Free Consultation

Risk Disclosure

Precious Metals Risk Disclosure

Purchasing precious metals involves a high degree of risk and is not suitable for all investors. Before deciding to open a Gold IRA or purchase physical metals from Aurum Gold Reserve, you should read and understand the following disclosures.

NOT A FIDUCIARY RELATIONSHIP Aurum Gold Reserve is a precious metals dealer and is not a registered investment advisor, financial planner, or tax professional. We do not provide financial, legal, or tax advice. Any information provided is for educational purposes only. You are encouraged to consult with your own independent advisors before making any investment.

1. Market Volatility & Value

The price of gold, silver, platinum, and palladium is subject to extreme market volatility. Values are influenced by global economic conditions, currency fluctuations, and geopolitical events. Past performance of any metal is not an indicator of future results. You may lose a portion or the entirety of your principal investment.

2. IRS Compliance & The "Home Storage" Rule

Internal Revenue Code Section 408(m) requires that physical metals held within an IRA be kept in the physical possession of an IRS-approved trustee or depository.

  • Taking personal possession of IRA-owned gold (often marketed as "Home Storage Gold IRAs") is a prohibited transaction.
  • Violating this rule may result in the immediate disqualification of your IRA, leading to full taxation of the account and a 10% early withdrawal penalty if you are under age 59½.

3. Liquidity & Holding Period

Precious metals should be considered a **long-term investment**. Aurum Gold Reserve recommends a minimum holding period of 5 to 10 years. Precious metals do not yield dividends or interest. Liquidation may take longer than traditional securities, and market conditions may affect the price you receive upon sale.

4. Spreads and Markups

The price Aurum Gold Reserve charges for precious metals includes a "spread"—the difference between our selling price and the wholesale "spot" price. This markup covers our operational costs, insurance, and profit. When you sell your metals back, you will typically receive the "bid" price, which is lower than the "ask" price you originally paid. You must see an increase in the market price of gold equal to this spread before a profit can be realized.

5. IRA Fees & Custodians

Self-Directed IRAs (SDIRAs) require a third-party custodian. These custodians charge setup, annual maintenance, and storage fees. These fees are independent of Aurum Gold Reserve and will be charged regardless of the performance of your investment.

6. Direct vs. Indirect Rollovers

If you are moving funds from a 401(k) or traditional IRA, we recommend a Direct Rollover (Trustee-to-Trustee). If you opt for an Indirect Rollover, you have exactly 60 days to deposit the funds into your new Gold IRA to avoid massive tax penalties. Aurum Gold Reserve is not responsible for tax liabilities resulting from missed deadlines.

By continuing to use this site or engaging in our services, you acknowledge that you have read, understood, and accepted the risks outlined in this Disclosure.