do it his way.

Is it time you make the same choice?

For more information and to schedule a free, no obligation consultation with a self-directed retirement plan specialist contact Specialized Trust Company at 800-529-3951, option 1.

About the Author

Edwin Kelly is an author, speaker, investor and CEO of Specialized Trust Company. He is considered America’s leading expert on Self-Directed IRA’s. To learn more about getting started please call 800-529-3951 or visit click here.