Self Directed IRA LLC's will give you a wide latitude in making investments. However, there are several areas that are prohibited investments. We provide a guide to prohibited investments that will assist you in making the correct decisions.

You probably have an idea what type of investments you would like to make in your Self Directed IRA. Make sure you keep an open mind and thoroughly investigate any offering that is made to you. It is important to check the "track record" of any investment opportunity to be sure it is legitimate and will not result in the loss of all your funds. The first rule of investing is to protect your principal funds.

You will find many "exotic" investments that promise unbelievable returns that are precisely that - unbelievable. Avoid these investments like the plague. You will be better served over the long run by taking a conservative approach to your investments.

Investments are available in not only stocks , bonds and mutual funds, but also in real estate. Real estate investments can either be directly in the purchase of real estate or by investing in mortgages and trust deeds. Investments in mortgages and trust deeds are more of a passive investment requiring very little in the way of management other than cashing your monthly check for the payment you are receiving. There are many mortgage and trust deed investment programs being offered. We recommend that you investigate the offerings carefully to determine the vehicle best suited for your investment strategy.

You must remember that you will now be in charge of selecting your investments and with that comes the responsibility of making prudent and careful decisions that will not jeopardize you retirement funds. Stay away from highly speculative investments such as stocks with little or no marketability such as penny stocks and the next hottest company. Avoid projects to be constructed or new businesses with little or no track record.

Sometimes the best investment is the one that allows you to sleep well at night without the anxiety of whether you will be able access your funds without a great deal of aggravation. There are a lot of individuals and companies that are seeking to separate you form your nest egg. Be extremely careful and be cautious. Investigate every opportunity and the people behind it .