Peter is a 40-year-old average income earner. He is ready to start planning for retirement, and plans to make the maximum possible contribution to an IRA, which is currently $5,000 per year. Because he still has 25-30 years until retirement, Peter wants to invest most of the contributions to the IRA in higher risk securities. His hope is that, when the economy is strong, he’ll make some large gains on the account. At this point, which type of IRA would be best for Peter, a Traditional or Roth IRA? Explain your reasoning using complete sentences.

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