You should also avoid making withdrawals before retirement age. Taking money out of your Traditional IRA early is tempting, but it s costly. First, you lose the opportunity to earn investment gains and the benefit of compounding. Second, premature distributions are subject to an Internal Revenue Service tax penalty, and may also be subject to ordinary income tax. Focus on Long-Term Risk and Return Potential.
Investors often make the mistake of focusing on short-term investment performance.
As a Traditional IRA investor, you have long-term objectives, so you ll want to evaluate an investment s potential for gain or loss over long time periods. A Calvert IRA Many Calvert mutual funds are appropriate for IRAs. To help you consider appropriate investments, funds are grouped by the same asset categories stocks, bonds and money market investments that were used in the pie charts above. Calvert Money Controller lets you establish a schedule of automatic investments. Telephone transfer lets you conveniently move Traditional or Roth IRA assets among Calvert funds.