Individuals
Institutions
Advisors
Rollover IRA

Futures, Forex and commodities

1. Who should consider investing in Futures/Forex within their Self Directed IRA?
  • As Millennium Trust does not offer investment advice, we do not warrant the suitability of any particular investment. Please consult with your investment advisor, broker and/or tax advisor to determine if futures/forex are suitable for your investment portfolio.
2. How much of the IRA/Solo 401(k) can I invest in Futures/Forex?
  • You determine the amount to invest and how to invest it. Millennium Trust only requires you to maintain a minimum of $500 in your IRA. The $500 “deposit” is not eligible at any time to be invested. This $500 cash requirement will be taken and replenished from funds used to open the account and all subsequent deposits, including additional contributions, rollovers and transfers. Any “deposit” cash is eligible for Millennium Trust’s Cash Investment Program explained in your account’s Custodial Agreement.
3. How long does it usually take to establish my IRA account and fund my futures/forex trading account with the FCM?
  • No investments are allowed during the revocation period, which is seven days from the date Millennium Trust accepts the account.  
  • Transferring funds or other assets from another trustee or custodian to Millennium Trust can be a lengthy process, over which Millennium Trust has limited control. IRA transfers may take three to four weeks to complete. In some cases, an IRA custodian will not provide Millennium Trust with status reports or the expected date of transfer. If time is an issue, contact your existing IRA custodian or your broker and request an expedited transfer of funds.  
  • Upon receipt of your IRA funds, the initial funding of your futures/forex trading account with your FCM generally will be completed in two to three days for funds received in a wire, or five business days for funds received by personal check. Allow Millennium Trust five business days to invest a personal check. We suggest while completing the IRA-to-IRA Transfer Form, IRA-007, indicate that the funds should be wired. The wire instructions will then be attached to the transfer request form when forwarded to the transferring IRA custodian by Millennium Trust.
4. How do I protect the tax-deferred status of my Millennium Trust IRA/Solo 401(k)?
  • The IRA custodian must handle all flow of funds to/from the broker or FCM on behalf of the IRA. 
  • All contributions or deposits to the IRA must be sent directly to Millennium Trust, and upon your direction, will be forwarded to your broker or FCM of record to fund your IRA’s futures/forex trading account. Funds should not be sent directly to the broker or FCM to be credited to the IRA or the IRA’s futures/forex trading account. 
  • All liquidations and distributions from a futures/forex investment must be sent directly to Millennium Trust, and upon your direction, conveyed by the Millennium Trust distribution form, will be forwarded to you as a distribution. You will jeopardize the tax deferral status of your IRA if you receive funds directly from the broker or FCM on behalf of your IRA or its futures/forex trading account.

    DEPOSITS AND WITHDRAWALS TO YOUR IRA:
    IMPORTANT TAX IMPLICATIONS TO YOU

     

    As custodian of the self directed IRA, pursuant to IRS Code, all deposit and withdrawal transactions must be generated by Millennium Trust via the retirement account. Sending funds directly to, or receiving funds directly from a broker or the FCM will create IRS tax liabilities, and doing so may disqualify the tax-exempt status of the IRA/Solo 401(k). In addition, time spent by Millennium Trust researching this type of activity is extensive and is a special service we provide. It will be billed to your account at $75 per hour.
5. How often are account statements sent out?
  • Millennium Trust issues quarterly statements, showing all IRA activity, interest earned and the quarter-end market value of your IRA's futures/forex trading account as reported by your FCM. Indicated values may be delayed by up to 30 days due to the manual updating process sometimes required. Millennium trust statements do not show your IRA’s futures/forex trading account activity. You should refer to the monthly statements provided by the broker or the FCM for the most up-to-date information regarding your IRA’s futures/forex trading account.
6. What account fees are charged to the IRA?
  • There is a one-time $50 IRA establishment fee charged at the time the IRA account is opened. Each year the IRA is charged a $300 annual account fee which will not be prorated. First year's annual account fees will be processed in the month after the account is opened and in the same month each following year. Accounts are charged a $50 fee for the initial account setup and initial funding of the account with the FCM and subsequently charged a $30 fee for each transfer of funds to the FCM. If there is insufficient cash in your IRA to pay the fees, Millennium Trust may have to redeem a portion of your investment(s) to cover an overdraft. Futures/forex trading accounts usually are redeemed before other types of investments to fund past-due fees. Other fees may apply to the account; please refer to the fee schedule included with your Millennium Trust account application and custodial agreement. To view the Futures Fee Schedule, click here. 
7. What are the key steps required to expedite the establishment of an IRA at Millennium Trust and direct funding of a futures/forex trading account for the IRA?
         Ensuring the most efficient and expedient paperwork processing for a self 
         directed IRA with futures/forex at Millennium Trust requires you to:

    • Read the Millennium Trust IRA Adoption Agreement (IRA-002), and appropriate Custodial Agreement and Disclosure Statement, and follow the instructions completely;
    • Complete, sign and date all forms; *Note: Incomplete and incorrect information can delay the establishment of the account and the investment of funds.
    • Fill out the entire Adoption Agreement, (IRA-002), leaving no blank spaces;
    • Complete the IRA-to-IRA Account Transfer Authorization form, (IRA-007), to enable Millennium Trust to initiate the transfer of funds/investments from your existing custodian to Millennium Trust;
    • Instruct your current custodian to liquidate the assets in your current IRA; transferring cash from your current IRA to your new Millennium Trust self directed IRA will save significant time in the transfer process;
    • Check with your current custodian to determine if a ‘Medallion Signature Guarantee Stamp’ is required to have funds transferred to Millennium Trust;
    • Complete the Futures/Forex Investment Direction form (FUT-002), specifying which FCM will hold the IRA’s futures /forex trading account and the amount or percentage of the initial funding;
    • On the Special Investment Authorization Form (FUT-003), you must indicate the investment type and include a signature;
    • Include a current and valid photo ID. Acceptable identification includes a state ID card, driver’s license or passport; and,
    • Include a check made payable to Millennium Trust for $50 to establish the IRA account.;  

    • Please be sure all paperwork is complete and properly executed.
      If it appears you did not complete the documents, or your instructions to us are unclear, we will contact you directly to verify the information. Incomplete or missing documents will cause delays in document processing. 

    • We must be in receipt of all completed forms, including the FCM and Millennium Trust account documents, before opening a futures/forex account with the FCM for your IRA. We must receive all original documents and execute them for the IRA, after which the original FCM forms will be forwarded to your respective Introducing Broker (IB) or Futures/ Forex Commission Merchant (FCM). Documents with a date older than six months, are considered invalid, and we will request new forms be completed and signed under a current date.  
8. Where do I call with questions or to request additional information? 
      For questions relating to the status of the following, please contact the Futures Client Service Department at Millennium Trust Company for assistance:
       
    • Account Establishment. 
    • Transfer of Funds or other assets. 
    • FCM Listing. 
    • Futures/Forex Account Opening Process. 
    • Futures/Forex Account Funding Status. 
    • Distributions & Redemptions. 
    • Update your account information
  •    
  •     Account Holders: FuturesCS@mtrustcompany.com
  •     Brokers/FCM’s: FCMSupport@mtrustcompany.com
  •     New Accounts: NewFutures@mtrustcompany.com    
  •    
  •     Futures Direct Connect:
  •     Ph (800) 932-0053
  •     Fx (630) 368-5698    
  •  
  • Please contact your Futures/Forex Introducing Broker or Advisor regarding questions pertaining to your trading account activity.
  • For the privacy and protection of Millennium Trust clients', information pertaining to a Millennium Trust account is accessible only by the client. Information regarding the sufficiency of cash balances in a client’s account to cover margin/debit calls will be provided directly to the client’s IB or FCM upon request.