Gold has been around for longer than the first human being discovered about the element that date as far back as 40,000 b.c.
For centuries, it has been used as jewellery, currency as well as hedge against inflation.
But, do you know that there are various ways to buy gold? Of course there is a pro and con for each method.
|Physical gold||You can keep gold and would be useful especially |
in the event of emergency, war or disaster.
|Higher rate difference between buy and sell (spread) |
Risk of theft
Take time to liqudify into cash
|Fintech||Can buy minimum amout of gold, as low as RM1 from Google App (Hello Gold)|
Physical gold can be redeemed at additional cost.
Transaction is available 23 hours per day.
Very fast to liquidify into cash
|Higher rate difference between buy and sell (spread)|
|Paper gold (gold on document)||Lower rate difference between buy and sell (spread) if compare to physical gold and fintech. |
Lower cost to invest or buy gold
Gold can be purchased online during office hours
|Minimum amount of gold is required for the purchased of gold|
|Exchange traded fund(ETF)||Low cost to invest in gold as only have to pay for stamp duty and minimal transaction fee-easy of transaction. |
Gold based ETF can be purchased online during office hours.
|Investor has to have account with registered stock broking company|
No option for redemption into physical gold