Investment in gold can be done directly through ownership, or indirectly through certificates, accounts, spread betting, derivatives or shares.
Other than storing gold in one's own safe deposit box at a bank or in your home, gold can also be placed in allocated (also known as non-fungible), or unallocated (fungible or pooled) storage with a bank or dealer. In the case of the latter going bankrupt, the client will be unable to claim the gold and would become a general creditor, whereas gold held in allocated storage should be returned to the client in full . However even with gold held in allocated storage, many gold bugs would still choose their storage provider carefully, making sure of high net worth, with some preferring an offshore bank or storage facility.
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