A common sense strategy may be to allocate no less than 5% of your portfolio to cash, and many prudent professionals may prefer to have at least 10% to 20% on hand. In general, I always recommend having about 5% of your net worth in cash or cash equivalents. This way, an unforeseen emergency can always occur. In addition, you will always have some cash to take advantage of market sales.
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A gold IRA is a type of self-directed individual retirement account (IRA) that allows you to own gold bars. You cannot own physical gold in a regular IRA, although you can invest in a variety of assets with exposure to gold, such as stocks of gold mining companies or gold exchange-traded funds (ETFs).
A general rule of thumb is to limit gold to no more than 5% to 10% of your portfolio. Depending on your situation and your risk tolerance, you may be more comfortable with a larger or smaller share of gold in your portfolio.