Loading ...why hold physical?a good answer
If one offered investors a fat tail put option that never decays or expires, costs about -1% pa to carry, has no counter party risk & no chance of ever becoming worthless, there would be a line out the door. But when one explains that this option is physical gold… no interest.
heh. I guess because most people don’t associate gold with money. At the same time, most people don’t know that today’s money are Federal Reserve Notes. Totally FUBAR. Reality will always intrude at some point though.
it might be better to consider gold as a store of value,as a primary function.
which also make it an “insurance policy” with a good record.
it is not really money because it is no longer a medium of exchange.
and like every thing else it turned to be another financial asset to trade
and manipulate.
Phys IS Insurance Pure (99.9%) and simple