Types of Gold and Silver Paper Digital Physical
Paper● ETF (Exchange Traded Funds): Securities traded like stocks. There has been allegations that many ETFs are not backed by actual metal and thus its value may be independent of the physical metal value.● Easy to buy and sell in this form● Requires most knowledge and experience● High risk, low cost
Digital● “Bullion Banks” that offer a digital representation or “currency” backed by physical bullion in a vault.● Convenient for using Gold and Silver in transactions● Be sure that you can take delivery of physical when you request and what is that process and fees involved.● Medium Risk but can more expensive
Physical● Bullion: metal of .999% pure gold or silver. Cost/price usually follows the “spot” or market traded price in the commodities exchange plus dealer profit. Bullion is the investment grade metal.● Numismatics: defined as the study and collection of coins, metals, and paper money. Value/price is determined by metal content, numismatic premium, and dealer profit.● Lowest Risk. You hold it, you own it!
Bullion or Numismatic?● Since bullion is the pure metal content .999%, in the event of the need to trade with it, you know exactly what the value is.● Numismatics have speculation parts that you have no control over. If you acquire numismatics, do so for fun, as a hobby, education, etc.● To protect Wealth and “invest”, acquiring physical bullion should be the priority.● Numismatics to Show. Bullion to Grow!