By Craig Stevens
Since the IRA was first created in 1974, the general public has turned to banks and
brokerage houses for their investment advice. When the Employee Retirement Income
Security Act, better known as ERISA, was passed, the responsibility of retirement
investing moved from the employer to the employee. Information that brokerage houses
do not tend to disclose to their clients is that ERISA law prohibits retirement
plans from investing in two types of investments - life insurance contracts and
collectibles. That's it! They have chosen not to inform their clients of the ability
to use retirement funds to purchase assets other than stocks, bonds and mutual funds
- simply because they make their money selling securities.
