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Diversifying Your Portfolio Made Easy: Private Equity Investing

Private Equity Investing Made Easy

Self-directed IRAs offer access to a wide range of investment options including private equity. Whether it’s a commercial real estate investment, seed capital for a start-up, a capital raise for an existing business, an investment syndication, a hedge fund, an investment partnership or something else, a self-directed IRA lets you invest on a tax-advantaged basis, keeping investment gains and income tax-deferred (or even tax-exempt). More options mean more opportunity to diversify your portfolio outside of Wall Street—something you won’t typically find with most banks and brokerage firms.

 

Benefits of Private Equity Investing

Investing in private equity certainly isn’t for everyone, but for sophisticated investors with knowledge or experience in a particular field or the knack for spotting companies on the rise, private equity may make a great addition to your retirement portfolio. The advantages include:

•  Put your knowledge and experience to use in a way that can enhance investment returns and grow your retirement portfolio
•  The choice to tap your retirement funds when an investment opportunity arises in private companies and entities
•  The ability to buy, sell and exchange equity in a tax-advantaged account means investment growth that is tax-deferred (or tax-free)
•  The flexibility to diversify your retirement portfolio

Types of Investment Options

STRATA has extensive experience working with fund sponsors, investment professionals and individual investors across a wide range of private investment opportunities. We understand the administrative processes, prohibited transactions and the compliance nuances involved, which allows us to guide you through the abundant private opportunities on the market while safeguarding you from tax implications.

Examples of private equity investments include, but is not limited to:

•  Private start-up company stock
•  De novo bank stock or bank capital raise
•  Expansion of an existing corporation
•  Acquisition of an entity
•  Purchase of a commercial real estate property
•  Building of a multifamily residential complex
•  Oil & gas or energy ventures
•  Hedge funds

 Types of Accounts Eligible for Private Equity

•  Traditional IRA
•  ROTH IRA
•  SEP IRA
•  SIMPLE IRA

Ways to Invest

STRATA simplifies investing in private equity through a self-directed IRA with 3 easy options:

1.  Private company stock of closely held corporations
2.  Private Limited Partnerships (LPs)
3.  Private multi-member Limited Liability
4.  Companies (LLCs)

To learn more, download our Private Equity Investment Guide.

Tags: all things retirement, alternative investments, IRA, private equity, retirement, Roth IRA, self-directed ira, SEP IRA, Traditional IRA, types of IRA