Advantages of gold ETF:
1, low investment threshold: the investment and trading threshold of gold ETF is relatively low, and the general price is not high, so it can be operated for several hundred yuan.
2. The transaction cost is low, and ETF does not need stamp duty and transfer fees.
3, the transaction is convenient, you only need to have a stock account to operate.
4. Gold ETF implements T+0 trading, and investors can buy and sell during trading hours, regardless of the number of times, and they can withdraw funds the next day, which is very flexible.
Disadvantages of gold ETF:
Since ETF is a derivative, it is invisible and intangible. When the net value of the fund continues to fall, it may even be liquidated, so it will face losses, but as long as it is not an extreme market, it will generally not be delisted; ETFT+0 trading, if nobody cares for a period of time, may not be profitable, because there are more arbitrage people.
Advantages of physical gold:
1. Physical gold belongs to hard currency, which is valuable everywhere and can be converted into other corresponding assets. If the currency is ready, then gold will play its role in maintaining and increasing value at this time.
2. Physical gold is a kind of metal with monetary properties, which mainly includes physical gold investment such as gold bars, gold coins and gold ornaments. Comparatively speaking, the investment value of commemorative gold products is higher.
Disadvantages of physical gold:
1, physical gold should be bought at the bank or a storage cabinet should be opened, and the annual storage fee is relatively high. It is not recommended for ordinary families to buy physical gold.
2. If you keep the physical gold yourself, it is not well kept, the purity is not enough, or there is no invoice. Then when investors want to sell, banks may not necessarily recycle them.
3. Investing in physical gold is costly and may not be profitable in the short term, but it does have the function of maintaining and increasing value in the long run.
To sum up: if you want to achieve greater flexibility, choose gold ETF；; If you want to hold the real thing, choose the real gold; If the funds are huge, you can choose physical gold, on the contrary, it is best to have gold ETF funds less; If you think it is troublesome to keep gold, choose gold ETF；; If you think you want to save fees, choose gold ETF.