Pooled Account with IRA funds

Discussion in 'Interactive Brokers' started by NeuralNet34, Jun 17, 2022.

  1. I am looking to create an Investment Club structured as a partnership which will have a single pooled brokerage account. Taxes pass through to the individual partners via Schedule K-1.

    It appears that Traditional IRAs and Roth IRAs can be mixed into the pool, provided that:
    1- the pooled account obeys all IRA rules
    2- the broker agrees

    Is this something that is possible with Interactive Brokers? What account type would I create, or how would I reach out for more information?
     
  2. I think part of your issue is that the IRAs have to actually invest in the partnership (which is a separate legal entity). So you have to have an IRA custodian which would permit that type of investment.
     
    NeuralNet34 likes this.
  3. That makes sense. So does IB permit this? And if not, which broker does?
     
  4. This is not a recommendation -- just found this company on the web. You would have to set up the partnership (partnership agreement, tax ID) and then allow your investors in. Then you just need the broker who allows a partnership account -- most of the major ones should probably allow you to do that assuming the proper documentation. I did that about 26 years ago through ETrade back in the early days of internet trading.

    https://www.trustetc.com/lp/self-di...gn=research_education&utm_content=sdira_guide
     
    NeuralNet34 likes this.
  5. Thanks - I appreciate the advice. I hadn't considered a self-directed IRA, and it sounds like it might be a great solution.