Building a Multi-Asset Self-Directed IRA Portfolio

We know. It sounds fancy. “Multi-asset.” It may even sound like something that only accredited investors do. But a multi-asset portfolio in a Self-Directed IRA simply refers to holding assets from different asset classes, like gold or real estate. And when you do this, you not only spread out the risk present in a portfolio, but you potentially give yourself some peace of mind. Even better news? With a Self-Directed IRA, you can store more in a tax-protected account than you might have imagined. Let’s explore a few of those asset classes and what they are—and then offer tips for including more than one in your portfolio.

Understanding Your Self-Directed IRA Options

Real estate is one of the most popular alternative assets among Self-Directed IRA investors. Whether it’s residential rentals, commercial property, or raw land, real estate tends to generate steady income and long-term appreciation. It also behaves differently from stocks, which helps balance out market exposure. That said, any income generated from the property has to go back into the IRA, and the IRA, not you—will have to cover the expenses.

Precious metals are another favorite option for investors. Gold gets the most attention, true. But silver, platinum, and palladium are also permitted under IRS rules. These assets tend to hold their value well during economic uncertainty and can offer a sense of stability when other investments are bouncing around.

Private equity and private loans also play a role for some investors. Through a Self-Directed IRA, you can buy shares in a private company or lend money to others for real estate deals or business ventures. These investments can offer attractive returns, but they also come with higher risk and less liquidity than publicly traded options.

Are you limited to these? No, but it makes a good introduction to some of the most popular options in retirement investing.

Combining Asset Classes, the Smart Way

Once you understand the range of assets available, the next step is figuring out how to combine them in a way that makes sense. The idea isn’t to collect investments like trophies. It’s to build a balanced mix that can support your goals, protect against market swings, and provide a few sources of potential growth or income. And the truth is, the right mix is different for everybody.

Start by thinking about what kind of risk you’re willing to take—and what kind you’re trying to avoid. If you already have heavy exposure to stocks in a 401(k), maybe you’ll want your Self-Directed IRA to lean more heavily on real estate or tangible assets like gold. If you’re close to retirement, it might make sense to include income-producing investments like rental property or private lending rather than speculative bets. Consult with a financial planning professional to get the best tips for your situation.

You also want to consider the logistics. Some asset classes require more hands-on involvement, especially real estate or private deals. Others, like metals or crypto, are more passive once you’ve made the purchase. Make sure the investments you choose align not only with your goals, but with the time and attention you’re able to give them.

It helps to work with a custodian who’s experienced in handling multiple asset types. They can help you stay on the right side of IRS rules and make sure your paperwork is in order. A financial advisor can also help you fine-tune the mix based on your retirement timeline and long-term outlook.

Want more information about setting up a Self-Directed IRA portfolio that has multiple types of assets within it?

Reach out to us here at American IRA by dialing 866-7500-IRA today.