Ask Terry Questions Investment in Gold in Retirement Account

Investment in Gold in Retirement Account

By Terry Savage on December 21, 2014 | Investments


Hi Terry,
Can you recommend a reputable gold company I can rollover my $25 401 k; i started out w $48,000 w them now I’m Down this quarter to $25,0000. I’d also like to keep a portion of the gold and invest the rest ? Is that possible? Again can you refer a company (investment) I can contact? I’ve have to stop this hemorrhage of my hard earned money!
Thank you!


Terry Says:  Well, let’s make something clear.  It is highly unlikely that you could invest in gold in a company 40l(k) plan.  You likely own a mutual fund that invests in gold stocks.   If you roll the 40l(k) into an IRA with a trustee that is in the business of buying and holding gold bars or coins, then you could own physical gold in a retirement plan, but no 40l(k) that I know of acts as a fiduciary for physical gold.  There are many companies that act as “custodians” for IRAs that invest in gold or real estate or other physical assets — and you can google them to find them.  Just be aware that you can never personally hold the asset; it must be safely stored with the custodian.

I don’t know what investments you made inside your 40l(k) that caused such losses. With the stock market near all-time highs, I can’t imagine what triggered losses this quarter — except for a portfolio concentrated in an oil/energy mutual fund.   That’s why I always recommend wide diversification inside your 40l(k) plan.



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