Quote:
Originally Posted by Pugchief
True, sort of. Do you store it yourself? If not you have counterparty risk. And storage costs.
If you self-store, you have storage risk.
Both ways, you pay excessive spreads.
I prefer Gold ETFs for those reasons.
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IMO, you don't need to worry about a buy/sell spread if you own physical gold. It's something you should never sell unless things go really bad and you have to. Otherwise, physical gold is something that should make your kids very happy when they open your safe after you've died.
Nothing wrong with ETF's but I have the same fear with that as I do with digital coins. If the internet goes down, there's really no way to access those funds.
Again, IMO, a better way to invest in gold is through gold miners. Get the timing correct and you'll see exponential returns. As gold prices rise, fixed costs to mine that gold remain relatively the same. A 10% rise in gold prices could raise a miner's earnings by 50% or even more. If you're not comfortable picking individual miners then there's the GDX and GDXJ ETF funds. Timing is key when making any precious metal investment.