Hub · Retirement Planning
Where precious metals fit — and where they don't.
A precious metals allocation is a diversification decision, not a replacement for a diversified portfolio. Getting the sizing right is more important than getting the timing right.
The diversification argument, briefly
A well-constructed retirement portfolio holds assets that behave differently under different conditions. Equities do well when growth is strong; bonds do well when rates fall; cash does well when nothing else does. Precious metals occupy a fourth quadrant — assets that have historically held or gained purchasing power during monetary stress.
Typical allocation ranges
Most advisors who include precious metals at all put them in the 5–15% range of a total retirement portfolio, weighted toward the lower end for younger savers and toward the higher end for retirees primarily concerned with capital preservation. See our article on how much belongs in precious metals.
Common allocation frameworks
| Profile | Equities | Bonds | Precious metals | Cash |
|---|---|---|---|---|
| Growth (age 45–55) | 65% | 25% | 5% | 5% |
| Balanced (age 55–65) | 50% | 30% | 10% | 10% |
| Preservation (65+) | 35% | 40% | 15% | 10% |
Illustrative ranges. Not investment advice. Actual allocations depend on individual circumstances.
Self-directed IRAs: what changes
A self-directed IRA has the same tax treatment as any traditional or Roth IRA. What changes is the custodian and the range of allowable assets. Only certain custodians will administer accounts holding physical metals, and they charge higher fees than a Vanguard or Fidelity brokerage account. Those fees — typically $150–$300/year combined for custodian and storage — are the price of the asset class.
Common mistakes near-retirees make
Where to go next
Compare providers in our Company Reviews, or start with the Gold IRAs hub for account mechanics.