ArcticFox

Saving the Economy with IRA Funds

Most IRAs have limited investment opportunities, allowing investments in only equities (mutual funds) or bonds. An IRA is not a safe investment, moving up and down with market. Personally, I consider IRAs a pyramid scheme, encouraged by corporations, financial institutions, and governments, to take our money. Board members, particularly CEOs, make 8-9 figure salaries by exercising stock options regardless of the performance of the company, and financial institutions ... well, we all know of the billions in bonuses financial institions such Goldman Sachs hand out. They simply take our retirement funds and pass them around. Real Estate, on the other hand, is a much safer investment, and we should be allowed to invest our retirement in real estate, though, at the same time, not be allowed to mortgage our retirement. Unless the loan can be paid in full, or the property bought outright, the money should remain in a retirment fund. Currently, you can borrow substantial amounts against a 401k, and people that have sufficient funds in a 401K would only be facing foreclosure by choice. Limited funds can also be borrowed against a IRA in a foreclosure emergency. If unable to pay back the loans, and the loan is for your home, you should not have to face penalties, and only have to pay taxes distributed over the duration of the loan.