Choosing an IRA brokerage should be based on several factors including the history of the brokerage, the types of investments that are available, and the amount of fees that are charged by the broker. Another factor that should be considered is the level of customer service that is provided by the broker's customer service team. You should also look at how convenient it is to work with an IRA brokerage.
When choosing an IRA brokerage, you need to take a look at the history of the brokerage and determine if it would be a good place to put your retirement funds. You want to work with a broker who is going to be around for the long term and will keep your retirement funds safe. Retirement accounts are not insured by the FDIC like a bank account, which means you need to put an emphasis on choosing a successful company who has been around for a long time.
Something else you should consider is the different investments that will be available with a particular IRA brokerage. According to the government, you can put your IRA dollars into anything except collectibles, life insurance, and business deals that would benefit you. Some IRA brokerages will limit your options even further than this by only allowing you to invest in stocks, bonds, and mutual funds.
If you want to invest in something outside of these basic choices, you will need to make sure the IRA brokerage offers it as an investment option. For example, some IRAs will allow you to invest in real estate while others will not. If you want to invest in real estate, it is critical to make sure your broker allows it.
You should also spend some time looking at the fee structure of the broker. IRA brokers are typically going to charge an annual account maintenance fee. They may also charge other fees that are associated with taking care of your account. Try to choose a broker who has a reasonable fee schedule so you can keep more of your retirement dollars.
When evaluating a brokerage, you should also pay attention to the level of customer service it provides. You want to work with a brokerage who makes it convenient to work with it. For example, being able to set up an automatic deposit program or view your account online can be very beneficial.
