Invest In Royalties Through A Self-Directed IRA

Royalty Exchange investors can now use a self-directed IRA to acquire royalties.
October 1, 2020
Want to invest in the music royalties featured in this article?
Become a Royalty Exchange member.
Start Investing

Royalty Exchange has partnered with Alto IRA to give investors the option to acquire royalties through a self-directed IRA.

Here’s how to take advantage of this new feature.

First, set up and fund an account with Alto IRA. It’s free to set up an account, although Alto charges a fee for each transaction and a monthly administration fee based on the amount funded. It takes about 7 - 10 days for the account to become active and funded.

Once funded, you can bid on auctions or make offers on the eXchange as you do normally. When you bid on new royalties, simply give us a call or send us an email to let us know that you want to use your Alto IRA to fund the transaction.

Note: Investors remain required to fully fund any acquisition on the Royalty Exchange marketplace within two days of a sale closing. Your Alto IRA account must be fully funded with your bid/offer amount before you place any bids on the marketplace.

Your Alto IRA will then be the “purchaser” of the asset and Alto will sign the closing documents and initiate the transfer of funds on your behalf on the day of closing.

Royalty Exchange will then make all future royalty payments to your Alto IRA. All 1099s and other paperwork will also be sent to Alto IRA. As the investor, you will be responsible for reporting valuation information annually.

An added benefit of joining Alto IRA is access to the other alternative investment options the platform provides. Feel free to visit their website for more information on those options.

Questions

Q: Can I transfer funds from a different IRA custodian to fund the Alto IRA?

A: Yes. Transferring funds from one IRA to another is tax free.

Q: Can I move previously acquired royalty assets into my Alto IRA?

A: No, only newly acquired royalties are eligible.  

For more, visit the Alto IRA FAQ page

Become a Royalty Exchange Member
Sign Up
Get An Instant Catalog Analysis & Valuation
Sign Up
Interested In Royalty Investing?
Sign Up

Investor Resources

3 Passive Income Investments Under $20k That Are Crushing It In 2025
From Boosie Badazz to Kehlani, see how savvy investors are securing steady income streams through music royalties in 2025 and beyond.
Read Post
Why These Book Series Royalties Sold For $565,000 At Auction: An Investment in Lifelong Learning
Explore how the $565,000 sale of publishing royalties from the Head First instructional book series showcases the earning potential of educational content royalties and why book publishing assets are rising stars in the passive income landscape.
Read Post
$555,000 Sale of Math Hoffa’s My Expert Opinion YouTube Royalties: A Masterclass in Passive Income
Discover how the $555,000 sale of YouTube royalties from My Expert Opinion showcases the growing potential of investing in podcast earnings and digital content streams.
Read Post
No items found.