The k is a great investment tool, especially for retirement planning, but options don't give you the option to pick privately-held stocks directly and rely instead on mutual funds or other investments. If you want to get into the stock-picking game, there are some ways to use your k to build a portfolio, such as borrowing or withdrawing from your account or converting it to an Individual Retirement Account IRA. Private are limited, and some methods could result in withdrawal penalties or other risks. You may also need to start a brokerage account to place the purchase orders for privately-held stocks. Ask the administrator of your k account if its features include a self-directed brokerage window, which lets investors choose privately-held stocks as part of their k holdings. Your administrator will have details on how to execute those stock orders. Buying k s don't offer this option, in which case, you will need to open an account with a traditional buying online stock broker and fund it with resources from your k to purchase privately-held stocks. Private or private money from buying k and transfer the funds to the brokerage account you will use to buy privately-held stocks. Many employers offer plans that let contributors take out loans equal to a certain percentage of the account's balance. Usually, these loans come with conditions, such as maintaining employment with the company, and changing jobs or other violations of the terms might require you to pay back the balance of the loan immediately or reclassify it as an account withdrawal. If you can't borrow from your kyou can withdraw funds directly, but be aware that options addition to paying taxes on the withdrawal, you will also have to pay a 10 percent penalty. Consider converting your k account into an IRA. Most IRAs allow for privately-held stocks to be included in the portfolio. Converting a k to an Options is often called a "rollover. Terry Lane has been a journalist and writer since Each week, Zack's e-newsletter will address topics such as retirement, savings, loans, mortgages, tax and investment strategies, and more. At the center of everything we do is a strong commitment to independent research and sharing its profitable discoveries with investors. This private to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. These returns cover a period from and were examined and attested by Baker Tilly, an independent accounting firm. Visit performance for information about the performance numbers displayed above. Skip to main content. More Articles Can I Choose Individual Stocks in My k? Can You Invest a k in Day Trading? How to Use a k Loan for Another Investment How to Use a Self Directed IRA to Invest in a Private Company How to Buy a CD in an IRA Account Buying and Selling Stock of Stock in k s. Step 1 Ask the administrator of your k account if its features include a self-directed brokerage window, which lets investors choose privately-held stocks as part of their k holdings. Step 2 Borrow or withdraw money from your k and transfer the funds to the brokerage account you will use to buy privately-held stocks. Step 3 Consider converting your k account into an IRA. Tip Research the funds in your k to determine what companies and industries it includes. If you don't want to take the risk buying borrowing or withdrawing from your k to purchase privately-held stocks, you can adjust your k to invest in funds that target the specific companies or industries in which you have interest. Warning Contributions to k s enjoy preferential tax treatment. Carefully research how changes to your account would affect your taxes and balance those considerations with the risks associated stock privately-held stock purchases. Cramer on Retirement -- Individual Stocks Are Right for Your k SmartMoney: Should You Borrow From Your k or b? About the Author Terry Lane has been a journalist and writer since Recommended Articles Should I Move My k to Bonds? Can an IRA Hold Closely Held Stock? How to Roll Over a k to an IRA to Avoid Owing Tax Keys to Investing in Your k. Related Articles How to Make Withdrawals From a k Is It Worth It to Contribute to My Company's k? How to Transfer Stock Into an IRA Company Best Company to a k IRS Rules Regarding company Rollover to IRA. Money Sense E-newsletter Each week, Zack's e-newsletter company address topics such as retirement, savings, loans, mortgages, tax and investment strategies, and more. Editor's Picks How to Convert a k to Annuities Can I Shift After-Tax Funds From My k to a Roth Stock What Should Be Your Balance of Stocks to Bonds if Nearing Retirement? How to Convert k to Roth IRA With Changes How to Draw From Your k. Trending Topics Latest Most Popular More Commentary. Quick Links Services Account Types Premium Services Zacks Rank Research Personal Finance Commentary Education. Resources Help About Zacks Disclosure Privacy Policy Performance Site Map. Client Support Contact Us Share Feedback Media Careers Affiliate Advertise. Follow Us Facebook Twitter Linkedin RSS You Tube. Zacks Options is Reported On: Logos for Yahoo, MSN, MarketWatch, Nasdaq, Forbes, Investors. Logo BBB Better Business Bureau. NYSE and AMEX data is at least 20 minutes delayed. NASDAQ data is at least 15 minutes stock.
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Either working out regularly at a fitness facility, developing their own routine at home or becoming a part of an organized sports team, people are exercising for a healthier heart, enjoyment or both.