Gold IRA Guide Research Shows That Gold Can Effectively Protect and Improve Returns in IRAs

NEW YORK, Dec. 8, 2016 /PRNewswire-iReach/ -- Adding gold to a well-diversified Individual Retirement Account can improve total investment return and reduce the portfolio's risk of loss over long periods of time, says a new research report released today by analysts at Beta Capital.  The study, commissioned by Gold IRA Guide, analyzed data covering a time span of more than 40 years and is the first research report of its kind.  The report augments a recent survey conducted by Gold IRA Guide that revealed most Americans were unaware that gold can be owned in an Individual Retirement Account.

Beta's methodology for the study was to identify widely recognized benchmarks as surrogates for stocks, bonds, and cash and then model three baseline portfolios made up of various proportions of those benchmarks.  Those baseline portfolios included a conservative mix, a moderate mix, and an aggressive mix.  To each of the baseline portfolios differencing allocations of gold (using another widely recognized benchmark as its surrogate) were added.  Each of the twelve model portfolios was then back tested from 1972 to 2015.

The report, entitled Does goldmake sense in an IRA? This deep study aims to answer that question. shows that the inclusion of gold helped improve overall investment returns by 3.41% in the aggressive portfolio, 4.34% in the moderate allocation, and fully 8.27% in the conservative account.  And, including gold helped lower the standard deviation in all but one of the model portfolios.

"I have to admit that I was a little surprised by what we found," said Anthony Termini, Managing Partner at Beta Capital and author of the study.  "Intuitively, one views gold as a hedge against catastrophe and not so much as a necessary component of a deliberate, durable asset allocation.  But, we found that the addition of gold to an IRA indeed helped to improve portfolio returns reduce risk over the course of the study's time frame."

The research report appears to be the first of its kind to study gold investments in retirement accounts and clearly is the first report to back test various asset allocations including the precious metal.  Citing data from the Investment Company Institute, the study, shows that Americans currently hold fewer than 2.5% of their retirement assets in gold

About Gold IRA Guide

Gold IRA Guide's mission is to provide investors with information about precious metal investing.  The company believes that investing through an IRA is one of the best ways to invest in gold, as you get tax advantages and various ways to invest. Whether you're interested in gold coins, pure minted bars, EFTs or stocks in gold mining companies, you will find the information you need on this website to get started on the right path.

Media Contact:Anthony Termini, Beta Capital LLC, 3475665678, beta.capital.hedgefund@gmail.com

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SOURCE Gold IRA Guide