Why It Matters
In a digital age dominated by intangible assets like cryptocurrencies and stocks, gold’s physical nature offers a unique sense of security. Whether in the form of coins, bars, or jewelry, gold is a tangible asset with universal appeal, ensuring liquidity and demand across global markets.
Investment Strategy: Physical vs. Paper Gold
Choose between physical gold (coins, bars) and paper gold (ETFs, futures) based on your goals. Physical gold, ideal for long-term holding, provides direct ownership and can be stored securely or held personally. Paper gold, such as ETFs, offers liquidity and lower storage costs but lacks tangibility. Allocate 60% to physical gold for stability and 40% to ETFs for flexibility, adjusting based on liquidity needs.
Key Statistic
Global demand for physical gold reached 4,898 tons in 2024, with 29% driven by investment demand for bars and coins (Source: World Gold Council). Meanwhile, gold ETF holdings grew by 12% in 2024, reflecting strong investor interest in paper gold.