Rocket Dollar Knowledge Base

Can I open a brokerage account and manage my publicly traded securities alongside my alternative investments?

Yes. If you tie your Solo 401(k) account name or IRA LLC EIN to your brokerage account you will be able to manage investments in stocks, bonds, mutual/index funds, ETFs and other publicly traded securities alongside alternative investments.

In a Self-Directed Solo 401(k) with a trust or a Self-Directed IRA with an LLC, you can open a brokerage account in the name of the retirement trust and trade public securities. However, you cannot have a margin account. You'll need to use the EIN of the Self-Directed Solo 401(k) trust or your LLC in an IRA instead of your SSN when you set up a brokerage account.

For a Self-Directed IRA/LLC, you should open a corporate/business trading account.

Brokerage Account IRA

For a Self-Directed Solo 401(k), you should open a trading account on behalf of your new Rocket Dollar Solo 401(k) Trust.

Solo 401(k) Brokerage Account Flow

There are other institutions specializing in these assets classes; however, most will not allow you to hold both standard and alternative assets. Using a Rocket Dollar account will help you maximize your diversification across your entire retirement portfolio.

Is there anything I can't do compared to a normal brokerage or IRA trading account?

You cannot short stocks. You can trade options, puts, and calls as long as they do not require a margin account. You can't trade naked puts and calls, as this strategy would require a margin account.

Extensions of credit are a prohibited transaction. Here are some examples of prohibited transactions.

 

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