AUSTIN, Texas, Aug. 16, 2022 /PRNewswire/ — As economic concerns rise in August 2022, Edmund C. Moy, 38th Director of the United States Mint and current Senior IRA Strategist for U.S. Money Reserve, talks about why gold might be a better safe haven for retirement than stable value funds, which are often included in 401(k)s.
Watch Moy's video on Stable Value Funds here.
STABLE VALUE FUNDS: A SAFE HAVEN?
MarketWatch reports that stable value funds are one of today's most popular assets to include in a 401(k), despite what MarketWatch calls the “complex risks” involved. If stable value funds are “widely seen as safe havens,” as MarketWatch reports, how do they compare to another traditional safe-haven asset—gold?
In essence, stable value funds guarantee payments at a specified level of interest, regardless of the volatility in the market. While that sounds simple enough, MarketWatch points out that there are often risks consumers don't know about. One retirement plan consultant puts it this way: “You own no securities, zero, nothing. Just a contract.” With these retirement products, all the assets in the plan are owned not by you or the plan, but by the issuing insurance company.
Why Moy Prefers Gold
Like stable value funds, gold is often considered a relative safe-haven asset during times of economic uncertainty and volatility. But unlike stable value funds, gold's track record is much longer. And unlike with stable value funds, you know you own your assets when you buy physical gold, and that ownership doesn't change until or if you decide to sell. And unlike stable value funds, which offer a set return during times of high inflation, gold can see its price rise with higher inflation while still retaining its safe-haven and store-of-wealth properties.
U.S. Money Reserve, America's Gold Authority®, has served more than half a million clients looking to add gold and other precious metals to their portfolios.
Read Edmund Moy's in-depth look at how stable value funds stack up against gold here.
Edmund C. Moy collaborates with U.S. Money Reserve as Senior IRA Strategist. A recipient of the Alexander Hamilton Medal for public service, awarded to him by then–Treasury Secretary Henry M. Paulson, Jr., Moy served as the 38th Director of the United States Mint (2006–2011). Among many accomplishments during his tenure was Moy's oversight of one of the largest increases in the volume of precious metals output in U.S. Mint history, as Americans turned to safe-haven assets in the wake of the Great Recession.
Read Original Press Release Here.