There is currently an explosion in the self-directed retirement industry. Following the financial downturn of the last decade, there has been a change in the way people view their investment assets. There is fear in the market for individual investors and the scandals involving even the most respected institutional investment firms have driven a deep mistrust of Wall Street.
According to the world’s largest public relations firm, Edelman, the financial services (i.e. investment firms) industry was the least trusted industry in 2014. Hedge fund managers and institutional investors have used alternatives for years as a way to diversify against the market as a whole and during the financial downturn in 2008, many investors learned about alternative assets when seeking safety for gold investments.
Many of us have been told that the only option we have for retirement is to pay a “stockbroker” to manage our retirement assets. In fact, most consumers planning for their retirement have generally had difficulty finding a financial advisor willing to work with clients under a net worth of $500,000. All of these factors are driving more and more people to take control of their retirement planning; to stop accepting unreliable paltry annual returns without any justification from an advisor who they can’t hold accountable; and to open a self-directed retirement account where they can invest in any asset they choose given IRA eligibility.
Investing in alternative assets gives investors more power and the ability to stop relying on advice of an advisor from an industry that is the least trusted across the globe.