ETF Gold & Silver VS Physical

The last 24 hours is a primer for those debating ETFs or physical possession of  gold & silver. First, ETFs of gold & silver across the board dropped on average of 3.57% yesterday, driven by the ongoing Japanese crisis.  While, the spot price of gold retracted 2.5% & silver retracted 4.5%. Both ETFs & physical metals retracted similarly.

Today, is a bright shining new day, ETFs are making a rebound gaining on average 0.75% in early trading. Yet, physical gold is recovering 1.5% of its value & silver is up 2.3% both recovering more than half of yesterday’s losses.  The added benefit of physical ownership is you take physical possession that is independent of any manager or mining owner’s bad decision.

This is a snap shot of 24 hours, but we believe it high-lights the absolute necessity of a solid tangible asset portfolio where you take physical possession. As a part of a diversified stock portfolio we are bullish on many mining ETFs. We draw the line at ownership of these stocks to the exclusion of real physical ownership of precious metals & rare coins.


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