Topic: Physical or Paper Gold? Why? (Read 2301 times)
Indeed why risk physical gold investment as it is not safe in current world. Also, digitalisation is increasing a way lot faster than any other era. Physical gold was past days challenge where Gold Rush was the only thing on peoples mind. Today we have moved to futuristic world which knows only about digital trades and the physical one. Keeping gold is good but not safe though. Having it in bonds safe with banks would be preferable and less chargeable. You can also trade it in few minutes in the market as physical gold may need to be tested before it gets sold. So you can see pros and cons about your question, and personally I would select paper gold.
Physical gold any day because I could test to see its authenticity and carats unlike paper gold, I can also feel it in my palms . It is malleable and ductile and also a heavy metal with a lot of uses and properties. Physical gold is not traded in futures market unlike paper gold.
I don't like paper gold, but with paper gold you don't have to test for any of that since it is not physical gold, I think physical gold is way better if you are in gold for the long term, but if you want to buy gold and then sell it in just a few weeks or months then paper gold seems like a better option. 
There is no such thing as paper gold (anymore), so I don't even know what this thread is about?
I think gold is a sure bet, indeed, it is stable. It is therefore very useful to protect its resources from financial crises.
Gold is reliable. But I will not claim that it is a 100% sure bet. Just because during the last financial crisis it performed well, we can't expect gold to remain stable during the next financial crisis. What if some central bank dumps all of its gold in to the market? The prices can go below $1,000 per oz.
Physical Gold has it's own benefit which paper Gold can not match. Like quick liquidity. If you possess gold at your home then in case of emergency you could readily liquidate gold and it is globally accepted.
* It is true that physical gold needs protection, and you're responsible for that. So you take all measures to protect it (insure it).
* Physical gold could be carried in form of jewelery as well.
* Purchasing Gold from GoldSmith could be pain in countries like India and customer could feel exploited.
Paper Gold solves problem of security. When big companies are offering paper gold they back up it as well.
* Paper gold is much better for investment purpose. easy to purchase and desolve as well.
* you could access your paper gold via internet(from anywhere).
* You don't have to worry much if you have invested with reputed company.
Both of it has advantages and disadvantages like mentioned above which user should know and aware about that.* It is true that physical gold needs protection, and you're responsible for that. So you take all measures to protect it (insure it).
* Physical gold could be carried in form of jewelery as well.
* Purchasing Gold from GoldSmith could be pain in countries like India and customer could feel exploited.
Paper Gold solves problem of security. When big companies are offering paper gold they back up it as well.
* Paper gold is much better for investment purpose. easy to purchase and desolve as well.
* you could access your paper gold via internet(from anywhere).
* You don't have to worry much if you have invested with reputed company.
Depends on your purposes to purchase gold, whether to store it at home (backup plan, long term investment or jewelry)
Or purchase paper gold for trade purpose and safety way than put a huge amount of gold at home and the risk of robbery.
I prefer to purchase physical gold and save it at home in case of emergency, just in case for something I need.
Some people says physical gold is more important, I should have physical instead of paper gold. But I dont understand why.
I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.
Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood
What do you think?
edit: Guys I have read all your comments but still not satisfied. You all say that paper gold is not gold itself, just a promise; so having physical gold is more trusting even there is a possibility of theft.
Maybe I understand something different when saying paper gold.
Gold account at banks such as HSBC, BNP Paribas or ICBC is really less safer than keeping the gold at home?? And even if these accounts are guaranteed by the government up to $30k in each account?
I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.
Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood
What do you think?
edit: Guys I have read all your comments but still not satisfied. You all say that paper gold is not gold itself, just a promise; so having physical gold is more trusting even there is a possibility of theft.
Maybe I understand something different when saying paper gold.
Gold account at banks such as HSBC, BNP Paribas or ICBC is really less safer than keeping the gold at home?? And even if these accounts are guaranteed by the government up to $30k in each account?
I think gold is a sure bet, indeed, it is stable. It is therefore very useful to protect its resources from financial crises.
Some people says physical gold is more important, I should have physical instead of paper gold. But I dont understand why.
I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.
Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood
What do you think?
edit: Guys I have read all your comments but still not satisfied. You all say that paper gold is not gold itself, just a promise; so having physical gold is more trusting even there is a possibility of theft.
Maybe I understand something different when saying paper gold.
Gold account at banks such as HSBC, BNP Paribas or ICBC is really less safer than keeping the gold at home?? And even if these accounts are guaranteed by the government up to $30k in each account?
I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.
Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood
What do you think?
edit: Guys I have read all your comments but still not satisfied. You all say that paper gold is not gold itself, just a promise; so having physical gold is more trusting even there is a possibility of theft.
Maybe I understand something different when saying paper gold.
Gold account at banks such as HSBC, BNP Paribas or ICBC is really less safer than keeping the gold at home?? And even if these accounts are guaranteed by the government up to $30k in each account?
The whole "paper gold" thing is what cause the current fiat monster debt scenario of insane inflation, as soon as we went out of the gold pattern then we were fucked in the ass by those damn bureaucrats and their tricks. The banksters got rich and we got nothing.
It's time to take control of the money back with bitcoin. Fiat had its time, its time to now to evolve.
I don’t like to wear gold ornaments but I do like gold prices so but obviously, paper gold is more comfortable for me to trade than psychical gold. I think both of the forms have their own risks and benefits like in paper gold the liquidity is faster than the psychical gold whereas you can wear psychical gold but you can’t do that in paper gold.
Physical Gold has it's own benefit which paper Gold can not match. Like quick liquidity. If you possess gold at your home then in case of emergency you could readily liquidate gold and it is globally accepted.
* It is true that physical gold needs protection, and you're responsible for that. So you take all measures to protect it (insure it).
* Physical gold could be carried in form of jewelery as well.
* Purchasing Gold from GoldSmith could be pain in countries like India and customer could feel exploited.
Paper Gold solves problem of security. When big companies are offering paper gold they back up it as well.
* Paper gold is much better for investment purpose. easy to purchase and desolve as well.
* you could access your paper gold via internet(from anywhere).
* You don't have to worry much if you have invested with reputed company.
* It is true that physical gold needs protection, and you're responsible for that. So you take all measures to protect it (insure it).
* Physical gold could be carried in form of jewelery as well.
* Purchasing Gold from GoldSmith could be pain in countries like India and customer could feel exploited.
Paper Gold solves problem of security. When big companies are offering paper gold they back up it as well.
* Paper gold is much better for investment purpose. easy to purchase and desolve as well.
* you could access your paper gold via internet(from anywhere).
* You don't have to worry much if you have invested with reputed company.
Both are same, you will get profit when the price rise but for safe I will choose physical gold even though it will take more time to get profit due there is any cut cost when you want to sell it.
For me physical gold is important only for the purpose of jewelry and not for any other purpose so I will not want it for any other thing like trade and in this way I do not like paper gold and if someone will ask me for that then I will say that no paper gold is not good but physical gold is better. That is the actual reason of the statements.
Some people says physical gold is more important, I should have physical instead of paper gold. But I dont understand why.
I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.
Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood
What do you think?
edit: Guys I have read all your comments but still not satisfied. You all say that paper gold is not gold itself, just a promise; so having physical gold is more trusting even there is a possibility of theft.
Maybe I understand something different when saying paper gold.
Gold account at banks such as HSBC, BNP Paribas or ICBC is really less safer than keeping the gold at home?? And even if these accounts are guaranteed by the government up to $30k in each account?
Save gold in bank is safer than keep it at home, even if each account guaranteed only up to $30K, at least we have than nothing such as if the gold disappear from our house. Everyone have their own decisions, you can not impose your opinion to others. Whether to keep it at home or save it in bank, but be ready if something happen to your precious gold. I trade easily in paper gold, spread is low so I lose less while trading. Banking system is powerful in my country, Turkey.
Physical gold can be stolen easily, I dont prefer having gold in my home, it is so dangerous imo, thieves are everywhere in my hood
What do you think?
edit: Guys I have read all your comments but still not satisfied. You all say that paper gold is not gold itself, just a promise; so having physical gold is more trusting even there is a possibility of theft.
Maybe I understand something different when saying paper gold.
Gold account at banks such as HSBC, BNP Paribas or ICBC is really less safer than keeping the gold at home?? And even if these accounts are guaranteed by the government up to $30k in each account?
If you don't touch the gold then you can't count that you already hold or own 100% the gold because something outside can happen. You may think that it is safer to hold the paper gold because it is less risky since you don't hold it physically but if you lose this letter you may lose the gold ??
Paper gold means that you put it , save in bank or any other institutions and you have the paper for it. It is better unless the holding authority scam or runs away with gold which is highly unlikely to happen. If you have physical gold, there is chances of theft so its better to keep it under locks of banks.
Why is it important to have physical gold?
Well paper gold means you trust the system you trust the broker...
Anyone with some brain can see the system isn't going well
Physical gold isn't for trading. It's an investment for the future.
Wanna trade? Go paper. Wanna keep something of value for a long time? Go physical gold!
Well paper gold means you trust the system you trust the broker...
Anyone with some brain can see the system isn't going well
Physical gold isn't for trading. It's an investment for the future.
Wanna trade? Go paper. Wanna keep something of value for a long time? Go physical gold!
I haven't really read into the laws surrounding the what seems to be the FDIC of golds in your country Turkey, but if that's true about having government insurance when you buy "paper" gold then buying that would be so much better than buying real solid gold. Don't get me wrong, I've said before on threads that I'd like to be able to hold what I'm investing in but if you can have insurance and a chance of theft being slim to none (unless government goes under) then you go with that option.
Would be a bit more efficient depending on situation when it comes to paper gold, imagine having to secure millions in gold if that's an investment of yours? Or hundreds of millions and so on, paper gold could easily be more effective when it comes to these simple examples that are probably real.
I think it is easier to do trading with paper gold, but somehow i prefer physical gold where i can touch and keep in any place i want, i feel more secure with physical gold, modern people now prefer storing their gold in paper gold because it is more efficient
Would be a bit more efficient depending on situation when it comes to paper gold, imagine having to secure millions in gold if that's an investment of yours? Or hundreds of millions and so on, paper gold could easily be more effective when it comes to these simple examples that are probably real.
I dont know why people would really bother to put gold or decide to have a paper gold since we all know that golds price would really vary on its weight because the more the heavier the more valuable it be and making it as a paper gold i think it would be complicated for me and would took time to implement because making 1kl gold into a 1 single paper gold isnt good on my own view if im the owner of it.I would like to feel its weight
Physical gold any day because I could test to see its authenticity and carats unlike paper gold, I can also feel it in my palms . It is malleable and ductile and also a heavy metal with a lot of uses and properties. Physical gold is not traded in futures market unlike paper gold.
I can tell you 100% that physical gold will still trade in future.dont think too much about future.digital world has grown rapidly and its great that we can make payment in fast manner yet physical gems still untouchable.While for others they prefer paper gold because its market is over 100 times that actually exists compare to physical gold.
I am not that much interested in Gold per se, but if I ever look to buy Gold as an investment option, then I will at all times go for Gold in physical form. Reason being that I at all times want to own everything in full. In case of paper Gold, it's just a "worthless" reminder of you being able to trade/cash out the stated amount at any time. You have to trust the entity issuing this paper Gold to do what it promised you when you bought yourself into paper Gold. In my case, I only buy what I can own in full, promises are not part of that.
Given the choice, I would prefer paper gold over the physical gold because of some features of paper gold. If I take gold as an investment, then it is always better to buy paper gold because it can be traded in the market very easily without any extra expense. on the other hand, if you want to sell physical gold, you have to go to a gold merchant and he will deduct a good amount of fees to him, which will not just only eat in to your profit but you will end up paying out of your pocket.
Paper gold is free from such charges and can be traded easily. Even you can hold it in a demat account, so you don't actually have to carry a paper and it can be sold by just a click of mouse. That makes paper gold much more attractive than physical gold as an investment.
Paper gold is free from such charges and can be traded easily. Even you can hold it in a demat account, so you don't actually have to carry a paper and it can be sold by just a click of mouse. That makes paper gold much more attractive than physical gold as an investment.
Physical gold any day because I could test to see its authenticity and carats unlike paper gold, I can also feel it in my palms . It is malleable and ductile and also a heavy metal with a lot of uses and properties. Physical gold is not traded in futures market unlike paper gold.
I can tell you 100% that physical gold will still trade in future.dont think too much about future.digital world has grown rapidly and its great that we can make payment in fast manner yet physical gems still untouchable. Jump to: